MBA -Calculate the Future Value of an Annuity that has

MBA -Calculate the Future Value of an Annuity that has

MBA -Calculate the Future Value of an Annuity that has
Subject: Business    / Finance
Question

Final Exam

Calculate the Future Value of an Annuity that has the following characteristics: (a) PMT: $2,032, (b) RATE: 6%, and (c) NPER: 10.
Determine how much you would be willing to pay for an annuity due that has the following characteristics: (a) PMT: $10,250, (b) RATE: 4.25%, and (c) NPER: 30.
How much would you be willing to pay for a bond that pays semi-annual coupon payments and has the following characteristics: (a) Years to Maturity: 10, (b) YTM: 7%, and Coupon Rate: 6.35%.
What is the maximum price that you would be willing to pay for a no-growth stock that has the following characteristics: (a) Dividend (Has Paid): $3.65 and (b) Required Rate of Return: 8%.
What is the maximum price that you would be willing to pay for a constant growth stock that has the following characteristics: (a) Dividend (Has Paid): $2.62, (b) Growth: 6.5%, and (c) Required Rate of Return: 7.5%.
What is the maximum price that you would be willing to pay for a non-constant growth stock that has the following characteristics: (a) Non-Constant Growth Rate: 12.3%, (b) Constant Growth Rate: 6.3%, (c) Dividend: $3.13, and (d) Required Rate of Return: 7.3%.
What is the current yield on a bond that has the following characteristics: (a) Price: $926.32, (b) Coupon Rate: 3.6%, (c) YTM: 4.21%, and (d) NPER: 10.
Calculate the YTM on a bond with the following characteristics: (a) Price: $1,123, (b) Coupon: $46.23, and (c) NPER: 10.
Calculate Company A’s weighted average cost of debt, given the following information: (a) Tax Rate: 15%, (b) Average Price of Outstanding Bonds: $852.32, (c) Coupon Rate: 4.25%, (d) NPER: 15, (e) Debt: $15,000,000, (f) Equity: $10,000,000, and (g) Preferred Stock: $2,000,000.
Calculate Company B’s weighted average cost of equity, given the following information: (a) Dividend: $2.33, (b) Growth Rate: 6.3%, (c) Price: $53.20, (d) Debt: $13,000,000, (e) Equity: $8,000,000, and (f) Preferred Stock: $2,000,000.
Calculate Company C’s weighted average cost of preferred stock, given the following information: (a) Dividend Payments: $4.23, (b) Price of Preferred Stock: $95.60, (c) Debt: $13,000,000, (d) Equity: $9,000,000, and (e) Preferred Stock: $3,000,000.
Calculate Company D’s weighted average cost of capital, given the following information: (a) Tax Rate: 26%, (b) Average Price of Outstanding Bonds: $1,123.50, (c) Coupon Rate (Debt): 6.5%, (d) NPER (Debt): 15, (e) Dividend: $3.26, (f) Growth Rate: 4.5%, (g) Price: $35.20, (h) Dividend on Preferred Stock: $2.36, (i) Price of Preferred Stock: $52.30, (j) Debt: $13,000,000, (k) Equity: $9,000,000, and (l) Preferred Stock: $5,000,000.