What is the present value of 3 year annuity of 100 if discount rate is 6%?

What is the present value of 3 year annuity of 100 if discount rate is 6%?
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The formula for the present value of an annuity due. The present value of an annuity due is used to derive the current value of a series of cash payments that are expected to be made on predetermined future dates and in predetermined amounts.
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On 1st April, 2013, Y Ltd. Issued 1000, 12% debentures of Rs. 100 each at a discount of 6%. These debentures are redeemable in five equal annual instalments at the end of each year. What is the amount of discount to be written off in the first year i.e. on 31st March, 2007, through P & L A/c ? (A) Rs. 2000 (B) Rs. 1800 (C) Rs. 1200 (D) Rs. 600

Description : On 1st April, 2013, Y Ltd. Issued 1000, 12% debentures of Rs. 100 each at a discount of 6%. These debentures are redeemable in five equal annual instalments at the end of each year. What is the amount of discount to be written off ... & L A/c ? (A) Rs. 2000 (B) Rs. 1800 (C) Rs. 1200 (D) Rs. 600

Last Answer : Answer: Rs. 1200

To the nearest rupee, what is the net present value of a replacement project whose cash flows are -Rs.104,000; Rs.34,444; Rs.39,877; Rs.25,000; and Rs.52,800 for years 0 through 4, respectively? The firm has decided to assume that the appropriate cost of capital is 10% and the appropriate risk-free rate is 6%. A. Rs.15,115 B. Rs.26,798 C. Rs.33,346 D. Rs.48,121

Description : To the nearest rupee, what is the net present value of a replacement project whose cash flows are -Rs.104,000; Rs.34,444; Rs.39,877; Rs.25,000; and Rs.52,800 for years 0 through 4, respectively? The firm has decided to ... -free rate is 6%. A. Rs.15,115 B. Rs.26,798 C. Rs.33,346 D. Rs.48,121

Last Answer : C. Rs.33,346

A company is considering investing surplus funds in a project. Calculate the NPV at 10 % discount rate for the following data Project-A Year 0- (100) Year 1-100 Year 2-100 A. 73.5 B. 173.5 C. 273.5 D.100

Description : A company is considering investing surplus funds in a project. Calculate the NPV at  10 % discount rate for the following data  Project-A Year 0- (100) Year 1-100 Year 2-100  A. 73.5  B. 173.5  C. 273.5  D.100

Last Answer : A. 73.5

Need $200 at 6% interest rate in 1 year. How much do I set aside today ?

Description : Need $200 at 6% interest rate in 1 year. How much do I set aside today ?

Last Answer : Need Answer

Interest rate on 10 year NSC is a) 8.6% b) 8.4% c) 8.5% d) 8.9%

Description : Interest rate on 10 year NSC is  a) 8.6% b) 8.4% c) 8.5% d) 8.9%

Last Answer : d) 8.9%

Which of the following bonds has the shortest duration? a) A bond with 20-year maturity, 10% coupon rate b) A bond with 20-year maturity, 6% coupon rate c) A bond with 10-year maturity, 6% coupon rate d) A bond with 10-year maturity, 10% coupon rate

Description : Which of the following bonds has the shortest duration? a) A bond with 20-year maturity, 10% coupon rate b) A bond with 20-year maturity, 6% coupon rate c) A bond with 10-year maturity, 6% coupon rate d) A bond with 10-year maturity, 10% coupon rate

Last Answer : All else constant, a bond with a longer maturity will be more sensitive to changes in interest rates. All else constant, a bond with a lower coupon will have greater interest rate risk. The correct answer was D) 10-year maturity, 10 percent coupon rate.

An annuity is a series of equal payments occuring at equal time intervals, and this amount includes the sum of all payments plus interest, if allowed to accumulate at a definite rate of interest from the time of initial payment to the end of annuity term. Ordinary annuity is used in the calculation of the (A) Manufacturing cost (B) Depreciation by sinking fund method (C) Discrete compound interest (D) Cash ratio

Description : An annuity is a series of equal payments occuring at equal time intervals, and this amount includes the sum of all payments plus interest, if allowed to accumulate at a definite rate of interest from ... cost (B) Depreciation by sinking fund method (C) Discrete compound interest (D) Cash ratio

Last Answer : (B) Depreciation by sinking fund method

What is the percentage error when 3 resistors with ratings 100 Ω at 5%, 150 Ω at 6% and 250 Ω at 8%

Description : What is the percentage error when 3 resistors with ratings 100 Ω at 5%, 150 Ω at 6% and 250 Ω at 8% respectively, are connected in series? A) 6.33% B) 6.80% C) 19% D) None of these

Last Answer : What is the percentage error when 3 resistors with ratings 100 Ω at 5%, 150 Ω at 6% and 250 Ω at 8% respectively, are connected in series? A) 6.33% B) 6.80% C) 19% D) None of these

The population of a town was 200000 three years ago. If increased by 4%, 6% and 10% respectively in the last three years, then the present population of town is a) 1,10,313 b) 1,10,314 c) 2,42,528 d) 2,93,313 e) 2,10,313

Description : The population of a town was 200000 three years ago. If increased by 4%, 6% and 10% respectively in the last three years, then the present population of town is a) 1,10,313 b) 1,10,314 c) 2,42,528 d) 2,93,313 e) 2,10,313

Last Answer : Answer: C The present population = (1+4/100)×(1+6/100)×(1+10/100)×200000  = (104/100) × (106/100) × (110/100) × 200000  = 1.04×1.06×1.1×200000  = 2,42,528

As of 4/4/01 I show I invested $45,000 in an annuity at 5.75% - Provident Mutual 2. Do I still have that account. If so- value If not when was it withdrawn and by whom Necia A. Black 40 Lennox Ave,Amherst,NY It would have been 51 High Park Blvd?

Description : As of 4/4/01 I show I invested $45,000 in an annuity at 5.75% - Provident Mutual 2. Do I still have that account. If so- value If not when was it withdrawn and by whom Necia A. Black 40 Lennox Ave,Amherst,NY It would have been 51 High Park Blvd?

Last Answer : This is something that only the finincial institute can answer.

A company has to choose between two projects whose cash flows are as indicated below; Project 1: i. Investment – Rs. 15 Lakhs ii. Annual cost savings – Rs. 4 lakhs. iii. Bi-annual maintenance cost – Rs. 50,000/- iv. Reconditioning and overhaul during 5th year: 6 lakhs v. Life of the project – 8 years vi. Salvage value – Rs. 5 lakhs Project 2: vii. Investment – Rs. 14 Lakhs viii. Annual cost savings – Rs. 3.5 lakhs. ix. Annual Maintenance cost – Rs. 20,000/- x. Reconditioning and overhaul during 4th year: 5 lakhs xi. Life of the project – 8 years xii. Salvage Value- 2 lakhs Which project should the company choose? The annual discount rate is 12

Description :  A company has to choose between two projects whose cash flows are as indicated  below; Project 1:  i. Investment - Rs. 15 Lakhs ii. Annual cost savings - Rs. 4 lakhs. iii. Bi-annual ... years xii. Salvage Value- 2 lakhs Which project should the company choose? The annual discount rate is 12

Last Answer : Year Project 1 Project 2 Outgo Saving NPV Outgo Saving NPV 0 15.0 0 =-15.0 14.0 0 = -14 1 0 4.0 = (4 / (1+.12)1 = 3.571 0.2 3.5 = (3.3 / (1+.12)1 = 2.95 2 0.5 4.0 = (3.5 / (1+.12)2 = 2.79 0.2 3.5 ... (1+.12)8 = 3.43 0.2 5.5  (3.5+2) = (5.3 / (1+.12)8 = 2.14 NPV = + 2.301 @12% = + 0.15

15. Find the simple interest and the amount when: (a) Principal = Rs 6400, rate = 6% p.a. and time = 2 years (b)Principal = Rs 2650, rate = 8% p.a. and time = 212212 years?

Description : 15. Find the simple interest and the amount when: (a) Principal = Rs 6400, rate = 6% p.a. and time = 2 years (b)Principal = Rs 2650, rate = 8% p.a. and time = 212212 years?

Last Answer : when followed by a vowel sound or used as an emphatic form

An investment in buying 400 shares of a company at a premium of Rs.2.50 earns an income of `9.6%` per annum. If the rate of dividend paid by the compa

Description : An investment in buying 400 shares of a company at a premium of Rs.2.50 earns an income of `9.6%` per annum. If the rate of dividend paid by the compa

Last Answer : An investment in buying 400 shares of a company at a premium of Rs.2.50 earns an income of `9.6%` ... `12%`, then find the face value of each share.

When caring for a patient with an uncomplicated, mild urinary tract infection (UTI), the nurse knows that recent studies have shown which of the following drugs to be a good choice for shortcourse (e.g. 3-day) therapy? a) Levofloxacin (Levaquin) Levofloxacin, a floroquinolone, is a good choice for short-course therapy of uncomplicated, mild to moderate UTI. Clinical trial data show high patient compliance with the 3-day regimen (95.6%) and a high eradication rate for all pathogens (96.4%).

Description : When caring for a patient with an uncomplicated, mild urinary tract infection (UTI), the nurse knows that recent studies have shown which of the following drugs to be a good choice for ... to be significantly more effective than TMP-SMX in community-based patients and in nursing home residents.

Last Answer : a) Levofloxacin (Levaquin) Levofloxacin, a floroquinolone, is a good choice for short-course therapy of uncomplicated, mild to moderate UTI. Clinical trial data show high patient compliance with the 3-day regimen (95.6%) and a high eradication rate for all pathogens (96.4%).

A crane is purchased now; its useful life is 8 years after which a new crane must be purchased. If the interest rate is 6%, the capital recovery factor (crf) is (a) 0.3141 (b) 0.5420 (c) 0.1610 (d) 0.1259

Description : A crane is purchased now; its useful life is 8 years after which a new crane must be purchased. If the interest rate is 6%, the capital recovery factor (crf) is (a) 0.3141 (b) 0.5420 (c) 0.1610 (d) 0.1259

Last Answer : (c) 0.1610

A bond with the number 12.6S2005, indicates that: a. the interest rate is 12.6%; due in May. b. the interest rate is 12%; due on June 05. c. the interest rate is 12%; due in June 2005. d. the interest rate is 5%; due on December 6. e. the interest rate is 12.6%; due on December 31, 2005.

Description : A bond with the number 12.6S2005, indicates that: a. the interest rate is 12.6%; due in May. b. the interest rate is 12%; due on June 05. c. the interest rate is 12%; due in June 2005. d. the interest rate is 5%; due on December 6. e. the interest rate is 12.6%; due on December 31, 2005.

Last Answer : e. the interest rate is 12.6%; due on December 31, 2005.

Calculate the labour turnover rate according to Separation method from the following: No. of workers on the payroll: - At the beginning of the month: 500 - At the end of the month: 600 During the month, 5 workers left, 20 workers were discharged and 75 workers were recruited. Of these, 10 workers were recruited in the vacancies of those leaving and while the rest were engaged for an expansion scheme. (a) 4.55% (b) 1.82% (c) 6% (d) 3%

Description : Calculate the labour turnover rate according to Separation method from the following: No. of workers on the payroll: - At the beginning of the month: 500 - At the end of the month: 600 During the month, 5 workers left ... engaged for an  expansion scheme. (a) 4.55% (b) 1.82% (c) 6% (d) 3%

Last Answer : (a) 4.55%

Calculate the labour turnover rate according to replacement method from the following: No. of workers on the payroll: - At the beginning of the month: 500 - At the end of the month: 600 During the month, 5 workers left, 20 workers were discharged and 75 workers were recruited. Of these, 10 workers were recruited in the vacancies of those leaving and while the rest were engaged for an expansion scheme. (a) 4.55% (b) 1.82% (c) 6% (d) 3%

Description : Calculate the labour turnover rate according to replacement method from the following: No. of workers on the payroll: - At the beginning of the month: 500 - At the end of the month: 600 During the month, 5 workers left ... engaged for an expansion scheme. (a) 4.55% (b) 1.82% (c) 6% (d) 3%

Last Answer : (b) 1.82%

If Nominal GDP is 11% and Real GDP is 6%, then the difference of 5% represent (a) Depreciation ; (b) Rate of inflation ; (c) Rate of interest ; (d) Tax burden

Description : If Nominal GDP is 11% and Real GDP is 6%, then the difference of 5% represent (a) Depreciation ; (b) Rate of inflation ; (c) Rate of interest ; (d) Tax burden

Last Answer : (b) Rate of inflation ;

R. G. Ltd. purchased machinery from K.G. Company for a book value of Rs. 4,00,000. The consideration was paid by issue of 10%. Debenture of Rs. 100 each at a discount of 20%. The debenture account will be credited by– (A) Rs. 4,00,000 (B) Rs. 5,00,000 (C) Rs. 3,20,000 (D) Rs. 4,80,000

Description : R. G. Ltd. purchased machinery from K.G. Company for a book value of Rs. 4,00,000. The consideration was paid by issue of 10%. Debenture of Rs. 100 each at a discount of 20%. The debenture account will be credited by– (A) Rs. 4,00,000 (B) Rs. 5,00,000 (C) Rs. 3,20,000 (D) Rs. 4,80,000

Last Answer : Answer: Rs. 4,00,000

A wholesaler sells printer cartridges. The minimum order quantity is 5. There is a 20% discount for orders of 100 or more printer cartridges. You have been asked to prepare test cases using various values for the number of printer cartridges ordered. Which of the following groups contain three test inputs that would be generated using Boundary Value Analysis? A. 5, 6, 20 B. 4, 5, 80C. 4, 5, 99 D. 1, 20, 100

Description : A wholesaler sells printer cartridges. The minimum order quantity is 5. There is a 20% discount for orders of 100 or more printer cartridges. You have been asked to prepare test cases using various values for the number of printer cartridges ... A. 5, 6, 20 B. 4, 5, 80C. 4, 5, 99 D. 1, 20, 100

Last Answer : C. 0, 1,10,11, 50, 51, 75, 76,100,101

The licensee is also entitled a commission on the value of frank used a) 6% b) 3% c) 9% d) 5%

Description : The licensee is also entitled a commission on the value of frank used a) 6% b) 3% c) 9% d) 5%

Last Answer : b) 3%

Gross assets are Rs.1,01,000, fictitious assets Rs.350 are included in the gross assets. External liabilities are Rs.7,500. 6% prefer share capital is Rs.45,000. Equity capital is 4,500 equity shares of Rs.10 each fully paid. Average expected profit is Rs.8,500. Transfer to reserves is 10%. Pref. dividend is payable. NRR is 9%. The Net Asset Value Per share is A Rs.11 B Rs.10.70 C Rs.15 D Rs.20s

Description : Gross assets are Rs.1,01,000, fictitious assets Rs.350 are included in the gross assets. External liabilities are Rs.7,500. 6% prefer share capital is Rs.45,000. Equity capital is 4,500 equity shares of Rs.10 each fully ... . The Net Asset Value Per share is A Rs.11 B Rs.10.70 C Rs.15 D Rs.20

Last Answer : Rs.10.70

Which of the following is true? A. Discounted cash flow analysis is the least precise of the cash flow techniques, because it does not consider the time value of money. B. NPV is the least precise of the cash flow analysis techniques, because it assumes reinvestment at the discount rate. C. Payback period is the least precise of the cash flow analysis techniques, because it does not consider the time value of money. D. IRR is the least precise of the cash flow analysis techniques, because it assumes reinvestment at the cost of capital.

Description : Which of the following is true?  A. Discounted cash flow analysis is the least precise of the cash flow techniques, because  it does not consider the time value of money. B. NPV is ... least precise of the cash flow analysis techniques, because it assumes  reinvestment at the cost of capital.

Last Answer : C. Payback period is the least precise of the cash flow analysis techniques, because it  does not consider the time value of money.

What adjustment is made while using the Discounted Cash Flow method to value cyclical companies? a) Normalize earnings b) Use high discount rate c) Use bank rate for discounting d) Use high growth rate

Description : What adjustment is made while using the Discounted Cash Flow method to value cyclical companies? a) Normalize earnings b) Use high discount rate c) Use bank rate for discounting d) Use high growth rate

Last Answer : a) Normalize earnings

SBI has been named as domestic systemically important banks (D-SIBs) this year. What additional capital it will have to maintain as a percent of loans and investments? A) 0.2% B) 0.4% C) 0.6% D) 0.8% E) None of these

Description : SBI has been named as domestic systemically important banks (D-SIBs) this year. What additional capital it will have to maintain as a percent of loans and investments? A) 0.2% B) 0.4% C) 0.6% D) 0.8% E) None of these

Last Answer : C) 0.6% Explanation: Based on the methodology announced by the central bank, SBI will need to maintain additional capital equivalent to 0.6 per cent of its loans and investments while ICICI will need to maintain 0.2 per cent more.

Why is the annuity industry so backwards and difficult to work with?

Description : Why is the annuity industry so backwards and difficult to work with?

Last Answer : Didn’t you ask this question last month? https://www.fluther.com/229331/i-can-buy-my-own-stocks-through-sites-like-e-trade-and/

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Last Answer : answer:Assuming the lump sum is 77.4 million dollars, and you want to eventually get to 153 million (within the 30 years it would've taken to get the whole amount from them).... just invest ... read up a bit on the stock market and invest there and probably rather quickly make up that difference.

My parents opened an annuity trust with a company called Old Mutual, have you heard of them?

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What annuity can individuals choose to invest purchase payments from a range of investment options which are typically mutual funds?

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What must happen when an individual policy or annuity has been delivered by hand to the policy owner?

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Fixed Annuity Calculator?

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Immediate Annuity Calculator?

Description : Immediate Annuity Calculator?

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Variable Annuity Calculator?

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Advantages and Disadvantages of a Fixed Annuity?

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What is an annuity payout?

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What is the largest annuity payout possible?

Description : What is the largest annuity payout possible?

Last Answer : Annuities with the Highest Immediate Annuity Payouts and the Highest Annuity Interest Rates available. Immediate Annuities, Fixed Deferred Annuities www.jdsannuities.com/ The largest annuity payout possible ... . You must get really lucky and you should understand investments comes with risk.

How does a cash annuity settlement work?

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Last Answer : A cash annuity is usually work by the person receiving the annuity is getting a montly fund which can pre-taxed or you will have to take the taxes out every year. Many people do not like the monthly so they try to sell it order to get a lump sum.

Who would benefit from a fixed annuity?

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Last Answer : Fixed annuities have a guaranteed interest rate for a set time period. So, if interest rates go up and you are locked into a rate you are the loser. But the reverse can also work, if rates ... So, either the person or financial group could be the loser depending upon what happens to interest rates.

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Description : What are some important things to know regarding annuity payments?

Last Answer : Important things to know are how much you are being charged and the amount you can expect. Also, you may want to know how long the payments will last and if they are taxable.

Do annuity rates remain steady or are they variable?

Description : Do annuity rates remain steady or are they variable?

Last Answer : This actually depends on the annuity. A "fixed" annuity always gets you the same rate, while the rate of a "variable" annuity is indexed to some other rate, usually the federal prime rate. Rates are variable over the long term. It is possible to lock a steady rate in but it costs more to do so.

How is a defined benefit retirement plan different from an annuity plan?

Description : How is a defined benefit retirement plan different from an annuity plan?

Last Answer : A defined benefit plan is one that your employer pays for over the period of time you are employed with them. An annuity plan is a program that you invest in for your retirement. Both are payable ... of your retirement. Defined plan is a fixed amount. Annuity depends on the terms of your contract.

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Description : I have a retirement annuity that I cant touch for 12 more years. how do I get cash from it now?

Last Answer : I think you can sell it to someone else for current value and tranfer it to them.

What is structured annuity?

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Last Answer : A structured settlement annuity is an agreement where an insurance company will pay an individual the predetermined amount of money over a finite period of time.

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Last Answer : An annuity settlement is a payment to an individual for a settlement, typically from an insurance claim. It's basically any type of settlement for legal suit or other such cases.

What are the current rates for Fixed Annuity in Omaha, NE?

Description : What are the current rates for Fixed Annuity in Omaha, NE?

Last Answer : fixed annuity rates effective from 4-15-09 can be found at http://www.rasberryagency.com/images/MofORates.pdf

My husband wants to cash in an annuity he has had since 1990,He will be 60 in May. The annuity is with Prudential. We lived in New Jersey at the time, now we live in Virginia. Do both states get a % tax, or just Virginia The annuity is under $12,000.00?

Description : My husband wants to cash in an annuity he has had since 1990,He will be 60 in May. The annuity is with Prudential. We lived in New Jersey at the time, now we live in Virginia. Do both states get a % tax, or just Virginia The annuity is under $12,000.00?

Last Answer : You would actually get the tax in New Jersey since that is where the annuity is from. You'll have to report it as income on your state taxes, and then Virginia may also tax you.