This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: The present value of an ordinary annuity of 350 each year for five years, assuming an opportunity ... (Read 129 times)

awywial

  • Hero Member
  • *****
  • Posts: 577
on: Jul 10, 2018
The present value of an ordinary annuity of 350 each year for five years, assuming an opportunity cost of 4 percent, is: (Round to the nearest whole dollar)
 
  A) 288
  B) 1,896
  C) 1,750
  D) 1,558

Question 2

In order to open up your new business you need to take out a loan. First Bank charges 6 compounded quarterly, and Second Bank charges 6.5 compounded semi-annually. From which bank would you prefer to obtain your loan?
 
  A) First Bank
  B) Second Bank
  C) Indifferent


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

yuyiding

  • Sr. Member
  • ****
  • Posts: 357
Reply #1 on: Jul 10, 2018
Answer to Question 1

D

Answer to Question 2

A


awywial

  • Hero Member
  • *****
  • Posts: 577
Reply #2 on: Jul 10, 2018
Correct answers!


yuyiding

  • Sr. Member
  • ****
  • Posts: 357
Reply #3 on: Jul 10, 2018
Great! Please up vote :D


« previous next »
 

Did you know?

More than 50% of American adults have oral herpes, which is commonly known as "cold sores" or "fever blisters." The herpes virus can be active on the skin surface without showing any signs or causing any symptoms.

Did you know?

HIV testing reach is still limited. An estimated 40% of people with HIV (more than 14 million) remain undiagnosed and do not know their infection status.

Did you know?

People about to have surgery must tell their health care providers about all supplements they take.

Did you know?

Giardia is one of the most common intestinal parasites worldwide, and infects up to 20% of the world population, mostly in poorer countries with inadequate sanitation. Infections are most common in children, though chronic Giardia is more common in adults.

Did you know?

There are over 65,000 known species of protozoa. About 10,000 species are parasitic.

Evolution of the Sun's luminosity, radius and effective temperature compared to the present Sun Evolution of the Sun's luminosity, radius and effective temperature compared to the present Sun
Levallois points and flakes from Kapthurin, Kenya date to between 200,000 and 280,000 years ago. Levallois points and flakes from Kapthurin, Kenya date to between 200,000 and 280,000 years ago.
Prevalence of drug use in the United States. Figures are based on a survey of people 12 years of age ... Prevalence of drug use in the United States. Figures are based on a survey of people 12 years of age ...
How to calculate annuity when compounded quarterly (Part 2) How to calculate annuity when compounded quarterly (Part 2)
Carbon Dioxide Concentrations for 400,000 years Carbon Dioxide Concentrations for 400,000 years
Walking into new year kids drawing Walking into new year kids drawing
Video: Miller's reaction chamber experiment Animation

For a complete list of videos, visit our video library