Problem 1 Your finance text book sold 54,500 copies in its first year. The drafting company expects the sales to grow at a rate of 17.0 percent for the next three years, and by 8.0 percent in the fourth year. Calculate the total number of copies that the drafter expects to sell in year 3 and 4. (If you solve this problem with algebra round intermediate calculations to 6 decimal places, in all cases round your final answers to the nearest whole number.) ___________ Problem 2 Find the present value of $4,800 under each of the following rates and periods. (If you solve this problem with algebra round intermediate calculations to 6 decimal places, in all cases round your final answer to the nearest penny.) a. 8.9 percent compounded monthly for five years. Present value $ ________ b. 6.6 percent compounded quarterly for eight years. Present value $ ________ c. 4.3 percent compounded daily for four years. Present value $ ____________ d. 5.7 percent compounded continuously for three years. Present value $ _________ Problem 3 Trigen Corp. management will invest cash flows of $612,209, $428,657, $934,837, $818,400, $1,239,644, and $1,617,848 in research and development over the next six years. If the appropriate interest rate is 9.85 percent, what is the future value of these investment cash flows six years from today? (Round answer to 2 decimal places, e.g. 15.25.) Future value $ _______ Problem 4 You wrote a piece of software that does a better job of allowing computers to network than any other program designed for this purpose. A large networking company wants to incorporate your software into their systems and is offering to pay you $489,000 today, plus $489,000 at the end of each of the following six years for permission to do this. If the appropriate interest rate is 8 percent, what is the present value of the cash flow stream that the company is offering you? (Round answer to the nearest whole dollar, e.g. 5,275.) Present value $ ________ Problem 5 Barbara is considering investing in a stock and is aware that the return on that investment is particularly sensitive to how the economy is performing. Her analysis suggests that four states of the economy can affect the return on the investment. Using the table of returns and probabilities below, find Probability Return ________________________________________ Boom 0.1 25.00% Good 0.3 15.00% Level 0.4 10.00% Slump 0.2 -5.00% ________________________________________ What is the expected return on Barbaras investment? (Round answer to 3 decimal places, e.g. 0.076.) Expected return__________ What is the standard deviation of the return on Barbara’s investment? (Round intermediate calculations and answer to 5 decimal places, e.g. 0.07680.) Standard deviation ____________ Problem 6 Trevor Price bought 10-year bonds issued by Harvest Foods five years ago for $917.44. The bonds make semiannual coupon payments at a rate of 8.4 percent. If the current price of the bonds is $1,012.87, what is the yield that Trevor would earn by selling the bonds today? (Round intermediate calculations to 4 decimal places, e.g. 1.2514 and final answer to 2 decimal places, e.g. 15.25%.) Effective annual yield________% Problem 7 The First Bank of Ellicott City has issued perpetual preferred stock with a $100 par value. The bank pays a quarterly dividend of $1.65 on this stock. What is the current price of this preferred stock given a required rate of return of 12.0 percent? (Round answer to 2 decimal places, e.g. 15.25.) Current price $ _______
Please note that this is just a preview of a school assignment posted on our website by one of our clients. If you need assistance with this question too, please click on the Submit Your Instructions at the bottom of the page to get started.
Need Writing Help? Our writing specialists are here 24/7, every day of the year, ready to support you! Instantly chat with an online tutor below or click here to submit your paper instructions to the writing team.
More than just an assignment.
Who is this homework service for?
* If you are having a really hard class and want to get through it, then this is for you.
* If you have a medical emergency or someone close to you has a medical emergency and you don’t think you’ll be able to turn your assignment on time, this is definitely a service you could use.
* You can use us if you are having a tough Professor who won’t give you the grades you deserve.
* If you have a tight work schedule and you are getting points deducted for not submitting assignments on time.
* English might not be your first language and you feel like you are being left behind in class because of it.
* If you have a large project coming up and don’t think you have enough time to get it done well, definitely reach out to us.
Hi there! My name is Anna.
Super stoked you are checking us out! We would like to help you with your assignment. We just need a few things from you:
* The full assignment instructions as they appear on your school account.
* If a Rubric is present, make sure to attach it.
* Any relevant weekly readings or learning resources.
* Include any special announcements or emails you might have gotten from your Professor regarding your assignment.
* Any templates or additional files required to complete the assignment.
If your assignment is somewhat complex and you need to explain it, please don’t hesitate to reach out to me via live chat.
Frequently asked questions
How soon can I get my paper done?
Will it be completely original? I don't want to be caught in a case of Academic Integrity Violation.
We are as paranoid as you are. Maybe even more! And we understand that the greatest sin you can commit in your academic journey is plagiarizing your academic work. To that end, we have made sure that we check and double-check our papers using high quality plagiarism detection tools such as SafeAssign and Turnitin before submitting the paper to you.
Who is my writer? Is he/she a native English Speaker?
All our writers are native English Speakers. That is not to say that ESL writers are not good, we just prefer hiring native writers because we want the very best people working on your paper. This might mean paying a little bit more for your paper as opposed to when you pay a foreign company whose writers are non-native English Speakers.
What if I need revisions? Will your charge additional for this?
Of course not! If you do happen to require a revision on your paper, our team will handle it for you free of charge. Matter of fact, we won’t rest till you are happy with your paper. So, ask for as many revisions as you need, it’s completely FREE!
Will you give me my money back if I don't like my paper?
We have very few instances where we delivered a paper that a client didn’t fall in love with. But if it so happens that you don’t like your paper for any reason whatsoever, we’ll refund your money back no questions asked.
I have more assignments after this, can you help me with those too?
Of course! And what’s even better is that we can reserve a writer permanently to work on your entire class. This comes in handy for projects which build up on each other and where you need just one writer, one writing style.