If you are expecting to get OMR 4900 at the end of 5 years. Calculate its present value if the interest rate is 10.5% and is computed semi-annually/half yearly. Select one: a. 8937.49 b. 2937.49 c. None of the options d. 9937.49 e. 3937.49

If you are expecting to get OMR 4900 at the end of 5 years. Calculate its present value if the interest rate is 10.5% and is computed semi-annually/half yearly. Select one: a. 8937.49 b. 2937.49 c. None of the options d. 9937.49 e. 3937.49

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 6MC: You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years....

See similar textbooks

Related questions

Q: Given an interest rate of 8.5 percent per year, what is the value at date t= 8 of a perpetual stream…

A: As per the given question:Interest rate = R= 8.5%Payment= P= $1,900Number of years= T= 14The value…

Q: Assume that you will receive $2500 at the end of 6 years and want to know the present value (PV) of…

A: Present value refers to the current value of a future sum of money, taking into account a specified…

Q: If you are expecting to get OMR 11240 at the end of 9 years; calculate its present value if the…

A: Future Value =OMR 11240 Years =9 Interest Rate =2.24% Monthly Interest Rate(r) =2.24%/12 =…

Q: Given an interest rate of 9 percent per year, what is the value at date t-6 of a perpetual stream of…

A: Interest rate (i) = 0.09 Annual payment (C) = $1200 Period from year 6 to 14 (n) = 8 Value at t6 = ?…

Q: If you are expecting to get OMR 60633 at the end of 3 years. Calculate its present value if the…

A: Given information: Future value : OMR 60633 Time period : 3 years Interest : 9%

Q: If you deposit OMR 19500 in your account in a bank; suppose the bank pays 16.25% compound interest…

A: Future value is calculated by compounding the present value at a given compounding rate.

Q: Suppose you wish to have $18500 in 5 years. use the present value formula to find out how much you…

A: Given data; Future value = $18500 Number of years = 5 Interest rate = 9% compounding frequency = 2

Q: If you are expecting to get OMR 56775 at the end of 3 years. Calculate its present value if the…

A: When interest is compounded multiple times: Present value = Future value/(1+r/m)n*m r is interest…

Q: PROBLEM Parranda Corporation paid cash of $18,000 on June 1, 2020 for one year's rent in advance…

A: The amount of expenses paid in advance are recorded as prepaid expense. When the expenses get…

Q: If you are expecting to get OMR 48918 at the end of 3 years. Calculate its present value if the…

A: Present value of an amount is the discounted value of a future amount at a specified interest rate…

Q: If you deposit OMR 5000 in your account in a bank; if your bank pays 9.05% interest, how much will…

A: future value = present value *(1+rate)^n future value = 5000 * 1.090515

Q: If you are expecting to get OMR 7100 at the end of 17 years. Calculate its present value if the…

A: to find present value we will using the following formula PV = FV / (1 + (r/t) )t*n Where PV =…

Q: 26 27 28 29 30 5% I 7% I5% 7% 5% I 7% 5% I %7 2000 1000 2000 1000 1000 2000 1000 2000 1000 2.

A: Sum of Geometric Progression =[a(rn−1) ] / ( r−1 ) a = first term r = common ratio

Q: Which of the following alternatives would you rather receive, assuming an interest rate of 8% per…

A: alternative 1. NPV = $100

Q: If you are expecting to get OMR 11240 at the end of 9 years; calculate its present value if the…

A: Future value is OMR 11240 Time Period is 9 years Interest rate is 24.2% To Find: Present Value

Q: What is the future value (at the end of 10 years) of an annuity that pays $700 a quarter over 10…

A: Quarterly payment$700Interest rate6.6%Number of years10 years

Q: According to the concepts underlying the present-value formula, would you prefer to receive (a) P75…

A: According to the time value of money concept, a sum of money today has more purchasing power than…

Q: you are expecting to get OMR 10240 at the end of 3 years. Calculate its present value if the…

A: Future value = Present value*((1+interest rate)^time) Formula to calculate present value…

Q: What would you prefer to receive if the interest rate is 20%? OA. $64 one year from now B. $95 four…

A: Display esteem (PV) may be a budgetary concept utilized to evaluate the current worth of future cash…

Q: If you deposit OMR 19500 in your account in a bank; suppose the bank pays 16.15% compound interest…

A: Present value is OMR 19500. This amount earns interest at 16.15% interest rate that compounds…

Q: If you are expecting to get OMR 11240 at the end of 9 years; calculate its present value if the…

A: Given Information: OMR = 11,240 Interest rate = 2.24% Computed yearly

Q: Use the following 10% present value factors: N 1: 0.9091 N = 2: 0.8264 N= 3: 0.7513 Assume you wish…

A: The amount you would need to deposit today in order to receive $1,000 is $826.40Explanation:We can…

Q: What is the future value (at the end of 8 years) of an annuity that pays $700 a quarter over 8 years…

A: Future value is an estimate of future cash values that may be received at a future date,…

Q: You are offered a choice between $770 today and $815 one year from today. Assume that interest rates…

A: In this question we are given two amounts and we need to choose the one which is more beneficial. We…

Q: If you are expecting to get OMR 10240 at the end of 3 years. Calculate its present value if the…

A: Given information: Future value : OMR 10250 Time period : 2 years Interest : 9.42%

Q: May I ask for an explanation and solution to the question for a better understanding. Thank you! 5.…

A: Solution Future value of annuity

Q: If you are expecting to get OMR 35743 at the end of 3 years. Calculate its present value if the…

A: Nominal interest rate 9% Compounding Quarterly Effective rate ((1+9%/4)^4)-1) Effective rate…

Q: What is the future value of a 5-year ordinary annuity with annual payments of $ 702, evaluated at a…

A: Variables in the question:Annual payment=$702 Interest rate=13.84%N=5 year

Q: You have RM 5,000.00 you want to invest for the next 45 years until retirement. You are offered an…

A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…

Q: Which of the following options would you choose assuming an annual compound interest rate of 8%?…

A: A. Alternative 1: Receive $ 100 today. B. Alternative 2: Receive $ 120 in two years. Annual interest…

Q: If you deposit OMR 19500 in your account in a bank; suppose the bank pays 6.15% compound interest…

A: Deposit amount = OMR 19500 Annual interest rate = 6.15% Period = 15 Years

Question

If you are expecting to get OMR 4900 at the end of 5 years. Calculate its present value if the interest rate is 10.5% and is computed semi-annually/half yearly.

Select one:

a. 8937.49

b. 2937.49

c. None of the options

d. 9937.49

e. 3937.49

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps with 2 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

If you are expecting to get OMR 60633 at the end of 3 years. Calculate its present value if the interest rate is 9% and is computed quarterly. Select one: O a. 56719.36 O b. 21562.23 O c. All the given choices are not correct O d. 46425.07 O e. 46820.85
If you are expecting to get OMR 11240 at the end of 9 years; calculate its present value if the interest rate is 2.24% and is computed monthly? Select one: a. 9024.61 b. 9046.11 c. 9042.16 d. 9189.55 e. None of the optio
If you are expecting to get OMR 35743 at the end of 3 years. Calculate its present value if the interest rate is 9% and is computed quarterly. O a. 27367.46 O b. 27600.77 O c. All the given choices are not correct O d. 33435.92 O e. 12710.88
If you are expecting to get OMR 48918 at the end of 3 years. Calculate its present value if the interest rate is 9% and is computed .quarterly اخترأحد الخیارات a. All the given choices are not O correct b. 17396.16 O c. 45760.52 0 d. 37774.52 O e. 37455.21 O
Just answer please without explanation please
If you deposit OMR 5000 in your account in a bank; if your bank pays 9.05% interest, how much will you get in 15 years? Find future value Select one: a. None of the option b. 18212.41 c. 18833.31 d. 18212.14 e. 18338.13
a "ll VOLTE OMANTEL ملاك اليوم ۱۱:۳۳ ص If you are expecting to get OMR 10240 at the end of 3 years. Calculate its present value if the interest rate is 9.42% and is computed quarterly. Select one: O a. None of the options O b. 2244.46 O C 7744.46 O d. 6644.46 O e. 3344.46
Which of the following options would you choose assuming an annual compound interest rate of 8%? A. Alternative 1: Receive $ 100 today. B. Alternative 2: Receive $ 120 in two years.
Please help me
What is the future value (at the end of 8 years) of an annuity that pays $700 a quarter over 8 years with the payments invested at 9.3% per annum (assume compounding matches payment periods, common assumption for such problems)? (enter your answer in the following format 123456.78) Answer: Check
Given an interest rate of 9 percent per year, what is the value at date t= 6 of a perpetual stream of $1,200 payments with the first payment at date >= 15? Multiple Choice O $13,433.33 O $6.691.55 O $6,825.38 O $6.139.04 O $6.557.72
Assume that you will receive $2500 at the end of 6 years and want to know the present value (PV) of that future sum. Assuming a positive interest rate (required rate of return), which of the following is a possible number for the present value of the $2500? Even without knowing the interest rate, it is possible to answer this question. O A. $2742.53 B. $2632.45 O C. $1967.25 OD. $2572.50 O E. None of the above is a possible number.