$1 is paid at the end of every year for 50 years. Assume an interest rate of 5% unless otherwise noted.

3. Calculate the value of the annuity at t = 25 using the following methods:

1. Sum up the value of each individual payment

2. Use the annuity formulas

3. Use the excel formulas

4. Accumulate the value from part 1.1

5. Present value the value from part 2.1

For 4, part 1.1 gives total present value of $18.2559. And for 5, part 2.1 gives the total accumulated value of 209.3480 at t = 50.

Do this in excels please. And please show the equation that you using with the instructions given.

QUESTION 20

1. If the following quotes are on September 15, 2012, what was the coupon rate for the JD.VR bonds with $1,000 face values and semiannual payments?

   Company (Ticker)	Coupon	Maturity	Last Price	Last Yield	$ Vol. (000s)
   Jim Doe (JD.VR)	?	Sep 15, 2034	117.02	6.6	6,360

   (Do not include the percent sign (%).Enter rounded answer as directed, but do not use the rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)

QUESTION 16

1. Three years ago, JKL Co. issued bonds with a 11-year maturity then and at a coupon rate of 7.9 percent. The bonds make semiannual payments. If the YTM on these bonds is 8.6 percent, what is the current bond price? (Do not include the dollar sign ($). Enter rounded answer as directed, but do not use the rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)

QUESTION 18

1. Bond RTY.AF has a 5 percent coupon, makes semiannual payments, currently has 18 years remaining to maturity, and is currently priced at par value. If interest rates suddenly rise by 2 percent, what is the percentage change in the price of Bond RTY.AF? Be sure to include the sign, especially if the bond price falls and the percentage change is negative. (Do not include the percent sign (%). Enter rounded answer as directed, but do not use the rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)

We are evaluating a project that costs $106,559, has a seven-year life, and has no salvage value. Assume that depreciation is straight-line to zero over the life of the project. Sales are projected at 4,308 units per year. Price per unit is $47, variable cost per unit is $29, and fixed costs are $82,563 per year. The tax rate is 40 percent, and we require a 11 percent return on this project. Suppose the projections given for price, quantity, variable costs, and fixed costs are all accurate to within +/-12 percent. What is the NPV of the project in worst-case scenario?

There are three methods of evaluating capital projects that are commonly utilized. What are these methods? Do they all depend on time value methods?

5 (II) Lisa Clark is evaluating her debt safety ratio. Her monthly take-home pay is

$3,240. Each month, she pays $435 for an auto loan, $110 on a personal line of credit, $55 on a department store charge card, and $110 on her bank credit card. Complete Worksheet 6.1 by listing Alyssa's outstanding debts.

a. Calculate her debt safety ratio. Round the answer to 1 decimal place. Enter debt safety ratio as a percentage.

b. Given her current take-home pay, what is the maximum amount of monthly debt payments that Alyssa can have if she wants her debt safety ratio to be 10.0%? Round the answer to the nearest dollar.

c. Given her current monthly debt payment load, what would Alyssa's take-home pay have to be if she wanted a 10.0% debt safety ratio? Round the answer to the nearest dollar.

#13. You own a house worth $250,000 and intend to insure it fully against fire for the next year. Suppose the probability of its burning to the ground during the year is .0001 and that an insurance policy covering the full value costs $500.

Consider the insurance policy as a security.

a. What is the expected holding-period return?

b. What is the standard deviation of it HPR

c. Would you consider this policy to be a very risky asset? Why or why not?

This is not in my notes and I am unsure how to work the solution

Consider a 19-year bond with 13 percent annual coupon payments. The market rate (YTM) is 6.6 percent for this bond. The current yield of the bond is _______ percent. Answer it in percentage without the % sign, and round it to two decimal place, e.g., 5.69.

In a short paragraph, can you describe the primary attributes of a limited liability company? Why would you choose an LLC over a corporation?   Why not?

5. Indicate which statement is True (T) or False (F). a. _____When making a market on an option the bid is less than the offer. b. _____If the stock price is greater than the strike price the the call option is “out-of-the money” c. ______ Puts and Calls leveage profits and losses. d. ______ For the same stock and strike price an option with a more distant expiration will be worth less than an option with a nearer expiration. e. ______ A straddle involves both calls and puts of the same expiration and strike. f. ______ Short a Put is “bearish”. g. ______The “butterfly” involves both calls and puts. h. ______An out of the money option has no “intrinsic value”. i. ______ The greater the price of the stock the greater should be the price of a call option. j. _______ The lesser the price of stock the lesser should be the price of a put option.

ssume a corporation's bond has 14 years remaining until maturity. The coupon interest rate is 9.6% and the bond pays interest semi-annually. Assume bond investors' required rate of return on the bond is 8.3%. What would be the expected market price of this bond. (Assume a $1000 par value.) Answer to 2 decimal places.

​(Operating leverage​)

The Quarles Distributing Company manufactures an assortment of cold air intake systems for​ high-performance engines. The average selling price for the various units is $500.

The associated variable cost is $300 per unit. Fixed costs for the firm average $160,000annually.

a. What is the​ break-even point in units for the​ company?

b. What is the dollar sales volume the firm must achieve to reach the​ break-even point?

c. What is the degree of operating leverage for a production and sales level of 6,000units for the​ firm? (Calculate to three decimal​ places.)

d. What will be the projected effect on earnings before interest and taxes if the​ firm's sales level should increase by 45

percent from the volume noted in part (c​)?

You borrow $29,000 to buy a car. You plan to payoff the car within 6 years and the APR on the car loan is 2.99%. Using an excel to create an amortization for this car payment for 72 months. Please print out your excel and turn it in for 6 points extra credit on the test. You need to turn in your own work.

1) What responsibility do treasury professionals typically have in regards to budgets?

a. Treasury professionals use budgets primarily for planning and variance analysis.

b. Treasury professionals need to assess the impact budgets have on debt covenants but not credit ratings.

c. Treasury professionals use budgets as an input to their work but are not responsible for the budgeting process.

d. Budgets may require treasury professionals to change how they handle short-term assets to maintain overall liquidity.

Group 1: You won $5,000,000 in the Massachusetts Lottery's Halloween Bonanza game. It pays out 10 years from now. How much is it worth today?

Group 2: You won a similar prize, but it pays out $500,0000/yr for the next 10 years.

Group 3: You won a prize that pays out $600,000/yr for the next 15 years.

Groups, what is your prize worth today assuming a 2% interest rate? Which prize would you rather receive assuming it is taxable at a 55% tax rate? Please explain your answer with all calculations.