EXPLAIN ANSWER IN SIMPLEST WAY. Include calculator keys if possible. Wexter and Daughter invested $$165,000$ to help fund a company expansion project planned for $3$ years from now. How much additional money will the firm have saved $3$ years from now if it can earn $7\%$ rather than $5\%$ compounded on this money? $$11,124$

Which of the following is NOT a technique to tackle agency issue in a corporation? Increase management compensation.

You just won the lottery! As your prize you will receive $$1,500$ a month for ten years, If you can earn $9\mathrm{.}3\%$ on your money, what is this prize worth to you today? $$116,908\mathrm{.}87$

Which one of the following statements concerning a sole proprietorship is correct? The life of the firm is limited to the life span of the owner.

You are considering a job offer. The job offers an annual salary of $$52,000,$ $$55,000,$ and $$60,000$ a year for the next three years, respectively. The offer also includes a starting bonus of $$2,000$ payable immediately. What is this offer worth to you today at a discount rate of $6\%?$ $$150,383\mathrm{.}56$

You are considering a project with the following cash flows:

Year $1$ Year $2$ Year $3$

$$5,600$$$9,000$$$2,000$

What is the present value of these cash flows, given an $11\%$ discount rate? $$13,812\mathrm{.}03$

$27.$ Sedge Inc, has a $12\%$ required rate of return. It does not expect to pay dividends for seven years. At the beginning of year $8,$ it will pay $$2\mathrm{.}00$ per share dividend. At that time, Sedge Inc. expects its dividend to grow at $7\%$ forever. Calculate the stock price now. $$18\mathrm{.}09$

$28.$ You are investing $$750$ for $10$ years to provide equal annual withdrawals. The rate of return you require is $6\mathrm{.}5\%.$ How much can you withdraw annually from the investment? $$104\mathrm{.}33$

$29.$ You have a $25-$year $$800,000$ mortgage with a $4\mathrm{.}5\%$ rate of interest $($compounded monthly$)$ that you make monthly payments on$.$ What is the balance of the loan at the end of year $22?$ $$149,483$

$30.$ You want to invest in a stock that pays $$6\mathrm{.}00$ annual cash dividends for the next five years. At the end of the five years, you will sell the stock for $$30\mathrm{.}00.$ If you want to earn $10\%$ on this investment, what is a fair price for this stock if you buy it today? $$41\mathrm{.}37$