Answer:
Step-by-step explanation:
present value of dividend for three years =
2.50 x 1.2 / 1.15 + 2.5 x 1.2² / 1.15² + 2.5 x 1.2³ / 1.15³
= 2.6087 + 2.722 + 2.84
= 8.17
present value of future cash flow after three years
= 2.5 x 1.2³ x 1.08 / .15 - .08
66.65
present value
= 66.65 / 1.15³ = 43.823
Total present value = 43.823 + 8.17
= 52 approx .
Answer:
The amount the $20.000 will be worth in 17 years at compound interest is $65068.443
Step-by-step explanation:
Here we have the Principal, P = $20,000.00
The annual interest rate, r = 7% = 0.07
Time , t = 17 years
Number of compounding period per year, m = quarterly = 4
The compound interest can be found from the following formula;

Therefore, by plugging the values of the equation parameters, we have;

Therefore, the amount the $20.000 will be worth in 17 years at compound interest = $65068.443.
M=FD^2/(-Gn)
here is the solution
Answer:c
Step-by-step explanation: