A: $7
B: $10
C: $13
D: $16
举一反三
- In which of the following situations would you prefer to be making a loan? A: The interest rate is 9 percent and the expected inflation rate is 7 percent. B: The interest rate is 4 percent and the expected inflation rate is 1 percent. C: The interest rate is 13 percent and the expected inflation rate is 15 percent. D: The interest rate is 25 percent and the expected inflation rate is 50 percent.
- Which of the following is required in order to calculate the operating cash flow? A: EBIT B: depreciation C: taxes D: interest
- Assume the following data: Risk-free rate = 4.0 percent; average risk premium = 7.7 percent. Calculate the required rate of return for the risky asset. A: 5.6 percent B: 7.6 percent C: 11.7 percent D: 30.8 percent
- If you expect the inflation rate to be 15 percent next year and a one - year bond has a yield to maturity of 7 percent, then the real interest rate on this bond is _________
- If the value of a piece of property decreases by 10 percent while the tax rate on the property increases by 10 percent, what is the effect on the taxes ？（） A: Taxes increase by 10 percent. B: Taxes increase by 1 percent. C: There is no change in taxes. D: Taxes decrease by 1 percent. E: Taxes decrease by 10 percent.
内容
- 0
A project has the following projected cash inflows.Year 1 100,000Year 2 125,000Year 3 105,000Working capital is required to be in place at the start of each year equal to 10% of the cash inflow for that year. The cost of capital is 10%.What is the present value of the working capital? A: $ Nil B: $(30,036) C: $(2,735) D: $33,000
- 1
You have $5,000 you want to invest for the next 45 years. You are offered an investment plan that will pay you 6 percent per year for the next 15 years and 10 percent per year for the last 30 years. How much will you have at the end of the 45 years? How much will you have if the investment plan pays you 10 percent per year for the first 15 years and 6 percent per year for the next 30 years?
- 2
The following potential cash flows are predicted for maintenance costs for the Great machine: Year Cash flow Probability ($) 2 19,000 0.55 2 26,000 0.45 3 21,000 0.3 3 25,000 0.25 3 31,000 0.45What is the expected present value of the maintenance costs for year 2 (to the nearest whole number)?$
- 3
Mansi Inc. is considering a project that has the following cash flow data. What is the project's payback?Year 0 1 2 3Cash flow -450 300 325 350 A: 1.42 years B: 1.36 years C: 1.65 years D: 1.46 years
- 4
The interest rate is 10%. What is the PV of an asset that pays $1 a year in perpetuity? A: $20 B: $30 C: $10 D: $40