How much would you have to invest today
Question: How much would you have to invest today to receive:
a. $12,000 in 6 years at 12 percent?
b. $15,000 in 15 years at 8 percent?
c. $5,000 each year for 10 years at 8 percent?
d. $40,000 each year for 40 years at 5 percent?
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The preferred stock of Denver Savings and Loan pays an annual dividend of $5.60. It has a required rate of return of 8 percent. Compute price of preferred stock
How much would you have to invest today to receive: a. $12,000 in 6 years at 12 percent?
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