Question
PLEASE ANSWER ALL 1: Derek will deposit $1,668.00 per year for 11.00 years into an account that earns 6.00%. Assuming the first deposit is made
PLEASE ANSWER ALL
1:
Derek will deposit $1,668.00 per year for 11.00 years into an account that earns 6.00%. Assuming the first deposit is made 5.00 years from today, how much will be in the account 36.00 years from today?
2:
What is the value today of receiving $2,542.00 per year forever? Assume the first payment is made 5.00 years from today and the discount rate is 8.00%.
3:
If you are willing to pay $45,621.00 today to receive $4,527.00 per year forever then your required rate of return must be ____%. Assume the first payment is received one year from today.
Answer format: Percentage Round to: 2 decimal places (Example: 9.24%, % sign required. Will accept decimal format rounded to 4 decimal places (ex: 0.0924))
4:
f you are willing to pay $21,422.00 today to receive a perpetuity with the first payment occurring next year then the payment must be $______. Assume a 12.00% discount rate.
Answer format: Currency: Round to: 2 decimal places
5:
What discount rate would make you indifferent between receiving $3,650.00 per year forever and $5,024.00 per year for 27.00 years? Assume the first payment of both cash flow streams occurs in one year.
Answer format: Percentage Round to: 2 decimal places (Example: 9.24%, % sign required. Will accept decimal format rounded to 4 decimal places (ex: 0.0924))
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