Business Math : Compound Interest
What is the present value of a perpetuity of $900 payable at the end of each quarter if money is worth 18% compounded quarterly?
Business Math : Sinking Fund, Payments, Installments and Compond Interest
A company can borrow $100,000 at 10% compounded annually for 10 years. To repay the debt at the end of 10 years, a sinking fund is to be set up at 9% compounded annually. Another lender will provide the money at 9 1/2% compounded annually and permit the loan to be amortized by 10 equal annual payments. Which plan would you choos ...continues
A $1000, 8 1/2% K.C.G Electric bond is redeemable on March 1, 2010.
A $1000, 8 1/2% K.C.G Electric bond is redeemable on March 1, 2010. Interest is payable on March 1 and September 1. Determine the purchase price if it is bought on March 1, 2000 to yield 8% compounded semi-annually. (show all work)
A man borrows $30,000 to purchase a car.
A man borrows $30,000 to purchase a car. He agrees to pay $1000 per month. If the interest rate is 12% compounded monthly. a. How many regular payments of $1000 is necessary to pay off the loan? b. What is the size of the last payment? (show all your work)
Business Math : Motgage, Interest and Amortization
A house worth $70,000 is purchased with a down payment of $20,000 and a mortgage amortized over 20 years. If the interest rate is 14% compounded semi- annually; a. Determine the size of each monthly payment. b. How much of the 60th payment goes to interest and how much to principal repayment? c. Determine the outstandin ...continues
Finance Mathematics : Design a Budget
Leslie earns $2000 a month and rents an apartment for $600 a month (utilities included), and also has a credit card with an annual interest rate of 7% and a balance of $1500. She currently has no savings. Design a monthly budget for Leslie so that at the end of two years, the credit card balance is as low as possible and Leslie ...continues
I am to use matrix reduction on this problem. I can solve systems by matrixs with out any problem but I can't seem to set up the two equations for this problem so that I can even turn them into a matrix and solve. A company produces desks on both the east and west coast. The east coast plant, fixed costs are 16000 per year an ...continues
Decision making using matrix reduction
I am having problems coming up with the equations(systems)to use for the following word problem. I don't usually have a problem with solving matrices infact I like them but I can't even get started on this problem. A company produces two products, A and B For each unit of A sold the profit is $8, and for each unit of B the pr ...continues
what is the sum of 1,605+1,219+1,153
calculate NPV at different discount rates & graph
I = Initial investment $1,000. R= cash flows $100. for 15 years calculate value of R so that NPV = 0 (NPV is on the vertical, discount rate horizontal)
