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PLEASE ANSWER PROBLEMS 2 to 5 as well. Problem 2: (20 pts) You've driving your hooptie for years and would like to buy a nice

PLEASE ANSWER PROBLEMS 2 to 5 as well. image text in transcribed
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Problem 2: (20 pts) You've driving your hooptie for years and would like to buy a nice car as a graduation gift to yourself. The 2023 Audi A4 sells for roughly $40,300. The 2023 Honda Accord sells for $28,000. You've decided to use the $2000 in graduation gifts from family as a down payment. Your local credit union has offered you a 7\% APR, a better rate than the dealership offered. You've decided to take out a loan for 72 months. a) What is the monthly interest rate? What is the yearly effective interest rate? b) What would be your monthly payment on the Audi A4? What about on the Honda Accord? c) How much money would you save by purchasing the Honda instead of the Audi? (Hint: it's much more than just the difference is prices.) PLEASE ANSWER QUESTION FULLY AND GIVE THE RIGHT RESPONSE MY WHOLE CLASS DEPENDS ON IT (Answer all parts please). Problem 3: (20 pts) Yahoo! Finance lists the Beta of Netflix stock as 1.28. Use the adjusted close stock price series below to compute Beta of Netflix. What does the beta value you computed suggest about the riskiness of Netflix compared to the average stock? You will likely not compute the beta to be 1.28 exactly, but you should get something close. The data is present in the figures. PLEASE ANSWER QUESTION FULLY AND GIVE THE RIGHT RESPONSE MY WHOLE CLASS DEPENDS ON IT (Answer all parts please). Problem 4: (20pts) You've decided to add government bonds to your portfolio as a way to add low-risk investments. On 12/01/2022, you purchase the 5% coupon bond maturing in February 15th, 2028. The bond pays coupons twice a year -- in February 15th and August 15th. The current bond price is $99.50. Par value of the bond is $100. a) Use the XIRR function to compute the YTM on this bond. Don't forget accrued interest. b) Use a data table to demonstrate how the bond price influences the YTM. Place YTM on the X axis, place price on the Y. What does this chart show about the relationship between yield and price? PLEASE ANSWER QUESTION FULLY AND GIVE THE RIGHT RESPONSE MY WHOLE CLASS DEPENDS ON IT (Answer all parts please). Problem 5: (20pts) The last 5 years' results of Niccair Corporation are given below. Value the company's stock based on a FCFF model. This means you will need to use the values below to estimate the future growth of Niccair's free cash flows to the firm, then discount those cash flows back to the present using the formula to value a growing perpetutity. You may assume your estimate of Niccair's growth rate remains constant throughout the life of the firm. You will also need to estimate the WACC for Niccair in order to discount your cash flows. Consider that Niccair's 2015 year-end debt is $750MM. Niccair's 2015 year-end cash is \$50MM. The company has a cost of debt of 5%. The company has 44,080,000 shares outstanding. The year-end share price is $37. Niccair's beta is 2 , the risk-free rate is 3%, the expected return on the market is 12%. (Answer all parts please)

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