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Green Forest Food just bought a new hair salon for 1,320,439 dollars. To pay for the hair salon, the company took out a loan that
Green Forest Food just bought a new hair salon for 1,320,439 dollars. To pay for the hair salon, the company took out a loan that requires Green Forest Food to pay the bank a special payment of 22,240 dollars in 6 months and also make regular monthly payments forever. The first regular payment is expected in 1 month and all subsequent regular payments are expected to increase by 0.59 percent per month forever. The interest rate on the loan is 1.09 percent per month. What is the payment expected to be in 1 month? Number You own two investments, A and B, that have a combined total value of 87,809 dollars. Investment A is expected to make its next payment in 1 month. A's next payment is expected to be 190 dollars and subsequent payments are expected to grow by 0.7 percent per month forever. The expected return for investment A is 0.93 percent per month. Investment B is expected to pay 195 dollars each quarter forever and the next payment is expected in 3 months. What is the quarterly expected return for investment B? Answer as a rate in decimal format so that 12.34% would be entered as 1234 and 0.98% would be entered as .0098. Number Lola owns a(n) skating rink that is worth 693,480 dollars and is expected to make annual cash flows forever. The cost of capital for the skating rink is 10.02 percent. The next annual cash flow is expected in one year from today and all subsequent cash flows are expected to grow annually by 5.94 percent. What is the cash flow produced by the skating rink in 8 years from today expected to be? Number Oxygen Optimization just bought a new filtration system for 160,800 dollars. To pay for the filtration system, the company took out a loan that requires Oxygen Optimization to pay the bank a special payment of 112,500 dollars in 3 year(s) and also make regular annual payments forever. The first regular payment is expected in 1 year and is expected to be 2,300 dollars. All subsequent regular payments are expected to increase by a constant rate each year forever. The interest rate on the loan is 10.61 percent per year. What is the annual growth rate of the regular payments expected to be? Answer as a rate in decimal format so that 12.34% would be entered as 1234 and 0.98% would be entered as .0098. Number Cara owns a(n) ice cream parlor that is worth 33,633 dollars and is expected to make annual cash flows forever. The cost of capital for the ice cream parlor is 18.79 percent. The next annual cash flow is expected in 1 year and is expected to be 5,610 dollars. All subsequent cash flows are expected to grow annually at a constant growth rate. What is the cash flow produced by the ice cream parlor in 2 years expected to be? Number Cara owns two investments, A and B, that have a combined total value of 129,634 dollars. Investment A is expected to pay 7,181 dollars per year forever; its next payment is expected in 1 year; and its expected return is 7.02 percent per year. Investment B is also expected to make annual payments forever and make its next payment in 1 year. Investment B's next payment is expected to be 3,248 and all subsequent payments are expected to grow by 5.4 percent per year forever. What is the annual expected return for investment B? Answer as a rate in decimal format so that 12.34% would be entered as 1234 and 0.98% would be entered as .0098. Number Green Forest Food just bought a new hair salon for 1,320,439 dollars. To pay for the hair salon, the company took out a loan that requires Green Forest Food to pay the bank a special payment of 22,240 dollars in 6 months and also make regular monthly payments forever. The first regular payment is expected in 1 month and all subsequent regular payments are expected to increase by 0.59 percent per month forever. The interest rate on the loan is 1.09 percent per month. What is the payment expected to be in 1 month? Number You own two investments, A and B, that have a combined total value of 87,809 dollars. Investment A is expected to make its next payment in 1 month. A's next payment is expected to be 190 dollars and subsequent payments are expected to grow by 0.7 percent per month forever. The expected return for investment A is 0.93 percent per month. Investment B is expected to pay 195 dollars each quarter forever and the next payment is expected in 3 months. What is the quarterly expected return for investment B? Answer as a rate in decimal format so that 12.34% would be entered as 1234 and 0.98% would be entered as .0098. Number Lola owns a(n) skating rink that is worth 693,480 dollars and is expected to make annual cash flows forever. The cost of capital for the skating rink is 10.02 percent. The next annual cash flow is expected in one year from today and all subsequent cash flows are expected to grow annually by 5.94 percent. What is the cash flow produced by the skating rink in 8 years from today expected to be? Number Oxygen Optimization just bought a new filtration system for 160,800 dollars. To pay for the filtration system, the company took out a loan that requires Oxygen Optimization to pay the bank a special payment of 112,500 dollars in 3 year(s) and also make regular annual payments forever. The first regular payment is expected in 1 year and is expected to be 2,300 dollars. All subsequent regular payments are expected to increase by a constant rate each year forever. The interest rate on the loan is 10.61 percent per year. What is the annual growth rate of the regular payments expected to be? Answer as a rate in decimal format so that 12.34% would be entered as 1234 and 0.98% would be entered as .0098. Number Cara owns a(n) ice cream parlor that is worth 33,633 dollars and is expected to make annual cash flows forever. The cost of capital for the ice cream parlor is 18.79 percent. The next annual cash flow is expected in 1 year and is expected to be 5,610 dollars. All subsequent cash flows are expected to grow annually at a constant growth rate. What is the cash flow produced by the ice cream parlor in 2 years expected to be? Number Cara owns two investments, A and B, that have a combined total value of 129,634 dollars. Investment A is expected to pay 7,181 dollars per year forever; its next payment is expected in 1 year; and its expected return is 7.02 percent per year. Investment B is also expected to make annual payments forever and make its next payment in 1 year. Investment B's next payment is expected to be 3,248 and all subsequent payments are expected to grow by 5.4 percent per year forever. What is the annual expected return for investment B? Answer as a rate in decimal format so that 12.34% would be entered as 1234 and 0.98% would be entered as .0098. Number
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