« previous next »

Author Question: Dan and Jia are newlyweds and have just purchased a condominium for 70,000. Since the condo is very ... (Read 167 times)

hubes95

  • Hero Member
  • *****
  • Posts: 561
on: Jul 10, 2018
Dan and Jia are newlyweds and have just purchased a condominium for 70,000. Since the condo is very small, they hope to move into a single-family house in 5 years.
 
  How much will their condo worth in 5 years if inflation is expected to be 8 percent?

Question 2

The net present value of the project when adjusting for risk is ________. (See Table 11.7)
 
  A) -9,300
  B) 0
  C) 87,000
  D) 105,000


leahchrapun

  • Sr. Member
  • ****
  • Posts: 332
Reply #1 on: Jul 10, 2018
Answer to Question 1

PV = 70,000, r = 8, n = 5
FV = 70,000(1.08)5 = 102,853

Answer to Question 2

A


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

There are more sensory neurons in the tongue than in any other part of the body.

Did you know?

The Centers for Disease Control and Prevention (CDC) was originally known as the Communicable Disease Center, which was formed to fight malaria. It was originally headquartered in Atlanta, Georgia, since the Southern states faced the worst threat from malaria.

Did you know?

Between 1999 and 2012, American adults with high total cholesterol decreased from 18.3% to 12.9%

Did you know?

There are more bacteria in your mouth than there are people in the world.

Did you know?

Stevens-Johnson syndrome and Toxic Epidermal Necrolysis syndrome are life-threatening reactions that can result in death. Complications include permanent blindness, dry-eye syndrome, lung damage, photophobia, asthma, chronic obstructive pulmonary disease, permanent loss of nail beds, scarring of mucous membranes, arthritis, and chronic fatigue syndrome. Many patients' pores scar shut, causing them to retain heat.

Noid lights are usually purchased as an assortment so that one is available for any type or size ... Noid lights are usually purchased as an assortment so that one is available for any type or size ...
Some IAC units are purchased with the housing as shown. Carbon buildup in these passages can cause ... Some IAC units are purchased with the housing as shown. Carbon buildup in these passages can cause ...
An antique painting is purchased in 1980 for $995. The value increases by 3.1% e An antique painting is purchased in 1980 for $995. The value increases by 3.1% e
Nine $10 000, 4% bonds with interest payable semi-annually and redeemable at par are purchased ... Nine $10 000, 4% bonds with interest payable semi-annually and redeemable at par are purchased ...
A government of Ontario 364-day T-bills with a face value of $50 000 were purchased on January ... A government of Ontario 364-day T-bills with a face value of $50 000 were purchased on January ...
A company purchased 26 desks for $240 each and 18 chairs for $59 each. Compute the total ... A company purchased 26 desks for $240 each and 18 chairs for $59 each. Compute the total ...
Video: Bacteriophage (Virus) - Mice Experiment

For a complete list of videos, visit our video library