This topic contains a solution. Click here to go to the answer

Author Question: Capital AccumulationSuppose you lend 10,000 to a friend for a year. In that year, the real rate of ... (Read 87 times)

xsk4r3kr0w

  • Full Member
  • ***
  • Posts: 146

Question 1

Financial Markets

You are considering buying a machine that costs $1,211.79. If purchased, the machine yields the income stream shown in the table for the next 7 years.
YearIncome
1485​
2275​
3390​
4330​
50
60
70
Would you buy the machine if the interest rate was 8%? 10%?
◦ no, no
◦ no, yes
◦ yes, no
◦ yes, yes

Question 2

Capital Accumulation

Suppose you lend 10,000 to a friend for a year. In that year, the real rate of return in the stock market is 4%. What is the minimum amount your friend needs to pay you back to make the loan worthwhile?
Please round your final answer to two decimals.
◦ $10,400.00
◦ $20,000
◦ $9,600.00
◦ $10,000


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by xsk4r3kr0w on Nov 23, 2022

labrinker

  • Full Member
  • ***
  • Posts: 162
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 35% of students answer this correctly




xsk4r3kr0w

  • Member
  • Posts: 146
Reply 2 on: Nov 23, 2022
Excellent


amcvicar

  • Member
  • Posts: 341
Reply 3 on: Yesterday
Gracias!

 

Did you know?

On average, someone in the United States has a stroke about every 40 seconds. This is about 795,000 people per year.

Did you know?

Sperm cells are so tiny that 400 to 500 million (400,000,000–500,000,000) of them fit onto 1 tsp.

Did you know?

The types of cancer that alpha interferons are used to treat include hairy cell leukemia, melanoma, follicular non-Hodgkin's lymphoma, and AIDS-related Kaposi's sarcoma.

Did you know?

Acetaminophen (Tylenol) in overdose can seriously damage the liver. It should never be taken by people who use alcohol heavily; it can result in severe liver damage and even a condition requiring a liver transplant.

Did you know?

Dogs have been used in studies to detect various cancers in human subjects. They have been trained to sniff breath samples from humans that were collected by having them breathe into special tubes. These people included 55 lung cancer patients, 31 breast cancer patients, and 83 cancer-free patients. The dogs detected 54 of the 55 lung cancer patients as having cancer, detected 28 of the 31 breast cancer patients, and gave only three false-positive results (detecting cancer in people who didn't have it).

For a complete list of videos, visit our video library