Assume that you want to retire in 30 years. You intend to invest $200 per month into a mutual fund that you expect to return 12% per year (1% monthly). If you continue making these monthly investments...

Assume that you want to retire in 30 years. You intend to invest $200 per month into a mutual fund that you expect to return 12% per year (1% monthly). If you continue making these monthly investments...

I am trying to solve a problem for Index construction. Asset A:P0=20 N0=100 P1=24 N1=100 P2=50 N2=50 Asset B: P0=100 N0=200 P1=50 N1=400 P2=52 N2=400 Asset C P0=60 N0=200 P1=57 N1=200...

I am reading a book by Robert Kioysaki and he explains that during a lifetime, you will face 4 gorillas. One of the gorillas is higher taxes. He breifly says how whenever money is printed, taxes are...

Mrs. Alford invested $5100 in securities. Part of the money was invested at 2% and part at 5%. The total annual income was $138.

Here is the question: A student takes on $30,000 of debt in September 1 of 2016 at an annual interest rate of 8%. She makes no payments while in school. On November 1, 2019 she...

You would like to have $750,000 when you retire in 25 years. How much should you invest each quarter if you can earn a rate of 4.2% compounded quarterly? a) How much should you deposit each...

You currently own a 30 year Treasury Bond at 4% interest, paid semiannually. The market interest rates for like securities rose to 5%. Would your bond sell for a premium or a discount? Why? What would...

in spring 2010, some car dealers offered 2 deals on a new car: (1) a cash-back allowance of $500 of (2) 0% financing for 72 months.

Suppose I have the following question: Every week the sales of a band’s album drop by the same percentage relative to the previous week’s sales. In its first week an album sells 8,000 copies...

Palencia Paints Corporation has a target capital structure of 25% debt and 75% common equity, with no preferred stock. Its before-tax cost of debt is 13% and its marginal tax rate is 40%. The current...

Microtech Corporation is expanding rapidly and currently needs to retain all of its earnings. Hence it does not pay dividends. However, investors expect Microtech to begin paying dividends, beginning...

Multiple choice: If you owe $48,000 on a loan which charges an annual interest rate of 12%, compounded monthly, and you can afford to pay $689 per month toward your loan, it takes 10 years to pay...

One business has a large amount of debt on which it pays an annual yield of 10%. A competitor has no debt, and any excess money goes into the bank and earns an annual yield of 2%...

My finance class hasn't begun time value yet but it's part of our homework. Help?

Assume tht the operationof your business resulted in sales of $370,000 last year. Year-end receivables are $100,000. You are considering factoring the receivables to raise cash to help finance your...

You are borrowing $4,000 to purchase a HD plasma TV using a 36 month installment plan. Determine the annual percentage rate (APR) using the APR formula given that the interest charge is $782.96. Round...

Stock A’s expected return and standard deviation are E[RA] = μA = 6% and σA = 12%, while stock B’s expected return and standard deviation are E[RB] = μB = 10% and σB = 20%. (a) How would you construct...

Suppose you have $1.5 million loan with semi-annual installments over 10 years. How much do you pay towards the principal in the second installment if the interest rate of this loan is 1.8% compounded...

Global electronics Inc. invested $1,000,000 to build a plant in a foreign country. The labor and materials used in production are purchased locally. The plant expansion was estimated...

It has been said that expected bankruptcy costs can help explain the use of equity versus debt in corporate financial structure, even though interest but not dividends are tax deductible. Can bankruptcy...

Alex C.

Harvard/MIT Finance and Statistics Tutor

Fort Lee, NJ

5.0
(253 ratings)

JD P.

SAT, GMAT, LSAT, Economics, Finance, Columbia/Harvard, PhD, JD

New York, NY

5.0
(328 ratings)