Your uncle offers you a stream of payments whose present value, today, is $62,000. There are 15 equal annual payments in the stream. The first payment in the stream occurs seven years from today
If the interest rate is 14%, then what is the value of each payment?
A) $22,156.40
B) $19,435.43
C) $25,258.29
D) $28,794.45
E) $10,094.16
A
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What is a competitive advantage?
A. A product that an organization's customers place a lesser value on than similar offerings from a competitor. B. A service that an organization's customers place a lesser value on than similar offerings from a supplier. C. A feature of a product or service on which customers place a lesser value than they do on similar offerings from a supplier. D. A feature of a product or service on which customers place a greater value than they do on similar offerings from competitors.
The FASB and the IASB are reconsidering the role of uncertainty, or probability, in the definition, recognition, and measurement of liabilities. Existing recognition criteria include a probable future sacrifice of resources; one issue involves the minimum probability level to warrant recognition of an uncertain obligation as a liability. U.S. GAAP does not specify a minimum probability level,
although the rule-of-thumb in practice is approximately _____ percent. a. 50 b. 60 c. 70 d. 80 e. 90
UCC Section 2-204 provides three important rules that enable parties to make a contract quickly and informally. Which of the following is NOT one of these rules?
A) The parties may make a contract in any manner sufficient to show that they reached an agreement. B) A writing sufficient under the statute of frauds may be a simple memo, a letter, or informal note, but need not itself be a contract. C) The UCC will enforce a deal even though it is difficult to say exactly when it was formed. D) A court may enforce a bargain even though one or more terms were left open.
The process by which management evaluates long-term investment decisions involving long term operational assets is called:
A. capital investment analysis. B. activity based management. C. fixed cost analysis. D. strategic business analysis.