You would like to vacation in Hawaii for one week each year. You can buy a time share for a vacation home in Hawaii for $21,793 today and a maintenance fee of $678 per year starting next year. You expect to sell the time share in 8 years for $28,170. Alternatively you can just pay for the week vacation each year (starting next year). Each year will cost you $3,232. If your investments earn 3.72% per year (compounded annually)how much do you save or lose by buying the time share in PV terms.
If you lose money, state your answer as a negative.

Which of the following statements about the relationship between economic costs and accounting costs is true? multiple choice accounting costs are equal to or greater than economic costs. accounting costs must always equal economic costs. accounting costs are always greater than economic costs. accounting costs are always less than or equal to economic costs.

Neon light company of kansas city ships lamps and lighting appliances throughout the country. ms. neon has determined that through the establishment of local collection centers around the country, she can speed up the collection of payments by one and one-half days. furthermore, the cash management department of her bank has indicated to her that she can defer her payments on her accounts by one-half day without affecting suppliers. the bank has a remote disbursement center in florida. a. if neon light company has $2.90 million per day in collections and $1.18 million per day in disbursements, how many dollars will the cash management system free up?

Storico co. just paid a dividend of $3.15 per share. the company will increase its dividend by 20 percent next year and then reduce its dividend growth rate by 5 percentage points per year until it reaches the industry average of 5 percent dividend growth, after which the company will keep a constant growth rate forever. if the required return on the company’s stock is 12 percent, what will a share of stock sell for today?