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 490 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
Thanks for the timely response, appreciate it


upturnedfurball

  • Member
  • Posts: 334
Reply 3 on: Yesterday
Gracias!

 

Did you know?

As many as 28% of hospitalized patients requiring mechanical ventilators to help them breathe (for more than 48 hours) will develop ventilator-associated pneumonia. Current therapy involves intravenous antibiotics, but new antibiotics that can be inhaled (and more directly treat the infection) are being developed.

Did you know?

Never take aspirin without food because it is likely to irritate your stomach. Never give aspirin to children under age 12. Overdoses of aspirin have the potential to cause deafness.

Did you know?

Adolescents often feel clumsy during puberty because during this time of development, their hands and feet grow faster than their arms and legs do. The body is therefore out of proportion. One out of five adolescents actually experiences growing pains during this period.

Did you know?

Asthma cases in Americans are about 75% higher today than they were in 1980.

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.

For a complete list of videos, visit our video library