I’m studying for my Accounting class and don’t understand how to answer this. Can you help me study?
Please answer following questions with formula, Thanks
1. The pv is $1,000, interest is 10%, years is 5.What is the FV in simple interest and continuously compounded interest?
2. The debt is $500,000.Term is 30 years monthly amortization, interest rate 5%.What is the 5- year payoff and interest accrued for the same five years?
3. The investor has $15,000, can earn 10% in the equity market, wants to have $2,000,000 in 30 years.How much must he contribute annually?
4. A stock was bought for $100, sold for $90, and had a $2 dividend.What is the return?
5. A bond has a semi- annual coupon of 8%, yield of 5%, term of 7 years.It is callable at 100 in 2 years.What is the yield to call?