Question
30) At an annual interest rate of 7% the future value of $5,000 in five years is: $7,035 $3,569 $6,757 $7,013 29) You just won
30) At an annual interest rate of 7% the future value of $5,000 in five years is:
| $7,035 | ||
| $3,569 | ||
| $6,757 | ||
| $7,013 |
29) You just won a state lottery! The lottery offers you a choice: you may choose a lump sum today, or $89 million in 26 equal annual installments at the end of each year. Assume the funds can be invested (yield) at an annual rate of 7.65%. What is the lump sum that would equal the present value of the annual installments? :
| $89,000,000 | ||
| $38,163,612 | ||
| $41,083,128 | ||
| $13,092,576 |
28) Due to the resurgence of the coronova virus this autumn, Carls Carpet Cleaning just received cancelation notices covering a third of its orders for the holiday season. Which of the following declines now for Carls?
| book value | ||
| market value | ||
| leverage ratio | ||
| profits tax rate | ||
| balance sheet cash |
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Principles Of Managerial Finance
Authors: Chad J. Zutter, Scott Smart
16th Edition
0136945880, 978-0136945888
