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An investor bought a store worth $580,000 with 20 percent down payment. The balance is to be paid off with equal annual payments at the
An investor bought a store worth $580,000 with 20 percent down payment. The balance is to be paid off with equal annual payments at the end of each year over 30 years at a 3.5 percent rate of interest. What is the amount of the annual payment? $17,348.44 $19,085.25 $21,729.61 $23,667.34 $25,228.30 QUESTION 15 A stock has a beta of 2.02, the risk-free rate is 2.1%, and the market risk premium (i.e., Rm - rf) is 7.3%. What is the required rate of return on the firm's stock? 15.08% 15.53% 15.98% 16.41% 16.85% QUESTION 16 A bank is offering a CD that pays a nominal rate of 1.6 percent with interest compounded monthly. What is the effective rate of interest on this CD? (Note that nominal rate is the annual interest rate in nominal terms) 1.6000% 1.6080% 1.6118% 1.6130% 1.6142%
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