Question: Need help with questions 5-8 calculator isn't computing properly 5). Find the interest rates, or rates of return on each of the following: (a) You

Need help with questions 5-8 calculator isn't computing properly

Need help with questions 5-8 calculator isn't computing properly 5). Find the

5). Find the interest rates, or rates of return on each of the following: (a) You borrow $85,000 and promise to pay back $200,000 at the end of 10 years. (b) You borrow $9,000 and promise to make payments of $2,684.80 per year for 6 years. 6). While Bob Karp was a student at the University of Florida, he borrowed $12,000 in student loans at an annual interest rate of 9 percent. If Bob repays $1,500 per year, how long to the nearest year, will it take him to repay the loan? 7). Which amount is worth more at 1 percent: $920 in hand today or $2.000 due after 6 years? 8). Project L has a cost of $52,125, and its expected net cash inflows are $12,000 per year for 8 years (a) (b) (c) What is the project's payback period? If the cost of capital is 12 percent. What is the project's NPV? What is the project's IRR (Hint: Recognize that the project is an annuity)

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