Question
7.What is the price of an asset which pays a cash flow $50,000 in two years and a cash flow of $50,000 in five years
7.What is the price of an asset which pays a cash flow $50,000 in two years and a cash flow of $50,000 in five years at an equal 2.5% discount rate compounded annually?
Please show your calculation process to get partial credits.
8.What is the price of an asset which pays a cash flow $50,000 in two years and a cash flow of $50,000 in five years at an equal 2.5% discount rate compounded annually?
Please fill in this box using the result of the previous question 7, these two questions are the same.
Note: Please round up your answer to the nearest integer
(e.g., if your answer is 170.1 -> you need to write down 170 in the blank
if your answer is 170.7 -> you need to write down 171 in the blank)
9.What is the price of the asset in question 7 but with the two-year discount rate 2.25% and the five-year discount rate 2.5%?
Please show your calculation process to get partial credits.
10.What is the price of the asset in question 7 but with the two-year discount rate 2.25% and the five-year discount rate 2.5%?
Please fill in this box using the result of the previous question 9, these two questions are the same.
Note: Please round up your answer to the nearest integer
(e.g., if your answer is 170.1 -> you need to write down 170 in the blank
if your answer is 170.7 -> you need to write down 171 in the blank)
11.What is the price of an annuity with a 10-year maturity and annual payment of $5,000 at a yield of 2.5%?
Please show your calculation process to get partial credits.
12.What is the price of an annuity with a 10-year maturity and annual payment of $5,000 at a yield of 2.5%? Please fill in this box using the result of the previous question 11, these two questions are the same.
Note: Please round up your answer to the nearest integer
(e.g., if your answer is 170.1 -> you need to write down 170 in the blank
if your answer is 170.7 -> you need to write down 171 in the blank)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started