Author Question: Calculate the present value of 800 received at the beginning of year 1, 400 received at the ... (Read 104 times)

Melani1276

  • Hero Member
  • *****
  • Posts: 516
Calculate the present value of 800 received at the beginning of year 1, 400 received at the beginning of year 2, and 700 received at the beginning of year 3, assuming an opportunity cost of 9 percent.
 
  What will be an ideal response?

Question 2

Beta coefficient is an index of the degree of movement of an asset's return in response to a change in the risk-free asset.
 
  Indicate whether the statement is true or false



diesoon

  • Sr. Member
  • ****
  • Posts: 353
Answer to Question 1

PV = 800 + 400(1.09 ) + 700(1.09 )2 = 1,756.15

Answer to Question 2

FALSE



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Though the United States has largely rejected the metric system, it is used for currency, as in 100 pennies = 1 dollar. Previously, the British currency system was used, with measurements such as 12 pence to the shilling, and 20 shillings to the pound.

Did you know?

Colchicine is a highly poisonous alkaloid originally extracted from a type of saffron plant that is used mainly to treat gout.

Did you know?

There are major differences in the metabolism of morphine and the illegal drug heroin. Morphine mostly produces its CNS effects through m-receptors, and at k- and d-receptors. Heroin has a slight affinity for opiate receptors. Most of its actions are due to metabolism to active metabolites (6-acetylmorphine, morphine, and morphine-6-glucuronide).

Did you know?

Excessive alcohol use costs the country approximately $235 billion every year.

Did you know?

Cucumber slices relieve headaches by tightening blood vessels, reducing blood flow to the area, and relieving pressure.

For a complete list of videos, visit our video library