An investment promises two payments of $1000, on dates 60 and 90 days from today. What price
Question:
An investment promises two payments of $1000, on dates 60 and 90 days from today. What price will an investor pay today if her required rate of return is 3%?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 64% (14 reviews)
Price 1000 ...View the full answer
Answered By
Nazrin Ziad
I am a post graduate in Zoology with specialization in Entomology.I also have a Bachelor degree in Education.I posess more than 10 years of teaching as well as tutoring experience.I have done a project on histopathological analysis on alcohol treated liver of Albino Mice.
I can deal with every field under Biology from basic to advanced level.I can also guide you for your project works related to biological subjects other than tutoring.You can also seek my help for cracking competitive exams with biology as one of the subjects.
3.30+
2+ Reviews
10+ Question Solved
Related Book For
Fundamentals Of Business Mathematics In Canada
ISBN: 9781259370151
3rd Edition
Authors: F. Ernest Jerome, Jackie Shemko
Question Posted:
Students also viewed these Mathematics questions
-
An investment promises two payments of $500, on dates three and six months from today. If the required rate of return on the investment is 9%: a. What is the value of the investment today? b. What...
-
An investment promises two payments of $500, on dates three and six months from today. What is the value of the investment today if the required rate of return on the investment is 9%?
-
If the firms required rate of return is 14 percent, what is the net present value of the following project? Year Cash Flow 0 .......... $(75,000) 1 .......... 50,000 2 .......... 40,000
-
The advantages of the computerized conversion process model " What is the EOQ model? (For self-study and research) What is JIT? (Self study and research) A firm expects to sell 2000 units of its...
-
Steam enters an adiabatic turbine steadily at 2.5 MPa, 350oC, 10 m/s and exits at 1 MPa, 30 m/s. The mass flow rate (m) is 5 kg/s. Using the Turbine Simulator RIA (linked from the left margin),...
-
Repeat Problem 72, but now for a tube of radius 10 nm. Express your answer in pascals and as a ratio relative to atmospheric pressure. Data from Problem 72 What is the capillary pressure for water in...
-
Blissful Ltd specialises in bridal wear. The store operates two departments gowns and shoes. The following information was obtained from the stores accounting records for the year ended 30 June...
-
Pierre Company has a 12% note payable with a carrying value of $20,000. Pierre applies the fair value option to this note; given an increase in market interest rates, the fair value of the note is...
-
Strict liability offenses are those that do not require the formation of criminal intent for an individual to be found guilty. Hints: Use these resources to answer the questions below....
-
In November 2015, John Wells, a customer service representative of Bayfield Mud Company, was summoned to the Houston warehouse of Wet-Land Drilling, Inc., to inspect three boxcars of mud treating...
-
Monica finished her program at New Brunswick Community College on June 3 with Canada Student Loans totalling $6800. She decided to capitalize the interest that accrued (at prime plus 2.5%) during the...
-
BMO Bank of Montreal advertises that it will pay an interest rate of 0.2% on a 30-to-59-day GIC, or 0.4% on a 60-to-89-day GIC. Janette has $12,000 to invest. How much more interest will she receive...
-
1. Why did Taco Bell decide to employ this strategy? 2. Do you think it is a wise strategy for them to use? Explain. 3. Will there be a negative consequence to implementing this strategy? Explain. 4....
-
Let f(x,y) = 2x + 2xy + y+2x-3. (a) Find the following partial derivatives. fx = fxx = fy= fyy= (b) Find the critical points of f. fxy = (c) Use the Second Derivatives Test to classify the critical...
-
Calculate the following for the year ending 30 June 2024 (using the information in the textbook) on a taxable income of $20,000, $27,000 and $35,000 for a single Australian resident taxpayer (who is...
-
Blogs have emerged as a new type of online media since our textbook was published. What is a blog? What is the difference between a personal blog and a business blog? Describe how blogs might have an...
-
I need to write a paper about blogs, the blog topic will be gaming. Here are the terms. Which blog offers the best tools and features? List the tools and features that each blog offers. How do they...
-
4. Suppose X and Y are independent uniform random variables on [0, 1]. Let Z=XY. (a) Determine the cdf of Z. Suggestion: First compute P(Z > z) and pay attention to limits of integration (draw a...
-
Kathy and James Mohr, local golf stars, opened the Chip-Shot Driving Range Company on March 1, 2019. They invested $25,000 cash and received common stock in exchange for their investment. A caddy...
-
The landing gear of an aircraft with: mass of 2000 kg the spring-mass-damper system Consider that the runway surface is y(t) = 0.2 cos 157.08t stiffness of the spring is 5 x 105 N/m. What is the...
-
During the month of July, an auto manufacturer gives its production employees a vacation period so it can tool up for the new model run. In surveying a simple random sample of 200 production workers,...
-
A simple random sample of 8 employees is selected from a large firm. For the 8 employees, the number of days each was absent during the past month was found to be 0, 2, 4, 2, 1, 7, 3, and 2,...
-
The average annual U.S. per capita consumption of iceberg lettuce has been estimated as 24.3 pounds. The annual per capita consumption 2 years earlier had been estimated as 21.6 pounds. Could either...
-
Given the function. f(x) = ln (2x+3x) Compute f'(x). Enter your answer rounded to the nearest tenth
-
A motor-cycle manufacturing company desires a profit of $600,000. The fixed costs are $800,000. The unit selling price of the motor-cycle is $750 and the variable cost per unit is $680. How many...
-
3. ZR Corporation's stock has a beta coefficient equal to 0.8 and a required rate of return equal to 11 percent. If the expected rate of return on the market is 12.5 percent, what is the risk-free...
Study smarter with the SolutionInn App