TIME VALUE OF MONEY

What is the present value of semi-annual payments - 13 thousand rubles, paid over 8 years at an annual rate of 13%?

• 126,98

• 62,38

• 159,36

• 85,34

Suppose that at 12% per annum for 10 years, real estate will bring a monthly income of $ 500. Then it will be sold for $ 40,000. What is the present value of real estate?

• 47 729,19

• 12 878,93

• 34 850,26

• 23 564, 87

You have a debt of $ 1000 for 5 years at 10%. You pay off your debt by periodic payments at the end of each year. Please, calculate the size of periodic payments.

• 620,93

• 263,8

• 1 610,51

• 163,79

Please, estimate the market value of a two-year bond with a par value (face value) of 1000 $, which provides for the coupon payment  (every six months; i = 12% per annum). The market interest rate is 14%.

• 674,97

• 285,99

• 960,96

• 1 081,50

Suppose that at 10% per annum for 5 years, the company will generate income every six months in the amount of $ 1,000. Then it will be sold for $ 80,000.

What is the present value of the company?

• 65 543, 56

• 49 673, 71

• 57 395, 44

• 7 721, 73

It is supposed to rent the apartment for 5 years, the annual payment is $ 1000. If it is proposed to pay for the entire rental period at the beginning of the term, the tenant may receive a discount. Interest rate is 10%. What is size of the maximum discount?

• 3 209, 43

• 1 209, 22

• 3 790, 79

• 1 509, 42

The firm took out a loan of 1 million $ for 5 years at 10% per annum. The firm pays interest every year for the use of the loan in the amount of 100,000 $. How much should the firm deposit to the bank annually at the end of the year in order to pay off the loan at the end of the fifth year? The bank deposit interest is 10%.

• 163 797, 48

• 263 797, 48

• 94 561, 87

• 194 561, 87

Let us find the duration for a four-year bond with a par value (face value) of 1000 rubles, with an annual coupon yield of 7%. Interest rate is 12%.

• 2.78

• 3.33

• 4.53

• 1.34