You start a new job. They give you a variety of investments for your $401K$ If a company just paid a dividend of $$2\mathrm{.}50$ per share, the required rate

of return is $9\mathrm{.}5\%$ and the growth rate is $4\%$ then the value of the stock

is You decide to buy a small office building with $1$ tenant. The tenant has a

lease that calls for monthly rent payments of $$2,300$ per month for the next

$6$ years. After that, the lease expires. You expect to be able to increase the

rent $5\%$ per year for years $7-12.$ At the end of year $12$ you intent to sell

the building for $$250,000$

Create a table showing the projected cash flows for the investment,

assuming the next rental payment occurs one month from today.

Assuming you need to earn $11\%$ on this investment, what is the maximum

price you would be willing to pay for the building today? $($ignore taxes

and amortization for this analysis$)$ You want to buy a house with a $$35,000$ down payment. The loan

amount is $$302,000.$ The annual interest rate is $4\%$ and the loan is for

$480$ months. What are your monthly payments?Find the the value of a preferred stock with a $10\%$ coupon and $$120$ par value with a

required rate of return of $15\%.$

plan. You have $4$ choices

A money market fund that historically has returned $3\mathrm{.}2\%$ per year

A long term bond fund with an average annual return of $7\%$

A conservative common stock fund that has earned $7\mathrm{.}8\%$ per year.

An aggressive common stock fund that has earned $13\mathrm{.}2\%$ per yearl.

If you want to contribute $$6000$ per year for the next $25$ years, how much will

you have with each of the options?