Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Jul 24, 2024

You will receive payments of $500 each year and forever where the payments start at t= 8 . Compute the present value of these payments

You will receive payments of $500 each year and forever where the payments start at t= 8 . Compute the present value of these payments at t=0 if the Wacc is 10% per year? a. $2,566 b. $2.639 t. 52301 d. 52.272

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Essentials Of Investments

Authors: Zvi Bodie, Alex Kane, Alan J. Marcus

8th Edition

0077606779, 978-0697789945

More Books

Students also viewed these Finance questions

Question

★★★★★

Identify three internal stimuli and three external stimuli that have prevented you from being an effective listener in the past.

Answered: 1 week ago

Question

★★★★★

2. Discuss the advantages of television as an advertising medium and the importance of these factors to major advertisers such as automobile companies or packaged-goods marketers.

Answered: 1 week ago

Question

★★★★★

The use of work technologies tends to evolve over time and sometimes the characteristics of usage patterns are difficult to predict. Many theories of work technology (e.g. STST) still assume a static...

Answered: 1 week ago

Question

★★★★★

Scora, Inc., is preparing its master budget for the quarter ending March 31. It sells a single product for $ 50 per unit. Budgeted sales for the next four months follow. Prepare a sales budget for...

Answered: 1 week ago

Question

★★★★★

OS 8-9 Bank reconciliation P3 Organic Food Co.'s Cash account shows a $5.500 debit balance and its bank statement shows $5,160 on de posit at the close of business on August 31. Prepare a bank...

Answered: 1 week ago

Question

★★★★★

Chapleton You purchased a bond at a price of $2.500. In 25 years when the bond matures, the bond will be worth $15.000. It is exactly 18 years after you purchased the bond and you can sell the bond...

Answered: 1 week ago

Question

★★★★★

The initial investment in the project is estimated to be $80,000 in year 0, $13,500 in year 1, $16550 in year 2, $12250 in year 3 of the project. The Whalers rest Moton in requires a discount rate of...

Answered: 1 week ago

Question

★★★★★

The notion of visual management and visual control is utilised as part of the lean management system to handle work in a methodical fashion, including decreasing the tracking time for accessing email...

Answered: 1 week ago

Question

★★★★★

When a company evolves beyond its need for an international division, it may be considered a global enterprise. At this stage in its development, it may have any of several organizational structures....

Answered: 1 week ago

Question

★★★★★

South Africa has experienced energy crisis in the past few years. This has led to the many rounds of excessive loadshedding and the Central University of Technology is concerned about the effects of...

Answered: 1 week ago

Question

★★★★★

While the media focused on the downward spiral of the physical retail sector, it seems Amazon was busy ramping up its roll-out of physical stores, a development that many observers have perceived as...

Answered: 1 week ago

Question

★★★★★

List three absolute prerequisites that must exist before an organization should sign a consulting contract.

Answered: 1 week ago

Question

★★★★★

Why must an HR department have to be occasionally prodded to ensure that it operates on a proactive basis?

Answered: 1 week ago

Question

★★★★★

Can consultants replace outsourced activities? Why or why not?

Answered: 1 week ago

Previous Question Next Question