Calculate the percentage return on a 1-year Treasury bill with a face value of $10,000if you pay $9,138.01 to purchase it and receive its full face value at maturity. The percentage return is ______%. (Round to two decimal places.)
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to purchase it and receive its full face value at maturity.
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- You will receive a cash payment of $7072 in 7 years. If the relevant interest rate is 19.89%, how much is it worth today? Round to 2 decimal places. Include dollar signs ($) and percents (%) as appropriate.Calculate the percentage return on a 1-year Treasury bill with a face value of $10 comma 00010,000 if you pay $9 comma 859.819,859.81 to purchase it and receive its full face value at maturity.What is the difference in present value between a perpetuity that pays $500 per year and an ordinary annuity that pays $500 per year for 23 years? Assume a discount rate of 7% and cash flows at the end of the period. Enter your answer as a number rounded to 2 decimal places.
- You want to invest in an annuity that will pay you $2,300 per quarter for the first 8 years and $1,200 per month for the last 5 years. If the annuity earns 4.35% compounded quarterly for the first 8 years and 5.85% compounded monthly for the remaining 5 years, what would be the amount of your initial investment? Enter the appropriate values in the blanks below, round answers to two decimal places. Initial Balance ||<---- I 5 years A/ N = A/ P/Y= A/ PV = A/ PMT= A/ FV = Final Balance A/ E ECompute the present value of a perpetuity that pays $6,744 annually given a required rate of return of 9 percent per annum. Round your answer to 2 decimal places; record your answer without commas and without a dollar sign. Answer Question 4 Assume that you deposit $3,956 each year for the next 15 years into an account that pays 20 percent per annum. The first deposit will occur one year from today (that is, at t = 1) and the last deposit will occur 15 years from today (that is, at t = 15). How much money will be in the account 15 years from today? Round your answer to 2 decimal places; record your answer without commas and without a dollar sign.If you deposit $P into a savings account that earns interest at a rate of i% per month for n years, the future worth in year n is represented by all of the following equations, except: (a) F = $P(F∕P, effective i/month, 12n) (b) F = $P(F∕P, effective i/quarter, 3n) (c) F = $P(F∕P, effective i/6-month, 2n) (d) F = $P(F∕P, effective i/year, n)
- If you borrow $15,500 with a 5 percent interest rate to be repaid in seven equal payments at the end of the next seven years, what would be the amount of each payment? Use Exhibit 1 - D. (Round your PVA factor to 3 decimal places and final answer to 2 decimal places.)Calculate the future value of the following annuities, assuming each annuity payment is made at the end of each compounding period. (FV of $1. PV of $1, EVA of $1, and PVA of $1) (Use tables, Excel, or a financial calculator. Round your answers to 2 decimal places.) 1. Annuity Payment $ 3,700 Annual Rate Interest Period Compounded Invested Future Value of Annuity 7.0% Semiannually 9 years 2. 6,700 8.0% Quarterly 5 years 3. 5,700 12.0% Annually 6 yearsAn investment will pay you $4,611.9 in 3 years if you pay $1,376.68 today. What is the implied rate of return? (Convert to a percent. Round to 2 decimal places.)
- if you want to be paid from a 14 year ordinary annuity with a guaranteed rate of 2.208% compounded annually, how much should you pay for one of these annuities if you want to receive annual payments of $9,000.00 over the 14 year period? (Note: Your answer should have a dollar sign and be accurate to two decimal places)Calculate the present value of the following annuities, assuming each annuity payment is made at the end of each compounding period. (FV of $1. PV of $1. FVA of $1, and PVA of $1) (Use tables, Excel, or a financial calculator. Round your answers to 2 decimal places.) 1. 2. 3. Annuity Payment $ 5,600 10,600 4,600 Annual Rate Interest Compounded Semiannually 9.0% 10.0% Quarterly 11.0% Annually Period Invested 3 years 2 years 5 years Present Value of AnnuityA promissory note will pay $52,000 at maturity 8 years from now. If you pay $25,000 for the note now, what rate compounded continuously would you earn? The investment would earn about % compounded continuously (Round to three decimal places as needed.) CODE