A scholarship fund earns an effective annual rate of 8%. How much does the scholarship fund need today if the fund pays an annual amount of $4,000, the first payment being today, and grows at 4% per annum for an infinite period? Select one: a. $100,000.00 b. $104,000.00 c. $108,000.00 d. $102,000.00 When an investor sells a bond prior to its maturity, the return on investment can be described as Select one: a. the opportunity cost. b. the realised yield, c. the coupon rate. d. the yield to maturity. A company offered shares in their IPO at $2.00 each. Their first sale on the ASX was at $2.20. By the end of the first day of trading their shares were trading at $2.50 and today they are trading at $2.60. The cost of under- pricing the issue was Select one: a. The number of shares issued multiplied 50c b. The number of shares issued multiplied by 60c c. The number of shares issued multiplied by 200 d. The number of shares issued multiplied by 30c. Jessie is planning a world trip in the future. She intends to save $1,000 per month for 3 years, into an account at her bank that pays a nominal rate of interest of 4.8% per annum, compounding monthly. She makes her first payment today. The future value of Jessie's savings exactly one month after the final monthly payment will be Select one: a. $16,489.31 b. $38,792.66 c. $40,012.33 d. $36,351.92 Abbey's parents make a deposit at her birth. The bank pays interest at 3% p.a. effective. For Abbey to be able to withdraw 5 annual payments of $10,000 starting on her 21st birthday, how much should Abbey's parents deposit at her birth? Select one: a. $25,741.22 b. $24,444.11 c. $25,356.73 d. $22,636.31