Problem 1You start a new job. They give you a variety of investments for your 401K plan. You have 4 choicesA money market fund that historically has returned 2.5% per yearA long term bond fund with an average annual return of 6%A conservative common stock fund that has earned 8% per year.An aggressive common stock fund that has earned 14% per year.If you want to contribute $5000 per year for the next 20 years, how much will you have with each of the options?Problem 2 If a company just paid a dividend of $2.00 per share, the required rate of return is 9% and the growth rate is 3% then the value of the stock isProblem 3.You decide to buy a small office building with 1 tenant. The tenant has a lease that calls for monthly rent payments of $2,500 per month for the next 6 years. After that, the lease expires. You expect to be able to increase the rent 4% per year for years 7-12. At the end of year 12 you intent to sell the building for $200000Create a table showing the projected cash flows for the investment, assuming the next rental payment occurs one month from today.Assuming you need to earn 11% on this investment, what is the maximum price you would be willing to pay for the building today? (ignore taxes and amortization for this analysis)Problem 4.You want to buy a house with a $30,000 down payment. The loan amount is $297,000. The annual interest rate is 3 ¾ % and the loan is for 360 months. What are your payments?Problem 5.Find the the value of a preferred stock with a 6% coupon and $100 par value with a required rate of return of 10%.Problem 6.Calculate the yield to maturity of a 10% coupon bond with 5 years to maturity if the bond sells for $927.91. The face value of the bond is $1,000. Assume semiannual coupon payments.7.If a new company is expected to growth exponentially and pay dividends of $1, $2, and $3, for the first 3 years, respectively. After that time the growth is expected to be at 5% thereafter. The required rate of return is 10%. You can use the PV and the Gordon Growth model to estimate the value of the stock.
Essay Writing Service Features
Our Experience
No matter how complex your assignment is, we can find the right professional for your specific task. Contact Essay is an essay writing company that hires only the smartest minds to help you with your projects. Our expertise allows us to provide students with high-quality academic writing, editing & proofreading services.
Free Features
Free revision policy
$10Free bibliography & reference
$8Free title page
$8Free formatting
$8How Our Essay Writing Service Works
First, you will need to complete an order form. It's not difficult but, in case there is anything you find not to be clear, you may always call us so that we can guide you through it. On the order form, you will need to include some basic information concerning your order: subject, topic, number of pages, etc. We also encourage our clients to upload any relevant information or sources that will help.
Complete the order form
Once we have all the information and instructions that we need, we select the most suitable writer for your assignment. While everything seems to be clear, the writer, who has complete knowledge of the subject, may need clarification from you. It is at that point that you would receive a call or email from us.
Writer’s assignment
As soon as the writer has finished, it will be delivered both to the website and to your email address so that you will not miss it. If your deadline is close at hand, we will place a call to you to make sure that you receive the paper on time.
Completing the order and download