Question
Helpp 4. 7 points. You are offered an investment which will pay you $1000 in one...
helpp

4. 7 points. You are offered an investment which will pay you $1000 in one year, $2000 in three years and $2500 in four years. How much are you willing to pay for this investment? Interest rate = 3.75%
Answers
The amount to be paid for investment is present value of future payment received on investment Year Cash flow Discount factor @ 3.75% Present value 1 $1,000 0.96386 $963.86 3 $2,000 0.89544 $1,790.88 4 $2,500 0.86307 $2,157.68 $4,912.41 Thus, one would be willing to pay $4,912.31 for investment
Similar Solved Questions
1 answers
Point A is at #(-1 ,-5 )# and point B is at #(-2 ,4 )#. Point A is rotated #pi/2 # clockwise about the origin. What are the new coordinates of point A and by how much has the distance between points A and B changed?
Point A is at #(-1 ,-5 )# and point B is at #(-2 ,4 )#. Point A is rotated #pi/2 # clockwise about the origin. What are the new coordinates of point A and by how much has the distance between points A and B changed?...
1 answers
Find two consecutive positive integers such that the square of the smaller increased by 4 times the larger is 64
Find two consecutive positive integers such that the square of the smaller increased by 4 times the larger is 64....
1 answers
Search for an editorial piece written in a reputable source on the topic about single payer...
Search for an editorial piece written in a reputable source on the topic about single payer healthcare....
1 answers
Describe the scope and characteristics of an EHR or other health IT project.
Describe the scope and characteristics of an EHR or other health IT project....
1 answers
Which of the following statements is correct? GDP can be calculated by adding up the values...
Which of the following statements is correct? GDP can be calculated by adding up the values of all goods and services produced. GDP can be calculated by adding up the values of all intermediate goods produced, GDP can be calculated by adding up the values of all four of its components. GDP can be ca...
1 answers
Using the information in the table, total fixed costs equals $ Supporting Materials Question 15 According...
Using the information in the table, total fixed costs equals $ Supporting Materials Question 15 According to the information in the table, what is total variable cost when producing zero bushels of corn? $ Supporting Materials Question 16 Costs 4 mgd plant 8 mgd plant 12 mgd plant Water I...
1 answers
3. A mass of 1kg is attached to a spring, with k=1, and placed in a...
3. A mass of 1kg is attached to a spring, with k=1, and placed in a medium with y = 4. After it reaches equilibrium, the mass is pulled down 1m and released with no initial velocity. Set up the initial value problem that describes the situation....
1 answers
Why is it difficult for colluding firms to maintain a cartel? Select one: a. Because member...
Why is it difficult for colluding firms to maintain a cartel? Select one: a. Because member firms find the prospect of cheating too attractive to resist b. Because the large profits made by existing firms result in new firms entering the industry c. Because cartels always end up producing too little...
1 answers
Please solve the given differential equation 11. [y cos(xy) sin x] dx +xcos(xy) dy 0
please solve the given differential equation 11. [y cos(xy) sin x] dx +xcos(xy) dy 0...
1 answers
Please answer each section!! extremely important LABORATORY 9 MAGNETISM II: FORCE ON A CURRENT-CARRYING WIRE Objectives...
please answer each section!! extremely important LABORATORY 9 MAGNETISM II: FORCE ON A CURRENT-CARRYING WIRE Objectives to be able to determine the magnitude and direction of the force on a current- carrying wire in a magnetic field to be able to apply Newton's Laws in magnetostatics to be able ...
1 answers
3. Consider the initial value problem y(t) = y, y(0) = 1. a. Write down (i.e.,...
3. Consider the initial value problem y(t) = y, y(0) = 1. a. Write down (i.e., write the formula which describes one step, Yn+1 = yn + ...) the second order Taylor method with step size h for this initial value problem. b. Write down the time stepping formula Yn+1 = Yn +... for the modified Euler me...
1 answers
Review the following court case: Jackson v. Metropolitan Edison Co. 419 U.S. 345(1974) 1. What are...
Review the following court case: Jackson v. Metropolitan Edison Co. 419 U.S. 345(1974) 1. What are the facts of this case? What is the issue? 2. In what court was it decided, and how did it get to that court? 3. What did the court below decide, and why? What did this court decide, and why? 4. Wha...
1 answers
In this assignment, you will need to come up with a production function for a firm....
In this assignment, you will need to come up with a production function for a firm. 1. First, you will have to determine what kind of firm you want to be and what product you will (hypothetically) produce. 2. Next, you will have to describe the production function of your firm. Naturally production ...
1 answers
12. Suppose that the number of goals scored by the King Philip High School soccer team...
12. Suppose that the number of goals scored by the King Philip High School soccer team is Poisson distributed with a mean (u) of 3.2 per game. If we randomly attended a game last season, what is the probability we saw King Philip shut out? (Note: being shut out means King Philip scored no goals) EXC...
1 answers
4 Use the normal distribution to approximate the desired probability. A coin is tossed 21 times....
4 Use the normal distribution to approximate the desired probability. A coin is tossed 21 times. A person, who claims to have extrasensory perception, is asked to predict the outcome of each flip in advance. She predicts correctly on 15 tosses. What is the probability of being correct 15 or more tim...
1 answers
THANK YOU:)! REQ#1 REQ#2 REQ#3 REQ#4 Required information The following information applies to the questions displayed...
THANK YOU:)! REQ#1 REQ#2 REQ#3 REQ#4 Required information The following information applies to the questions displayed below) Marcelino Co.'s March 31 inventory of raw materials is $86,000. Raw materials purchases in April are $540,000, and factory payroll cost in April is $376,000...
1 answers
Please include explanations Exam 3 1. oa3-meter meteor screamlng through the atmosphere at 60 km/sec, use the binomial approximation to calculate the relatvlstc chane In s length, fo L. Start with (1...
Please include explanations Exam 3 1. oa3-meter meteor screamlng through the atmosphere at 60 km/sec, use the binomial approximation to calculate the relatvlstc chane In s length, fo L. Start with (1-x)"-1 + nx Please include explanations Exam 3 1. oa3-meter meteor screamlng through the atmosp...
1 answers
8. (19 points) A random sample of five students visiting the student hcalth center for a...
8. (19 points) A random sample of five students visiting the student hcalth center for a dental cxamination were asked how many months had passed since their last visit to the dentist. Their responses were as follows: G, 17, 11, 22, 29. Assuunc that the population distribution is nornal. a. (4 pts) ...
1 answers
23. (6 points) Use Hess's law to calculate ΔG.xn using the following information. 2 03(g) -3...
23. (6 points) Use Hess's law to calculate ΔG.xn using the following information. 2 03(g) -3 02(g) 02(g)-2 0(g) NO(g) + O3(g)--NO2(g) + O2(g) (6 points) Calculate ΔGrxn at 25 °C when P(NO) 0.015 atm, P(O)-0.76 atm, and P(NO2) atm. Is the reaction more or less spontaneous under th...