Best Corporation is expected to pay $.60 next year and $1.10 the following year and $1.25 each year thereafter. If the required return is .14, what is the priice of the stock? $7.40 $2.95 $8.24 $2.22
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- If $8,000 is invested in a certain business at the start of the year, the investor will receive $2,400 at the end of each of the next four years. What is the present value of this business opportunity if the interest rate is 4% per year? OA. $1,138.8 OB. $355.88 OC. $711.75 OD. $854.1 C...If you invest $25,000 today and eight years later receive $34,010.59, what annually compounded return have you earned? (answer in percentage, but without the % sign, e.g. 6.51% is entered as 6.51 - not 0.0651)What's the rate of return you would earn if you paid $2,880 for a perpetuity that pays $65 per year? X-1 Corp's total assets at the end of last year were $425,000 and its EBIT was $52,500. What was its basic earning power (BEP) ratio?
- Assume that at the beginning of the year, you purchase an investment for $6,500 that pays $95 annual income. Also assume the investment's value has increased to $7,050 by the end of the year. a. What is the rate of return for this investment? Note: Input the amount as a positive value. Enter your answer as a percent rounded to 2 decimal places.An investment pays $200 at the end of Year I. $250 at the beginning* of Year 2. $387 at the end of Year 4. and $500 at the beginning of Year 6. If other investments of equal Mk earn 7.5% annually. what will be this investments present value and future value?If Quail Company invests $46,000 today, it can expect to receive $12,000 at the end of each year for the next seven years, plus an extra $6,400 at the end of the seventh year. (PV of $1, FV of $1, PVA of $1, and FVA of $1. What is the net present value of this investment assuming 12% return on investments? Need the Present Value of of an Annuity Present Value of 1, Present Value of Cash Inflows, Immediate Cash Outflows and The Net Present Value. n= 7 and i= 12%
- If $10,000 is invested in a certain business at the start of the year, the investor will receive $3,000 at the end of each of the next four years. What is the present value of this business opportunity if the interest rate is 4% per year? A. $1,068 B. $890 C. $445 D. $1424What is the simple payback period (in years) for an investment of $465,000 if the net annual income is $75,000? O a.7 O b.8 O c. 5 O d. 9 O e. 6Assume that at the beginning of the year, you purchase an investment for $7,200 that pays $100 annual income. Also assume the investment's value has decreased to $6,800 by the end of the year. (a) What is the rate of return for this investment? (Input the amount as a positive value. Enter your answer as a percent rounded to 2 decimal places.) Rate of return % (b) Is the rate of return a positive or negative number? Positive O Negative
- Assume that at the beginning of the year, you purchase an investment for $6,300 that pays $130 annual income. Also assume the investment's value has increased to $6,900 by the end of the year. a. What is the rate of return for this investment? Note: Input the amount as a positive value. Enter your answer as a percent rounded to 2 decimal places. Rate of return % b. Is the rate of return a positive or a negative number? Positive NegativeSuppose that you have the opportunity to receive $24,000 per year for the next 6 years. Over this time period, the APR is 7% per year. Interest is compounded on a monthly basis. How much are you willing to pay for this investment today? Round your answer to the nearest dollar. a. PVA = $113,739 b. PVA = $118,309 c. PVA = $117,309 d. PVA = $118,903. GHA Co. made an investment of $10,000 and from this it will receive $800 annually for the next 18 years (starting one year from now). The interest rate that GHA will be earning is between ____% and ____%.