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

Author Question: A firm wishes to establish a fund which, in 10 years, will accumulate to 10,000,000. The fund will ... (Read 141 times)

fahad

  • Hero Member
  • *****
  • Posts: 570
on: Jul 10, 2018
A firm wishes to establish a fund which, in 10 years, will accumulate to 10,000,000. The fund will be used to repay an outstanding bond issue.
 
  The firm plans to make deposits, which will earn 12 percent, to this fund at the end of each of the 10 years prior to maturity of the bond. How large must these deposits be to accumulate to 10,000,000?

Question 2

The net present value is found by subtracting a project's initial investment from the present value of its cash inflows discounted at a rate equal to the project's internal rate of return.
 
  Indicate whether the statement is true or false


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Amiracle

  • Sr. Member
  • ****
  • Posts: 334
Reply #1 on: Jul 10, 2018
Answer to Question 1

Financial Calculator: PV=0, FV=10000000, N=10, I=12, CPT PMT: 569,833.04

Answer to Question 2

FALSE


fahad

  • Hero Member
  • *****
  • Posts: 570
Reply #2 on: Jul 10, 2018
Thank you


Amiracle

  • Sr. Member
  • ****
  • Posts: 334
Reply #3 on: Jul 10, 2018
No problemo


« previous next »
 

Did you know?

Disorders that may affect pharmacodynamics include genetic mutations, malnutrition, thyrotoxicosis, myasthenia gravis, Parkinson's disease, and certain forms of insulin-resistant diabetes mellitus.

Did you know?

According to the National Institute of Environmental Health Sciences, lung disease is the third leading killer in the United States, responsible for one in seven deaths. It is the leading cause of death among infants under the age of one year.

Did you know?

Ether was used widely for surgeries but became less popular because of its flammability and its tendency to cause vomiting. In England, it was quickly replaced by chloroform, but this agent caused many deaths and lost popularity.

Did you know?

Atropine was named after the Greek goddess Atropos, the oldest and ugliest of the three sisters known as the Fates, who controlled the destiny of men.

Did you know?

Liver spots have nothing whatsoever to do with the liver. They are a type of freckles commonly seen in older adults who have been out in the sun without sufficient sunscreen.

Astronomers identified 12-billion-year-old white dwarf stars only 100 light years away from Earth Astronomers identified 12-billion-year-old white dwarf stars only 100 light years away from Earth
The Dingo was the first placental mammal introduced to Australia, around 4000 years ago The Dingo was the first placental mammal introduced to Australia, around 4000 years ago
This older woman is exploring new avenues of enjoyment as she avoids stagnation in her later years This older woman is exploring new avenues of enjoyment as she avoids stagnation in her later years
To examine a child’s ear, the pinna should be pulled back and up for children over 3 years; the pinn To examine a child’s ear, the pinna should be pulled back and up for children over 3 years; the pinn
Climate change occurs over millions of years Climate change occurs over millions of years
A mortgage loan of $132,000 at 6% compounded semiannually is to be amortized over 25 years by ... A mortgage loan of $132,000 at 6% compounded semiannually is to be amortized over 25 years by ...
Video: Transmission Across a Synapse

For a complete list of videos, visit our video library