Answer:
$90,119.405
Explanation:
Given:
Periodic payment (p) = $25,000
Number of payment (n) = 5
Interest rate (r) = 12% = 12 / 100 = 0.12
Present value = ?
Computation of Present value :
![Present\ Value = PMT [\frac{1-(1+i)^{-n}}{i}] \\\\ Present\ Value= 25,000 [\frac{1-(1+0.12)^{-5}}{0.12}]\\\\Present\ Value= 25,000 [\frac{1-(1.12)^{-5}}{0.12}]\\\\Present\ Value= 25,000 [\frac{1-0.567426856}{0.12}]\\\\Present\ Value= 25,000 [\frac{0.432573144}{0.12}]\\\\Present\ Value= 25,000 [3.6047762]\\\\Present\ Value= 90,119.405](https://tex.z-dn.net/?f=Present%5C%20Value%20%3D%20PMT%20%5B%5Cfrac%7B1-%281%2Bi%29%5E%7B-n%7D%7D%7Bi%7D%5D%20%5C%5C%5C%5C%20Present%5C%20Value%3D%2025%2C000%20%5B%5Cfrac%7B1-%281%2B0.12%29%5E%7B-5%7D%7D%7B0.12%7D%5D%5C%5C%5C%5CPresent%5C%20Value%3D%2025%2C000%20%5B%5Cfrac%7B1-%281.12%29%5E%7B-5%7D%7D%7B0.12%7D%5D%5C%5C%5C%5CPresent%5C%20Value%3D%2025%2C000%20%5B%5Cfrac%7B1-0.567426856%7D%7B0.12%7D%5D%5C%5C%5C%5CPresent%5C%20Value%3D%2025%2C000%20%5B%5Cfrac%7B0.432573144%7D%7B0.12%7D%5D%5C%5C%5C%5CPresent%5C%20Value%3D%2025%2C000%20%5B3.6047762%5D%5C%5C%5C%5CPresent%5C%20Value%3D%2090%2C119.405)
We be will invest $90,119.405 (approx).
Answer:
$3,750
Explanation:
Capital Gain tax is paid on the sale property value. According to tax rule if you sale your residence building the first $250,000 is exempt from the tax and the amount above this value will be taxed using rate of 15%.
Total Amount of Gain = $275,000
Amount Exempted = $250,000
Taxable value = $275,000 - $250,000 = $25,000
Tax value = $25,000 x 15%= $3,750
Answer:
The value of the company according to MM Proposition I with taxes is $528294.55
Explanation:
value of unlevered firm = EBIT(1-T)/Ru
= 72000*(1 - 24%)/11%
= 497454.55
value of levered firm = 497454.55 + 128500*0.24
= $528294.55
Therefore, The value of the company according to MM Proposition I with taxes is $528294.55
By taxation or selling government bonds.
Answer:
Imma solve it out for you no problem. Give me a quick second
Explanation:
Give me a minute to solve it out real quick. I gotchu
