Solved: Find present value of account-discount rate is three percent, Finance Basics

+44 141 628 6080
[email protected]

Find present value of account-discount rate is three percent

Suppose your bank account will be worth $7,000.00 in one year. The interest rate (discount rate) that the bank pays is 8%. What is the present value of your bank account today? What would the present value of the account be if the discount rate is only 3%?

Solution Preview :

Prepared by a verified Expert

Finance Basics: Find present value of account-discount rate is three percent

Reference No:- TGS0675224

Now Priced at $5 (50% Discount)

Recommended (92%)

Rated (4.4/5)

Have a Question? (oR Write a Review)

Write atleast 100 words!!

Recent Questions Asked Finance Basics

Q : Value of the ending inventory using lifo

A firm has beginning inventory of 400 units at a cost of $12 each. Production during the period was 700 units at $13 each. If sales were 800 units, what is the value of the ending inventory using LIFO?

Q : What is the highest price in terms of a rate

What is the highest price, in terms of a rate per hour, that Montrose Toy Company should be willing to pay for additional capacity (that is, for added direct labor time)?

Q : Determining the retained earnings balance

During the year, the company reported sales of $93,490, costs of $78,407, depreciation of $9,200, dividends of $750, and interest paid of $478. The tax rate is 40 percent. What would be the retained earnings balance at the end of the year?

Q : The net impact of the purchase

Company P owns 80% of Company S. On January 1, 20X3, Company S has outstanding 6% bonds with a face value of $200,000 and an unamortized discount of $3,000.

Q : Find present value of account-discount rate is three percent

The interest rate (discount rate) that the bank pays is 8%. What is the present value of your bank account today? What would the present value of the account be if the discount rate is only 3%?

Q : The end of each quarter in the amounts

On Jan 1st you paid $696 to get a seies of cash flows that will be paid at the end of each quarter in the amounts of 149, 251, 120 and 220. At 12.00% compounded monthly, is this a good deal and how do you know?

Q : Determine expected capital gains yield

The next dividend payment by Blue Cheese, Inc., will be $1.64 per share. The dividends are anticipated to maintain a growth rate of 8 percent forever. The stock currently sells for $31 per share. What is the dividend yield? (Round your answer to 2

Q : How should replacement chain be used in capital budgeting

What is a "replacement chain?" When and how should replacement chain be used in capital budgeting?

Q : Calculate the total relevant cost

What will be the total relevant cost of 70,000 subassemblies if they are manufactured internally? (Do not round intermediate calculations.)

1941824

Questions
Asked

3,689

Active Tutors

1414337

Questions
Answered

Start Excelling in your courses, Ask a tutor for help and get answers for your problems !!

ask Question

Solution Preview :

Prepared by a verified Expert

Finance Basics: Find present value of account-discount rate is three percent

Reference No:- TGS0675224

Have a Question? (oR Write a Review)

Recent Questions Asked Finance Basics

Q : Value of the ending inventory using lifo

Q : What is the highest price in terms of a rate

Q : Determining the retained earnings balance

Q : The net impact of the purchase

Q : Find present value of account-discount rate is three percent

Q : The end of each quarter in the amounts

Q : Determine expected capital gains yield

Q : How should replacement chain be used in capital budgeting

Q : Calculate the total relevant cost

Investigate the cause of the recent werewolf attacks

Describe marxist theory and psychology of addiction

Explain framers decisions in creating the constitution

Federal bureaucracy has to put up with a lot of red tape

What power of recognition when it comes to office president

What right ordinance power give to the president

Analyze leadership of organization during particular event

Solution Preview :

Prepared by a verified Expert

Finance Basics: Find present value of account-discount rate is three percent

Reference No:- TGS0675224

Recent Questions Asked Finance Basics

Q : Value of the ending inventory using lifo

Q : What is the highest price in terms of a rate

Q : Determining the retained earnings balance

Q : The net impact of the purchase

Q : Find present value of account-discount rate is three percent

Q : The end of each quarter in the amounts

Q : Determine expected capital gains yield

Q : How should replacement chain be used in capital budgeting

Q : Calculate the total relevant cost

Asked Questions