subject
Business, 05.12.2020 15:10 mahmed78

A security is currently selling for $8,000 and promises to pay $1,000 annually for the next 9 years, and $1,500 annually in the 3 years thereafter with all payments occurring at the end of each year. If your required rate of return is 7% p. a., should you buy this security and why?

ansver
Answers: 2

Another question on Business

question
Business, 21.06.2019 13:00
Druganaut company buys a $21,000 van on credit. the transaction will affect the
Answers: 3
question
Business, 21.06.2019 21:00
While studying for the engineering economy final exam, you and two friends find yourselves craving a fresh pizza. you can't spare the time to pick up the pizza and must have it delivered. "pick-up-sticks" offers a 1-1/4-inch-thick (including toppings), 20-inch square pizza with your choice of two toppings for $15 plus 5% sales tax and a $1.50 delivery charge (no sales tax on delivery charge). "fred's" offers the round, deep-dish sasquatch, which is 20 inches in diameter. it is 1-3/4 inches thick, includes two toppings, and costs $17.25 plus 5% sales tax and free delivery. 1. what is the problem in this situation? state it in an explicit and precise manner. 2. systematically apply the seven principles of engineering economy (pp. 3-6) to the problem you have defined in part (a). 3. assuming that your common unit of measure is dollars (i.e., cost), what is the better value for getting a pizza based on the criterion of minimizing cost per unit of volume? 4. what other criteria might be used to select which pizza to purchase?
Answers: 3
question
Business, 21.06.2019 23:30
Which alternative accounting method allows farmers to record expenses and incomes in the year in which they sell their yield? gaap allows for the method, which permits farmers to subtract the expenses of producing the crop in the year in which they sell the yield and earn the revenue.
Answers: 3
question
Business, 22.06.2019 09:20
Which statement best explains the relationship between points a and b? a. consumption reaches its highest point, and then supply begins to fall. b. inflation reaches its highest point, and then the economy begins to expand. c. production reaches its highest point, and then the economy begins to contract. d. unemployment reaches its highest point, and then inflation begins to decrease.
Answers: 2
You know the right answer?
A security is currently selling for $8,000 and promises to pay $1,000 annually for the next 9 years,...
Questions
question
Mathematics, 15.01.2022 04:10
question
Mathematics, 15.01.2022 04:10
question
Mathematics, 15.01.2022 04:20
question
History, 15.01.2022 04:20
Questions on the website: 13722359