ale posits 4 700 at the end of mary Every quarter for 5 yours aud 6 Months u a cnd 6 retiremment fund a4 4.22% Campaundea month ly. kelhoot stype af annulty is this? a. lo. How many pay ureuts ore there Paymeuts in this annuity? Ramd up o the next paymet,

Q: An annuity pays $14 per year for 45 years. What is the future value (FV) of this annuity at the end…

A: > Given:> Rate of interest per annum = 9%> Amount of each deposit = 14> Number of years…

Q: A perpetuity has a PV of $25,000. If the interest rate is 11%, how much will the perpetuity pay…

A: A perpetuity is a cash flow that goes on forever. In other words the time period for a perpetuity is…

Q: Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) Amount of…

A: A key component of investment analysis, capital budgeting, and financial decision-making, present…

Q: an annuity with a cash value of $13500 earn 7% compounded 7% semi annually . end of period semi…

A: Annuity means finite no. of payments which are same in size and made in equal intervals. Person gets…

Q: Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) Amount of…

A: Formula PVA = m*[1-(1+r)-n*t]/r Where PVA - Present value of annuity m - Annual deposit amount i.e.…

Q: son.2

A: The objective of the question is to calculate the present value of an annuity. An annuity is a…

Q: You are going to make 20 annual payments of $800, with the first payment made today. At the end of…

A: Future value of money is the amount of money deposited and the amount of compounded interest…

Q: Use Table 12-1 to calculate the future value (in $) of the annuity due. (Round your answer to the…

A: Part 1: Answer:The future value of the annuity due is $10,598.43.Explanation:Part 2:…

Q: Determine the amount of the ordinary annuity at the end of the given period. (Round your $6000…

A: Annuity refers to a stream of cash flows that occurs periodically and is usually fixed in amount. In…

Q: man.2

A: The objective of the question is to calculate the present value and the compound discount of a…

Q: Each week, $350 is placed into an annuity that earns 10% compounded weekly. Find the value of the…

A: An annuity is an arrangement in which a fixed sum of money is paid to an individual at regular time…

Q: Find the amount of periodic payment necessary for the deposit to a sinking fund. (Round your answer…

A: When the lender lends a loan to the borrower, he charges a rate of interest on the borrowed amount.…

Q: Present Value of a Perpetuity What's the present value, when interest rates are 6.70 percent, of a…

A: The quantity of the regular cash flows is simply divided by the discount rate to get the present…

Q: $3310 financed was paid off early. Find the unearned interest by using the actuarial method if the…

A: Actuary method of calculating unearned interest is the process of distributing the payments made on…

Q: What will a deposit of $2500 at 7.8% compounded semiannually be worth if left in the bank for six…

A: Formula for Future Value FV=PVx(1+r/2)nxt Where, FV = Future Value PV = Present Value r = rate of…

Q: An annuity providing a rate of return of 4.8% compounded monthly was purchased for $45,200. The…

A:

Q: A perpetuity pays $85 per year and costs $950. What is the rate of return? 8.95% 9.39% 9.86%…

A: The objective of the question is to calculate the rate of return on a perpetuity. A perpetuity is a…

Q: Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) Amount of…

A: An annuity is a stream of cash flows that are usually fixed in nature and that occur at regular…

Q: lany pur cheeses that a setirement annuity h-er 2,S0o at the will end of pay every 6 mouths for…

A: An annuity is a deposit made in an account to account for money accumulated over a period of time at…

Q: 15. Helen Barns wishes to purchase a new home and borrows $389,000 with a repayment plan of 25…

A: Step 1: The calculation of the annual payment  AB1Borrowings (PV) $3,89,000.00 2Years (N)253Interest…

Q: 3. The proceeds of a 10,000-death benefit are left on deposit with an insurance company for seve…

A: Monthly payment of accumulated value is treated as an annuity payment for a fixed period.

Q: Find the present value of the following perpetuity. Made At: beginning Perpetuity Payment $160…

A: Payment = p = $160Time = t = 3Interest rate = r = 4.1 / 12 = 0.34166666666%

Q: Find the present value of the ordinary annuity.

A: We can determine the PV of ordinary annuity using the formula below:In the formula above, PMT =…

Risk and return

Before understanding the concept of Risk and Return in Financial Management, understanding the two-concept Risk and return individually is necessary. 

Capital Asset Pricing Model

Capital asset pricing model, also known as CAPM, shows the relationship between the expected return of the investment and the market at risk. This concept is basically used particularly in the case of stocks or shares. It is also used across finance for pricing assets that have higher risk identity and for evaluating the expected returns for the assets given the risk of those assets and also the cost of capital.