Graded assignment 03 Remaining Time: 29 Question 13 2 year(s) ago, Fatima invested 5,030 dollars. In 2 year(s) from today, she expects to have 8,040 dollars. If Fatima expects to earn the same annual return after 2 year from today as the annual rate implied from the past and expected values given in the problem, then in how many years from today does she expect to have exactly 12,140 dollars? Round your answer to 2 decimal places (for example, 2.89, 14.70, or 6.00). 1 point Number Help Number Help Number Help Number Question 14 1 point Number Help Number Help Number Help Penny bought a new truck today from Middlefield Motors. She will receive a cash rebate of 3,700 dollars from Middlefield Motors today, pay 18,500 dollars to Middlefield Motors in 1 year(s) from today, receive a cash rebate of 7,800 dollars from Middlefield Motors in 2 year(s) from today, and pay 21,100 dollars to Middlefield Motors in 7 year(s) from today. If the discount rate is 13.44 percent, then what is the present value of the cash flows associated with this transaction? Note: the correct answer is less than zero. Number Question 15 Preeti has an investment that is worth 65,700 dollars and has an expected return of 6.77 percent. The investment is expected to pay her 38,200 dollars in 7 year(s) from today and X dollars in 2 year(s) from today. What is X? 1 point Number Help Number Submit Assignment Quit & Save Back Question Menu A Next Question 16 You own a building that is worth 56,200 dollars and is expected to produce quarterly cash flows of 2,050 dollars forever. The first quarterly cash flow is expected in 3 months from today. What is the expected quarterly cost of capital for the building? Answer as a quarterly rate in decimal format so that 12.34% would be entered as 1234 and 0.98% would be entered as .0098. 1 point Number Help Number Help Number Help Number Question 17 An investment, which is worth 37,500 dollars and has an expected return of 13.7 percent, is expected to pay fixed annual cash flows forever with the next annual cash flow expected in 1 year. What is the present value of the annual cash flow that is expected in 4 years from today? 1 point Number Help Number Help Number Help Number Question 18 Quantum Pizza took out a loan from the bank today for 23,000 dollars. The loan requires Quantum Pizza to make a special payment of 11,200 dollars to the bank in 7 years from today and also make regular, fixed payments of X to the bank each year forever. The interest rate on the loan is 5.95 percent per year and the first regular, fixed annual payment of X will be made to the bank in one year from today. What is X, the amount of the regular, fixed annual payment? 1 point Number Help Number Help Number Help Number Submit Assignment Quit & Save Back Question Menu - Next Question 22 1 point Number Help Number Help Number Help Oxygen Optimization just bought a new filtration system for 234,700 dollars. To pay for the filtration system, the company took out a loan that requires Oxygen Optimization to pay the bank a special payment of 103,100 dollars in 1 year(s) and also make regular annual payments forever. The first regular payment is expected in 1 year and is expected to be 1,700 dollars. All subsequent regular payments are expected to increase by a constant rate each year forever. The interest rate on the loan is 17.37 percent per year. What is the annual growth rate of the regular payments expected to be? Answer as an annual rate in decimal format so that 12.34% would be entered as 1234 and 0.98% would be entered as .0098. Number Question 23 What is the value of an investment that will pay investors 2,530 dollars per year for 6 years and will also pay investors an additional 1,560 dollars in 1 year(s) from today if the expected return for the investment is 15.06 percent per year and the first annual payment of 2,530 dollars will be paid to investors in one year from today? 1 point Number Help Number Help Number Help Number Question 24 Bianca took out a loan from the bank today for X. She plans to repay this loan by making payments of 2,970 dollars per month for a certain amount of time. If the interest rate on the loan is 0.81 percent per month, she makes her first payment of 2,970 dollars later today, and she makes her final monthly payment of 2,970 dollars in 5 months, then what is X, the amount of the loan? 1 point Number Help Number Help Number Help Number Submit Assignment Quit & Save Back Question Menu - Next Question 19 An investment is expected to generate annual cash flows forever. The first annual cash flow is expected in 1 year and all subsequent annual cash flows are expected to grow at a constant rate annually. We know that the cash flow expected in 2 year(s) from today is expected to be 1,510 dollars and the cash flow expected in 9 years from today is expected to be 3,190 dollars. What is the cash flow expected to be in 6 years from today? 1 point Number Help Number Help Number Help Number Question 20 You own a store that is expected to make annual cash flows forever. The cost of capital for the store is 14.63 percent. The next annual cash flow is expected in one year from today and all subsequent cash flows are expected to grow annually by 2.75 percent. What is the value of the store if you know that the cash flow in 3 years from today is expected to be 13,000? 1 point Number Help Number Help Number Help Number Question 21 1 point Number Help Number Help Number Help You own two investments, A and B, that have a combined total value of 54,427 dollars. Investment A is expected to make its next payment in 1 month. A’s next payment is expected to be 238 dollars and subsequent payments are expected to grow by 0.56 percent per month forever. The expected return for investment Ais 1.03 percent per month. Investment B is expected to pay 133 dollars each quarter ever and the next payment is expected months. hat is the quarterly expected return for investment B? Answer as a quarterly rate in decimal format so that 12.34% would be entered as 1234 and 0.98% would be entered as .0098. Number Submit Assignment Quit & Save Back Question Menu Next Graded assignment 03 Remaining Time: 29 Question 25 1 point Number Help Number Help Number Help Sasha has an investment worth 38,484 dollars. The investment will make a special payment of X to Sasha in 4 years from today. The investment also will make regular, fixed annual payments of 5,400 dollars to Sasha with the first of these payments made to Sasha later today and the last of these annual payments made to Sasha in 7 years from today. The expected return for the investment is 6.46 percent per year. What is X, the amount of the special payment that will be made to Sasha in 4 years? Number Question 26 Jens just took out a loan from the bank for 11,022 dollars. He plans to repay this loan by making a special payment to the bank of 8,980 dollars in 5 years and by also making equal, regular annual payments of X for 7 years. If the interest rate on the loan is 11.86 percent per year and he makes his first regular annual payment in 1 year, then what is X, Jens's regular annual payment? 1 point Number Help Number Help Number Help Number Question 27 An investment, which is worth 32,500 dollars and has an expected return of 15.59 percent, is expected to pay fixed annual cash flows for a given amount of time. The first annual cash flow is expected in 1 year from today and the last annual cash flow is expected in 8 years from today. What is the present value of the annual cash flow that is expected in 5 years from today? 1 point Number Help Number Help Number Help Number Submit Assignment Quit & Save Back Question Menu Next