An increase in the risk associated with a future stream of cash should result in an increase in the discount
rate used in the present value calculation.
True False
Posts Tagged ‘future’
An increase in the risk associated with a future stream of cash should result in an increase in the discount?
10
Jul
How do I find a formula for future and present values?
04
Jul
A persons annual salary starts out at $30,000. Find the formula for the persons salary t years later and find the salary after 5 years and 30 years in each case below:
a) each year the person recieves a raise of $2,000
b) Each year the person recieves a 5% raise
How do you determine the future value of multiple single cash flows?
09
Jun
Hi, I am unsure to determine, if you deposit $100 today and $200 at the end of this year and also deposit another $200 in 2 years from now, assuming that you can earn an interest rate of 4.5%p.a. on your investment, how much would you have in exactly 5 years from now?
Could you please show your working out.
Cheers 
What is the FORMULA to find out the net present value of an amount to be received in the future?
09
Jun
how to calculate future value?
08
Jun
if you deposit $10000 in a bank that pays 10% interest annually how much will be in your account after 5yrs
I’m so annoyed by Mother in Law’s bragging over her future hybrid car. How to get her to stop?
08
Jun
Ok so my hubby and I don’t drive a new car, it’s almost ten years old. We made a deal to loan money off her boyfriend and pay him back so we can get a second car. Her boyfriend decided he’s going to help her buy her a Toyota Prius because she drives like a mad woman. She is going to have to pay monthly payments which are going to be at least $300 a month ontop of at least $200 a month in gasoline. I am getting so annoyed hearing her say how she put down a deposit and she’s going to get her Prius soon. She already had her other car reposessed and my husband had to cover for her and go retrieve the vehicle that she HID at her boyfriend’s house. She’s a criminal, I know.
Anyways, I don’t think hybrid cars are a great deal for someone who is always complaining about being broke, who had a car repoed not even 1 year ago, and who cannot afford her utility bills to begin with. It’s just going to add an extra few hundred to her expenses, even if she saves money on gas, she’ll still have a car payment.
So everytime we see her, she is in lala land about this car she has on hold for when it comes in. What can I say to get her to stop? It’s getting rediculous, and no, I’m not jealous. I’m just ticked that this woman needs two cars and she’s a single mother (and she has to brag to someone less fortunate about it!)
Find the future value of the originally annuity?
08
Jun
R = 7,500 i = 12% interest compounded semiannually for 2 years
semiannually is twice a year, soo 0.12/2= 0.06
soo then FV = 7500(1+0.06)^2= 8427 BUT that answer is not on my multiple choice PLEASE HELP Check my mistake and correct me pleaseee!!!!
i ment to make it ^4 my bad but it still doesnt come out right is there another step after I calculate that?
Okay here: Find the future value of the ordinary annuity. R = 7500 i = 12% compouned semiannualy for 2 years
What is the Future value for this problem…?
08
Jun
Calculate, to the nearest cent, the future value of an investment of $10,000 at 0.45% per month compounded monthly after 24 years.
When I do the problem I get the answer 11140.25 but I get it wrong.
Does anyone else get a different answer that’s correct?
What is the future value of $1,500 invested today..?
07
Jun
What is the future value of $1,500 invested today at 7% interest in 6 years with interest compounded annually?
a. $2,251.10
b. $2,103.83
c. $999.51
d. $2,282.30
e. $2,274.66
what is the future value of a 5year ordinary annuity that promises to pay $300 each year. Interest rate 7%?
06
Jun
No I won’t be spending the money. What value after 5 years
How will we have money to support millions of more people in the future?
06
Jun
How will the system of money work to keep from having an extremely disproprotionate balance of wealth and poverty if the rate of population growth continues to soar and we have many millions of more people in the future?
Does the system of money have a mechanism built in to combat something like this? For instance, will more money be made (not currency) in order to support more people?
What is money? Is it silver or what?
why is it not possible to determine the future value of a perpertual stream of cash flow?
06
Jun
Like answer # 4, yeah i think the value of the perpetual cash flows is infinite, not constant and simply perpetually increasing.
i need help on a Finance question regarding Future Value?
06
Jun
i earned 53 cents during a 30-day month in a savings account that pays 5.16% and my average daily balance was $127.89……i am playing around with the future value formula FV= PV[1+(r/m)]^(m*n) and i cannot figure out how they got 53 cents of interest from a $127.89 average daily balance? Interest is compounded daily and computed from the average daily balance on the last day of the month.
Future Value -Math – Accounting?
05
Jun
Please help me solve the following questions.
1. Determine the yield to maturity to the nearest tenth of 1 percent of a zero coupon bond with 8 years to maturity that is currently selling for $404.
2. If a 16 year old high school student put $2,000 at the end of each year for 4 years into an IRA that earned a rate of 9%, how much would she have accumulated by age 65? Assume funds are left to accumulate for 45 years (age 20 – 65) at 9%.
Need help with Calculate the future value of the following?
05
Jun
Please show work….
a. $500 if invested for five years at a 4% interest rate
b. $200 if invested for three years at a 5% interest rate
c. $2100 if invested for seven years at an 12% interest rate
d. $6300 if invested for ten years with a 0% interest rate
Annual percentage yield