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What is the annual payments (rounded to nearest dollar) you need to make to fully amortise a 20-year, $250,000 mortgage on a building at a 6% interest rate

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What is the annual payments (rounded to nearest dollar) you need to make to fully amortise a 20-year, $250,000 mortgage on a building at a 6% interest rate. Assume that payments are made at the end of each year,

Select one:

a.

$17 500

b.

$24 815

c.

$18 630

d.

$21 796

 

ConsGrough, Inc. has increased its annual ordinary dividend by 4% in each of the years that the company has existed. If you believe that the company can continue to do so indefinitely, then what price would you be willing to pay for ConsGrough if the required rate of return is 7% and the expected dividend next year is $6.24?

Select one:

a.

$214.00

b.

$171.67

c.

$208.00

d.

$166.67

 

Over the last three years you have earned 5%, 7% and 9% on your portfolio, calculate the standard deviation of the returns of that portfolio.

Select one:

a.

0.02

b.

0.07

c.

0.04

d.

0.0004

 

Security A has a beta of 1.3, the risk-free rate is 4%, and the expected return on the market is 11%, calculate the expected return for Security A.

Select one:

a.

13.1%

b.

18.3%

c.

14.6%

d.

15.0%

 

$1000 is invested for 12 months at a nominal rate of 12%. What is the accumulated value if interest is compounded monthly?

Select one:

a.

$1,123.6

b.

$1,126.83

c.

$1,120.00

d.

1010.00

 

What is the present value of $30 to be received at the beginning of each year for the next five years if the discount rate is 11%?

Select one:

a.

$126.63

b.

$123.08

c.

$125.00

d.

$115.12

 

A 10-year bond pays interest annually. Its par value is $1,000 and its coupon rate equals 5%. If the market's required return on the bond is 6 per cent, what is the bond's market price?

Select one:

a.

$926.00

b.

$1020.10

c.

$862.35

d.

$952.76

 

You plan to deposit $2,000 annually, at the end of each of the next five years, into a savings account paying 4 percent annual interest. What is the future value (FV) of this (ordinary) annuity?

Select one:

a.

$12,000

b.

$10,434

c.

$10,832

d.

$11,265