What is the present value of a lottery win that pays 100000, Ask an Expert

Finance

What is the present value of a lottery win that pays $100,000 every year for the next 22 years, assuming an annual return of 6%?

A bond pays you annually $600 forever. Assuming 6% annual interest rate, find the present value of the bond. Assume that the first payment comes in a year from today.

You want to start an endowment today that will pay for a finance lab at MSUB from next year. While next year the required amount for such a finance lab is $20,000, the amount will rise every year by 2% due to inflation. If the endowment is expected to make 6% annually, find out how much the endowment fund should be if you want to start it today. This is a growing perpetual cash flow problem.

View complete question

Financial Management, Finance

Category:- Financial Management
Reference No.:- M92384358

Have any Question?Write your Review or question?

Related Questions in Financial Management

International business letterabout frac34 of a page to one

International business Letter About ¾ of a page to one full page business letter (formatting as researched culture may dictate) + several paragraphs of rationale One of the great things about entering a field under the s ...

Assignmentq1xyz company uses anbspperiodic inventory system

Assignment Q1. XYZ Company uses a periodic inventory system. The beginning balance of inventory and the purchases made by XYZ during the month of July are given below: Date Description Units Unit cost Total cost July 01 ...

Understanding the health care reform acthow has the patient

Understanding the Health Care Reform Act How has the Patient and Affordable Care Act of 2010 (the "Health Care Reform Act") reshaped financial arrangements between hospitals, physicians, and other providers with Medicare ...

1 in week four the focus was on analysis tools for

1. In week four, the focus was on analysis tools for determining solutions. In week five, we discussed groups and you also completed an assignment on analysis tools used for groups/teams. This week, one of the topics is ...

Please use referencescase home healthbackgroundthe patient

Please use references, Case : Home HealthBACKGROUND The Patient Protection and Affordable Care Act (ACA) requires that physicians (or certain practitioners working with them) who certify beneficiaries as eligible for Med ...

Homework chapter 7 - interest rates amp bond valuations1

Homework Chapter 7 - Interest Rates & Bond Valuations 1) Julie just received her annual payment of $80 on a bond she owns. Which of the following refers to this payment? A) Call premium. B) Coupon. C) Yield. D) Discount. ...

Financial management project -overview this assignment

Financial Management Project - Overview: This assignment consists of 2 questions covering Bond Valuation and Portfolio Analysis. Question 1: Bond Valuation Let's suppose today is 16/01/2018, and you are observing the inf ...

The following examination is due no later than 9 am monday

The following examination is due no later than 9 AM Monday, October 22nd. You are to email me the exam in an XLSX file named after yourself and containing your section. For example, if your name is Leslie King, the file ...

Uit analyzing and managing inventorydeliverable length

Unit: Analyzing and Managing Inventory Deliverable Length: 8-10 PowerPoint slides with speaker notes Library Research Assignment After the last report, the owners of Stone Horse Supply Company, John and Michael, have con ...

You have owned and operated a successful brick-and-mortar

You have owned and operated a successful brick-and-mortar business for several years. Due to increased competition from other retailers, you have decided to expand your operations to sell your products via the Internet. ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Financial Management Expert