What is the most you are willing to pay as a lump sum today
Atlas Insurance wants to sell you an annuity which will pay you $600 per quarter for 25 years. You want to earn a minimum rate of return of 5.0 percent. What is the most you are willing to pay as a lump sum today to buy this annuity?
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After more analysis, you determine that what you will need to have in the bank in 2020 is $18,500 (which is a future value unrelated to question Tokyo 01).
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A 6-year bond which pays 8 percent interest semiannually sells at par ($1,000). Another 6-year bond of equal risk pays 8% interest annually.
You decide to test the hypothesis by observing 20 cars with both a man and a woman in the front, and counting how many of those have a man driving.
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500 cm3 of ideal gas at 40 oC and 200 kPa absolute pressure is compressed to 250 cm3 and cooled to 20 oC. What is the final absolute pressure?
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