If you put up $29,000 today in exchange for a 7.25 percent, 13-year annuity, what will the annual cash flow be? Multiple Choice O $3,719.74 $3,323.85 $3,519.21 O $2,230.77 $6,414.51
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- How much would you invest today in order to receive $30,000 in each of the following (for further Instructions on present value In Excel, see Appendix C): A. 10 years at 9% B. 8 years at 12% C. 14 years at 15% D. 19 years at 18%What is the present value of a perpetuity that pays $1,500 every year at a discount rate of 7.5%? Group of answer choices $20,000 $21,429 $1,395 $11,250If you put up $28,000 today in exchange for a 8.75 percent, 19-year annuity, what will the annual cash flow be? Multiple Choice O O O о $3,292.06 $1,473.68 $3,074.66 $6,805.29 $2,863.34
- If you put up 23,000 today in exchange for a 6 percent, 10-year annuity, what will the annual cash flow be? (Do not round intermediate calculations and round your answer to the nearest dollar) Multiple Choice $2,749 $2,890 O $3,25 $3,345 $2,406What's the present value of a perpetuity that pays $260 per year if the appropriate interest rate is 4.9%? Group of answer choices $5,819 $6,094 $5,431 $5,056 $5,306You purchase an annuity that will pay you $100 every three months for five years. The first $100 payment will be made as soon as you purchases the investment. If your required rate of return is 9% , how much should you be willing to pay for this investment? Group of answer choices $1,596.82 $1,632.29 $1,759.34 $1,510.46
- What's the present value of a perpetuity that pays $2,200 per year if the appropriate interest rate is $%? O $47,960.00 $49,720.00 O $48,400.00 $44,000.00 $36,520.00 4What is the present value of an annuity that pays $58 per year for 13 years and an additional $1,000 with the final payment? Use a nominal rate of 7.23%. $1,039 $946 O $882 O $990 O $873At a discount rate of 6.00%, find the present value of a perpetual payment of $ 1,000 per year. If the discount rate were lowered to 3.00%, half the initial rate, what would be the value of the perpetuity? Question content area bottom Part 1 a. If the discount rate were 6.00%, the present value of the perpetuity is $ enter your response here . (Round to the nearest cent.)
- Your investment advisor wants you to purchase an annuity that will pay you $25,000 per year for 10 years. If you require a 7% return, what is the most you should pay for this investment? Group of answer choices $201,000 $175,590 $225,682 $ 49,179 $250,000You have a choice between a lottery lump sum payout of $10,000,000 today or a series of thirty annual annuity payments (first payment one year from today). At a discount rate of 7.50%, how large must the annual annuity payments be to make you indifferent between the two choices? A. $819,814.81 B. $846,712.36 C. $400,000.00 D. $833,102.77How much would you be willing to spend for an annuity that pays $2,500 at the end of each year for three years, assuming you could earn 5.5% on other LIET similar investments? Select one: O a. $5,494 O b. $4,783 O c. $6,087 O d. $6,408 O e. $6,745 ہے