Treasury bill
<span>It's a short-term debt backed by the U.S.
government with a limit of one year, It's sold in denominations
of $1,000. The maximum purchase is $5 million </span>
Answer:
True
Explanation:
Debt certificate is a written agreement of purchasing a bond from a private company or government, it gives information regarding the maturity date, face value and principal amount. They are normally issued to consumers and business, but investors can also buy bonds or debt certificate by buying the right to loans and mortgages, it allows them to buy debt certificates.
Answer:
<em>(1) $3.5 million</em>
<em>(2) $1.5 million</em>
Explanation:
<em>The account of natural resources is compounded by the duty to sell the properties, which is the present value of the $5 million to be paid later, or $3.5 million.</em>
Total depletion over most of the life of the project thus increases by this number. Accretion expense is the growth in the obligation over time.
<em>The $3.5 million amount will increase to $5 million in five years, and at that time that amount's expended.</em>
Answer:
Total PV= $140,465.69
Explanation:
Giving the following information:
Cash flows:
Cf1= $18,000
Cf2= $26,500
Cf3= $46,000
Cf4= $69,000
The appropriate interest rate is 4.3 percent.
<u>To calculate the present value, we need to apply the following formula on each cash flow:</u>
PV= FV/(1+i)^n
Cf1= 18,000/1.043= 17,257.91
Cf2= 26,500/1.043^2= 24,360
Cf3= 46,000/1.043^3= 40,541.97
Cf4= 69,000/1.043^4= 58,305.81
Total PV= $140,465.69
