500words, APA with2 citations – 2 years ago
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– 2 years ago
_**Treatments for**_ _**Respiratory Disorders**_ Based on [Module 4: Lecture Materials & Resources](https://stu.instructure.com/courses/43426/pages/module-4-lecture-materials-and-resources?wrap=1 "Module 4: Lecture Materials & Resources") and experience, please answer the following questions: 1. Dis…
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Based on [Module 4: Lecture Materials & Resources](https://stu.instructure.com/courses/43426/pages/module-4-lecture-materials-and-resources?wrap=1 "Module 4: Lecture Materials & Resources") and experience, please answer the following questions:
1. Discuss triggers of asthma and treatment options
2. Discuss corticosteroids
3. Describe chronic bronchitis and treatment options
– Arcangelo, P. V., Peterson, M. A., Wilbur, V., & Reinhold, A. J. (2017).
– Chapter 25: Asthma
– Chapter 26: Chronic Obstructive Pulmonary Disease
– Describe causes of Upper respiratory infections and drug therapy
**Submission Instructions:**
– Your initial post should be at least **500 words**, formatted and cited in the current APA style with support from at least 2 academic sources within the past 5 yrs.
– Each question **must be answered individually** as in bullet points.
– 2 years ago
[>Management homework help](https://www.sweetstudy.com/fields/business-finance-management) Prior to beginning work on this assignment, – Review Chapters 3, 4, and 5 from your textbook, _Applied Psychology in Talent Management_. – Review the article [Tear Off the Rearview MirrorLinks to an external s…
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Order on TutorsGallery →[>Management homework help](https://www.sweetstudy.com/fields/business-finance-management)
Prior to beginning work on this assignment,
– Review Chapters 3, 4, and 5 from your textbook, _Applied Psychology in Talent Management_.
– Review the article [Tear Off the Rearview MirrorLinks to an external site.](https://search.ebscohost.com/login.aspx?direct=true&AuthType=shib&db=a9h&AN=153909083&site=ehost-live&custid=s8856897)
– Review the article [How Not to be a Second-Choice Employer in 2022Links to an external site.](https://www.proquest.com/magazines/how-not-be-second-choice-employer-2022/docview/2645200302/se-2?accountid=32521)
– Review the webpage [_Performance Appraisals in the Workplace: Use, Types, CriticismsLinks to an external site._](https://www.investopedia.com/what-is-a-performance-appraisal-4586834)
**Part 1: Conducting Interviews As** a manager, one of your key roles is having the ability to hire the right people. You need to be able to assess candidates and come to a decision on hiring. In this activity, you will work on devising interview questions that will help in this process.For your three interview questions,
– Devise insightful interview questions that allow you to assess candidates.
– Defend the rationale for choosing the three interview questions.
**Part 2: Performance Appraisals** In leading people, it is critical to be able to provide meaningful feedback in the performance review process. Nearly all companies have an annual review process. In this activity, you will practice written performance feedback.Your performance appraisal should
– Assess the employee performance of two people in an organization or someone you know personally. You may search online for examples if you do not have one.
– Rewrite performance appraisal feedback of two people in an organization, people you know personally, or examples you found online. Rewrite the feedback to make it meaningful and substantive to employee development.
In your Assignment
– Devise insightful interview questions that allow you to assess candidates.
– Defend the rationale for choosing the three interview questions.
– Assesses employee performance of two people in an organization.
– Rewrite performance appraisal feedback of two people in an organization.
The Interviewing and Performance Appraisals Assignment
– must be 3 to 4 double-spaced pages in length (not including title and references pages and formatted according to [_APA Style_Links to an external site.](https://writingcenter.uagc.edu/apa-style) as outlined in the Writing Center’s [_APA Formatting for Microsoft WordLinks to an external site._](https://writingcenter.uagc.edu/apa-formatting-microsoft-word) resource.
– must include a separate title page with the following in the title case:
– title of paper in bold font
– Space should appear between the title and the rest of the information on the title page.
– student’s name
– name of the institution
– course name and number
– instructor’s name
– due date
– must utilize academic voice.
– Review the [_Academic Voice links_ to an external site.](https://writingcenter.uagc.edu/academic-voice) resource for additional guidance.
– must include an introduction and conclusion paragraph.
– Your introduction paragraph needs to end with a clear thesis statement that indicates the purpose of your paper.
– For assistance on writing [_Introductions & Conclusions_Links to an external site.](https://writingcenter.uagc.edu/introductions-conclusions) and [_Writing a Thesis Statement_Links to an external site.](https://writingcenter.uagc.edu/writing-a-thesis), refer to the Writing Center resources.
– must use at least 2 scholarly and/or credible sources in addition to the course text.
– The [_Scholarly, Peer-Reviewed, and Other Credible Sources_Links to an external site.](https://content.bridgepointeducation.com/curriculum/file/e5359309-7d3c-4a21-a410-44d59303ccef/1/Scholarly%20Peer-Reviewed%20and%20Other%20Credible%20Sources.pdf) table offers additional guidance on appropriate source types. If you have questions about whether a specific source is appropriate for this assignment, please contact your instructor. Your instructor has the final say about the appropriateness of a specific source.
– To assist you in completing the research required for this assignment, refer to this [_Quick and Easy Library Research_Links to an external site.](https://ashford.mediaspace.kaltura.com/media/Ashford+University+Library+Quick+%27n%27+Dirty/0_bcsbcjee) tutorial, which introduces the University of Arizona Global Campus Library and the research process, and provides some library search tips.
– must document any information used from sources in APA Style as outlined in the Writing Center’s [_APA: Citing Within Your PaperLinks to an external site._](https://writingcenter.uagc.edu/apa-citing-within-your-paper) guide.
– must include a separate references page that is formatted according to APA Style as outlined in the Writing Center.
– Refer to the [_APA: Formatting Your References List_Links to an external site.](https://writingcenter.uagc.edu/format-your-reference-list) resource in the Writing Center for specifications.
– 2 years ago
Find an example of an artwork that is meaningful to you. The piece can be in any medium (singing, painting, video of a dance, sculpture, music video, etc.), from any period, and from any civilization/culture. #### Post a link Post a link to the image or music and provide the Name of the Piece, the N…
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Order on TutorsGallery →Find an example of an artwork that is meaningful to you. The piece can be in any medium (singing, painting, video of a dance, sculpture, music video, etc.), from any period, and from any civilization/culture.
#### Post a link
Post a link to the image or music and provide the Name of the Piece, the Name of the Artist (if it’s an ancient piece you probably won’t know the name – put Artist Unknown in that case), the Date of the Piece, and what Civilization or Culture it is from (i.e. China, Greece, Senegal, Renaissance Italy – these are just examples NOT restrictions).
#### Answer the questions
Study the piece and answer the following questions:
– Why is this piece meaningful to you? Be specific.
– What emotion, mood, or state of mind was the artist trying to convey with his/her composition of the figure?
– Was the artist trying to convey something else?
– Was the artist trying to show a global issue?
– Was the artist trying to engage the public in 'looking' at the world in a different way?
– Was the artist trying to make a change through his/her art? Explain
– How was this achieved? Use specifics from the piece to support your answer. Tell us where to look and what to look for so that we can see what you see.
– In your opinion was the artist successful or not successful in conveying the emotion, mood, or state of mind?
– Why do you think the artist was successful or not successful? Use specifics from the piece to support your answer.
– 2 years ago
You will provide feedback to one of your peers on their reflection: Attached is their reflection you will respond to. – What connections do you have about their reflection? – What questions do you have about their reflection? – What ideas does it make you think of? – [\ \ PitfallsPeerResponse.docx…
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Order on TutorsGallery →You will provide feedback to one of your peers on their reflection: Attached is their reflection you will respond to.
– What connections do you have about their reflection?
– What questions do you have about their reflection?
– What ideas does it make you think of?
– [\
\
PitfallsPeerResponse.docx](https://www.sweetstudy.com/files/pitfallspeerresponse-docx "PitfallsPeerResponse.docx")
– 2 years ago
attached – 2 years ago **files (2)** – ## 2-PracticalAssignmentGradingRubric.docx – ## PA1TVMspring2025AP1studentversion.docx **## 2-PracticalAssignmentGradingRubric.docx** **Practical Assignment Grading Rubric** The assignment is worth a total of 60 points, with the specific points for each section…
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– 2 years ago
**files (2)**
– ## 2-PracticalAssignmentGradingRubric.docx
– ## PA1TVMspring2025AP1studentversion.docx
**## 2-PracticalAssignmentGradingRubric.docx**
**Practical Assignment Grading Rubric**
The assignment is worth a total of 60 points, with the specific points for each section indicated in the assignment. Each part of the assignment, as well as the essay section, have specific point values, with a total of 60 points.
Practical Assignments are due by midnight on Sunday during the assignment weeks.
·
Correct answer without the backup inputs and/or appropriate calculation shown is worth
**half credit**. See examples of similar problems in the Practice Problem Solutions of examples of how to “show your work”.
·
Incorrect answer without the backup inputs and/or appropriate calculation shown is worth
**zero points.**
· It is each student’s responsibility to verify that the file they submit is correct and complete. The most common issues are submitting the original homework assignment without your answers, submitting the wrong assignment, and finally, not checking your file that it is complete and includes all appropriate pages. There is a minimum 5-point penalty for submitting incorrect or incomplete files.
· Minor errors (with work shown), partial credit will be assigned.
· Any question with what, why, how? … requires a discussion. I’m not looking for a major writeup, however, provide enough insight to demonstrate your understanding of the concept and the potential pitfalls and issues.
“Showing your work” (backup inputs and/or appropriate calculations), your best examples of expectations are in the solutions your instructor created for Practice Problems. Your grader should be able to come up with your provided answer from the backup information you provide.
Your academic coach and your instructor are here to help. If you are totally lost on what to do, contact one of us for hints on how to proceed. The Practical Applications are intended as a
**learning exercise**.
**Late submissions** will incur a penalty of 12 points per day (20% deduction): 0-24 hours late = -12 points (20% deduction); 24-48 hours late = -24 (40% deduction), and so on. Please be sure to communicate with your academic coach if you have a submission more than 2 days late, as a score of 0 will automatically be assigned on Wednesday of the week following the due date.
**## PA1TVMspring2025AP1studentversion.docx**
MBA 702, PRACTICAL APPLICATION 1, SPRING 2025 AP1
**Before beginning this assignment, you will need to have completed the readings for the week, watched the provided videos, and**
**worked through the practice problems (carefully reviewing the provided solutions). There is nothing here that has not been covered in this week’s material.**
This assignment is an opportunity to further practice your time value of money calculation skills and to help reinforce the concepts from this module. Being able to work a wide variety of problem types, and problems with differing setups is important. READ THE INSTRUCTIONS PLEASE before sending a question to the professor or your academic coach.
NOTE THAT INTEREST RATES ARE NOT CONSTANT ACROSS ALL PROBLEMS, BE SURE TO READ EACH QUESTION CAREFULLY
For each problem, you need to show your work in order to receive credit. A correct answer with no work shown gets half credit (which means you fail the assignment). An incorrect answer with no work receives 0 credit. With time value of money (TVM) problems, that means showing your inputs for the financial calculator. Make your final answer very clear for the graders. Please don’t make them hunt for your answer.
If in doubt, look at my solutions for the practice problems for examples of how to “show your work”.
For example, on 1a, I would show:
N = x; I/Y = x; PV = x; PMT = 0, Compute FV = _______
For uneven cash flows, show CF0 = xx, CF1 = xx F01 = x; CF2 = xx F02 = x, etc. I/Y = xx, Compute PV _____
**Show all dollar and percentage values to two decimals** ($xxx.xx) and percentage values to x.xx% (be sure to have enough decimals showing on your calculator). Rounded answers will receive point deductions.
**Do no interim rounding on interest rates. For example,** if the interest rate is 4.7% with monthly compounding, enter 4.7 then the divide key, then 12, and the “=” key, then hit the I/Y key. That would be 4.7/12 = 0.39166…. Your calculator will probably show 0.3917 (assuming you are showing 4 decimals, or 0.39 if you only show 2 decimals). If you have followed my instructions, your calculator is holding the complete value, but only showing the number of decimals you have the calculator set to.
In some cases, an equation will be easier than using the TVM keys, show your equation if that is the case.
If you use Excel, show what the equation and inputs used.
As with all TVM problems, assume annual compounding
unless otherwise specified. If you are given and interest rate, assume it is the annual percentage rate (APR).
**This is an individual assignment, not group work. Working with another student is considered a breach of academic integrity.**
The assignment is worth a total of 60 points. All items are worth 2 points unless otherwise indicated.
SEE THE GRADING RUBRIC FOR MORE DETAILS.
For these simple TVM problems, show all inputs as entered. If you enter the PV as a negative, your FV will be a positive value, it’s just how the calculator is thinking. If you enter PV as a positive, the FV will be a negative. Either way, you get the same absolute value. Full credit is given for either the positive or negative value.
1. (a) If you deposit $17,500 in the bank today, what is its future value at the end of
**twenty-two years** if it is invested in an account paying 4.2% interest (
**annual** compounding, or APR)?
(b) What is the present value of $17,500 to be received in
**twenty-two years** if the appropriate interest rate is 4.2% APR, continue to assume annual compounding?
2. We sometimes need to find how long it will take a sum of money (or anything else) to grow to some specified amount. Note that you should enter PV as a negative and FV as a positive.
(a) For example, if a company’s sales grow at a rate of 4.2% per year, how long will it take to
**double**? Show your answer to 2 decimals (x.xx years). If you are unsure how to work this, return to this week’s practice problems
**.**
_You do not need any additional data to solve this problem. If you are in doubt here, go back to the lecture notes and practice problem 6 where double/tripling is discussed. Read the notes!_
(b) If you want an investment to
**triple** **in twenty-two years**, what interest rate must it earn? Show your answer to 2 decimals (x.xx%).
_Visualization for problem 3_
3. (a) You are saving for retirement, and you can afford to save $14,000 every year, starting one year from today. If you invest for 30 years earning an average return of 4.2% per year, how much will you have saved for your retirement?
_Hint, this is the FV of an annuity. You may want to solve parts (c) and (e), then come back and solve (b) and (d), which are annuities due._
(b) How much would you have in your retirement account if you began these same 30 annual payments immediately?
_Hint: This is now the FV of an annuity due._
c) Now let's look at things a little differently. Suppose that once you retire, you want to be able to withdraw $84,000 per year (starting one year from your retirement) for a total of 25 years during your retirement. How much would you need in your account when you retire to make this work assuming an annual interest rate of 4.2%?
_Hints: This is the PV of a regular annuity and remember that with this type of problem, you are withdrawing a set amount every year and at the end of the 25 years, your account balance is zero._
(d) How much would you need to have in your retirement account if you began these same 25 annual withdrawals immediately?
_Hint: This is now the PV of an annuity due. Reset your calculator to “END” of period payments when you have finished the annuity due problems._
(e) Changing the scenario, now let’s assume that you want to have $1,750,000 in your retirement account at the end of 30 years. You have now decided to deposit funds at the
**end of every month for 30 years**. The interest rate is still 4.2% per year. How much must you deposit each
**month** to reach your goal in 30 years?
4. Compare the results you got in part 3a for future value of a "regular" annuity compare to the value you got for the annuity due (part 3b). Now compare the PV of the regular annuity in part (3c) to the PV of an annuity due in part (3d). What is the relationship that you see? Using the time value of money concepts, you have learned so far, why does this relationship (FV of regular annuity vs. annuity due and PV of regular annuity vs. annuity due) occur? (4 points)
_FYI: You will see this concept on the exam._
5. In the fall of 2023 you and your family were looking for the house of your dreams. Given your household income and your expenses, you determined that you could afford to pay $1250 for a monthly house payment. As of October 2023, it looked like you could get a 30-year mortgage rate of 7.82%.
a) Given the above information, what is the maximum amount you could finance for your dream home? *This payment doesn’t include homeowners’ insurance or mortgage insurance. We are ignoring those in this assignment.
You got busy and didn’t find the right home, and now it is early 2025, and you are looking at homes again. Rates have dropped based on FED rate cuts and the current economic outlook. Assuming that you can get a rate of 6.2% APR for a 30-year mortgage and that you can still afford to pay $1250 per month, what is the highest amount you can now finance on a home?
6. What is the present value of the following uneven cash flow stream? The appropriate interest rate is 15.00%, compounded annually.
_Note that the final cash flow represents a project where there may be reclamation or other “end of project” costs that are greater than any final income and/or salvage value._
7. What annual interest rate will cause $17,500 to grow to $42,000 in
**twenty-two years** (assume annual compounding)? Show your answer to 2 decimals (x.xx%)
8. Will the future value be larger or smaller if we compound an initial amount more often than annually—for example, every 3 months (quarterly) — holding the stated interest rate constant? Explain your answer.
_Zero credit unless there is an explanation._
9 a) What is the future value of $17,500 (deposited today, no other deposits made) after
**twenty-two years** assuming 4.2% annual rate, with
**semi-annual** compounding?
b) What is the effective annual rate (EAR) for 4.2% annual interest, with interest compounded on a
**semiannual** basis? Be sure to show your EAR answer to 2 decimals, that is xx.xx%
c) What is the future value of $17,500 (as above) after
**twenty-two years** assuming 4.2% annual rate, with
**quarterly** compounding?
d) What is the effective annual rate (EAR) for 4.2% annual interest rate with
**quarterly** compounding?
e) Explain how the effective annual rate changes based on the number of compounding periods per year.
f) What is the future value of $17,500 (as above) after
**twenty-two years** assuming 4.2% annual interest, with
**daily** compounding? Assume a 365-day year and do not do any interim rounding.
g) What is the effective annual rate for 4.2% (APR) annual interest with
**daily** compounding?
10. What
**annual interest rate** do you need to find for a deposit of $1,250 to grow to $2,200 in twelve years if the bank compounds interest monthly?
_Hint, take another look at practice problem 9c if you are stumped on this one._
11. Five years ago, you bought a home with a purchase price of $245,000 and you paid 15% of that amount as a down payment and
financed the remainder. Your mortgage loan terms are
**30 years** of
**monthly** payments at an annual rate of
**3.60%**. Do no interim rounding on the calculated monthly interest rate.
_Note: ignore mortgage insurance for this problem._
(a) How much are your monthly mortgage payments?
(b) Over the life of the original loan, how much would you pay in interest?
(c) Remember that you took this loan out 5 years ago (60 payments). You got a new job and are moving across the country. You will be selling this house and looking at buying something new. Considering the 5 years of payments you have made; how much do you still owe on your home?
12. You have won a state lottery prize quoted as “12 million dollar lottery”, what this
**_means_** is that if you take the monthly payments of $50,000 for 20 years, you will have a total payout of $12 million. If the appropriate interest (discount) rate is assumed to be 3.8% APR, what would be the cash payout on this lottery today?
_Note: this PV would likely be the one-time cash payout if that option had been available._
13. Angus McScrooge comes to you for financial advice. He is considering adding a downtown parking lot to his holdings. The owner of the property has given McScrooge four different payment options. Which of the following options would you recommend, and why?
_Remember that you are advising the_
_**buyer** here. Hint: We can only compare various payout options on a present-value basis._
McScrooge tells you he can earn 4.2% annual interest, compounded
monthly on his money. You have no reason to question his assumption. For each option,
**determine the present value** of all relevant cash flows for 0.8 points each and then provide your final answer for 0.8 points (total of 4 points for this problem).
_Remember, Angus is assuming monthly compounding._
a. Option 1. Pay $185,000 today.
b. Option 2. Pay a lump sum of $212,000 at the end of three years.
c. Option 3. Pay $5,425 at the end of each month for three years.
d. Option 4. Pay $60,000 immediately plus $145,000 in a lump sum three years from now.
e. Which option do you recommend, and why?
2
## image1.emf
## image2.emf
**## PA1TVMspring2025AP1studentversion.docx**
MBA 702, PRACTICAL APPLICATION 1, SPRING 2025 AP1
**Before beginning this assignment, you will need to have completed the readings for the week, watched the provided videos, and**
**worked through the practice problems (carefully reviewing the provided solutions). There is nothing here that has not been covered in this week’s material.**
This assignment is an opportunity to further practice your time value of money calculation skills and to help reinforce the concepts from this module. Being able to work a wide variety of problem types, and problems with differing setups is important. READ THE INSTRUCTIONS PLEASE before sending a question to the professor or your academic coach.
NOTE THAT INTEREST RATES ARE NOT CONSTANT ACROSS ALL PROBLEMS, BE SURE TO READ EACH QUESTION CAREFULLY
For each problem, you need to show your work in order to receive credit. A correct answer with no work shown gets half credit (which means you fail the assignment). An incorrect answer with no work receives 0 credit. With time value of money (TVM) problems, that means showing your inputs for the financial calculator. Make your final answer very clear for the graders. Please don’t make them hunt for your answer.
If in doubt, look at my solutions for the practice problems for examples of how to “show your work”.
For example, on 1a, I would show:
N = x; I/Y = x; PV = x; PMT = 0, Compute FV = _______
For uneven cash flows, show CF0 = xx, CF1 = xx F01 = x; CF2 = xx F02 = x, etc. I/Y = xx, Compute PV _____
**Show all dollar and percentage values to two decimals** ($xxx.xx) and percentage values to x.xx% (be sure to have enough decimals showing on your calculator). Rounded answers will receive point deductions.
**Do no interim rounding on interest rates. For example,** if the interest rate is 4.7% with monthly compounding, enter 4.7 then the divide key, then 12, and the “=” key, then hit the I/Y key. That would be 4.7/12 = 0.39166…. Your calculator will probably show 0.3917 (assuming you are showing 4 decimals, or 0.39 if you only show 2 decimals). If you have followed my instructions, your calculator is holding the complete value, but only showing the number of decimals you have the calculator set to.
In some cases, an equation will be easier than using the TVM keys, show your equation if that is the case.
If you use Excel, show what the equation and inputs used.
As with all TVM problems, assume annual compounding
unless otherwise specified. If you are given and interest rate, assume it is the annual percentage rate (APR).
**This is an individual assignment, not group work. Working with another student is considered a breach of academic integrity.**
The assignment is worth a total of 60 points. All items are worth 2 points unless otherwise indicated.
SEE THE GRADING RUBRIC FOR MORE DETAILS.
For these simple TVM problems, show all inputs as entered. If you enter the PV as a negative, your FV will be a positive value, it’s just how the calculator is thinking. If you enter PV as a positive, the FV will be a negative. Either way, you get the same absolute value. Full credit is given for either the positive or negative value.
1. (a) If you deposit $17,500 in the bank today, what is its future value at the end of
**twenty-two years** if it is invested in an account paying 4.2% interest (
**annual** compounding, or APR)?
(b) What is the present value of $17,500 to be received in
**twenty-two years** if the appropriate interest rate is 4.2% APR, continue to assume annual compounding?
2. We sometimes need to find how long it will take a sum of money (or anything else) to grow to some specified amount. Note that you should enter PV as a negative and FV as a positive.
(a) For example, if a company’s sales grow at a rate of 4.2% per year, how long will it take to
**double**? Show your answer to 2 decimals (x.xx years). If you are unsure how to work this, return to this week’s practice problems
**.**
_You do not need any additional data to solve this problem. If you are in doubt here, go back to the lecture notes and practice problem 6 where double/tripling is discussed. Read the notes!_
(b) If you want an investment to
**triple** **in twenty-two years**, what interest rate must it earn? Show your answer to 2 decimals (x.xx%).
_Visualization for problem 3_
3. (a) You are saving for retirement, and you can afford to save $14,000 every year, starting one year from today. If you invest for 30 years earning an average return of 4.2% per year, how much will you have saved for your retirement?
_Hint, this is the FV of an annuity. You may want to solve parts (c) and (e), then come back and solve (b) and (d), which are annuities due._
(b) How much would you have in your retirement account if you began these same 30 annual payments immediately?
_Hint: This is now the FV of an annuity due._
c) Now let's look at things a little differently. Suppose that once you retire, you want to be able to withdraw $84,000 per year (starting one year from your retirement) for a total of 25 years during your retirement. How much would you need in your account when you retire to make this work assuming an annual interest rate of 4.2%?
_Hints: This is the PV of a regular annuity and remember that with this type of problem, you are withdrawing a set amount every year and at the end of the 25 years, your account balance is zero._
(d) How much would you need to have in your retirement account if you began these same 25 annual withdrawals immediately?
_Hint: This is now the PV of an annuity due. Reset your calculator to “END” of period payments when you have finished the annuity due problems._
(e) Changing the scenario, now let’s assume that you want to have $1,750,000 in your retirement account at the end of 30 years. You have now decided to deposit funds at the
**end of every month for 30 years**. The interest rate is still 4.2% per year. How much must you deposit each
**month** to reach your goal in 30 years?
4. Compare the results you got in part 3a for future value of a "regular" annuity compare to the value you got for the annuity due (part 3b). Now compare the PV of the regular annuity in part (3c) to the PV of an annuity due in part (3d). What is the relationship that you see? Using the time value of money concepts, you have learned so far, why does this relationship (FV of regular annuity vs. annuity due and PV of regular annuity vs. annuity due) occur? (4 points)
_FYI: You will see this concept on the exam._
5. In the fall of 2023 you and your family were looking for the house of your dreams. Given your household income and your expenses, you determined that you could afford to pay $1250 for a monthly house payment. As of October 2023, it looked like you could get a 30-year mortgage rate of 7.82%.
a) Given the above information, what is the maximum amount you could finance for your dream home? *This payment doesn’t include homeowners’ insurance or mortgage insurance. We are ignoring those in this assignment.
You got busy and didn’t find the right home, and now it is early 2025, and you are looking at homes again. Rates have dropped based on FED rate cuts and the current economic outlook. Assuming that you can get a rate of 6.2% APR for a 30-year mortgage and that you can still afford to pay $1250 per month, what is the highest amount you can now finance on a home?
6. What is the present value of the following uneven cash flow stream? The appropriate interest rate is 15.00%, compounded annually.
_Note that the final cash flow represents a project where there may be reclamation or other “end of project” costs that are greater than any final income and/or salvage value._
7. What annual interest rate will cause $17,500 to grow to $42,000 in
**twenty-two years** (assume annual compounding)? Show your answer to 2 decimals (x.xx%)
8. Will the future value be larger or smaller if we compound an initial amount more often than annually—for example, every 3 months (quarterly) — holding the stated interest rate constant? Explain your answer.
_Zero credit unless there is an explanation._
9 a) What is the future value of $17,500 (deposited today, no other deposits made) after
**twenty-two years** assuming 4.2% annual rate, with
**semi-annual** compounding?
b) What is the effective annual rate (EAR) for 4.2% annual interest, with interest compounded on a
**semiannual** basis? Be sure to show your EAR answer to 2 decimals, that is xx.xx%
c) What is the future value of $17,500 (as above) after
**twenty-two years** assuming 4.2% annual rate, with
**quarterly** compounding?
d) What is the effective annual rate (EAR) for 4.2% annual interest rate with
**quarterly** compounding?
e) Explain how the effective annual rate changes based on the number of compounding periods per year.
f) What is the future value of $17,500 (as above) after
**twenty-two years** assuming 4.2% annual interest, with
**daily** compounding? Assume a 365-day year and do not do any interim rounding.
g) What is the effective annual rate for 4.2% (APR) annual interest with
**daily** compounding?
10. What
**annual interest rate** do you need to find for a deposit of $1,250 to grow to $2,200 in twelve years if the bank compounds interest monthly?
_Hint, take another look at practice problem 9c if you are stumped on this one._
11. Five years ago, you bought a home with a purchase price of $245,000 and you paid 15% of that amount as a down payment and
financed the remainder. Your mortgage loan terms are
**30 years** of
**monthly** payments at an annual rate of
**3.60%**. Do no interim rounding on the calculated monthly interest rate.
_Note: ignore mortgage insurance for this problem._
(a) How much are your monthly mortgage payments?
(b) Over the life of the original loan, how much would you pay in interest?
(c) Remember that you took this loan out 5 years ago (60 payments). You got a new job and are moving across the country. You will be selling this house and looking at buying something new. Considering the 5 years of payments you have made; how much do you still owe on your home?
12. You have won a state lottery prize quoted as “12 million dollar lottery”, what this
**_means_** is that if you take the monthly payments of $50,000 for 20 years, you will have a total payout of $12 million. If the appropriate interest (discount) rate is assumed to be 3.8% APR, what would be the cash payout on this lottery today?
_Note: this PV would likely be the one-time cash payout if that option had been available._
13. Angus McScrooge comes to you for financial advice. He is considering adding a downtown parking lot to his holdings. The owner of the property has given McScrooge four different payment options. Which of the following options would you recommend, and why?
_Remember that you are advising the_
_**buyer** here. Hint: We can only compare various payout options on a present-value basis._
McScrooge tells you he can earn 4.2% annual interest, compounded
monthly on his money. You have no reason to question his assumption. For each option,
**determine the present value** of all relevant cash flows for 0.8 points each and then provide your final answer for 0.8 points (total of 4 points for this problem).
_Remember, Angus is assuming monthly compounding._
a. Option 1. Pay $185,000 today.
b. Option 2. Pay a lump sum of $212,000 at the end of three years.
c. Option 3. Pay $5,425 at the end of each month for three years.
d. Option 4. Pay $60,000 immediately plus $145,000 in a lump sum three years from now.
e. Which option do you recommend, and why?
2
## image1.emf
## image2.emf
**## 2-PracticalAssignmentGradingRubric.docx**
**Practical Assignment Grading Rubric**
The assignment is worth a total of 60 points, with the specific points for each section indicated in the assignment. Each part of the assignment, as well as the essay section, have specific point values, with a total of 60 points.
Practical Assignments are due by midnight on Sunday during the assignment weeks.
·
Correct answer without the backup inputs and/or appropriate calculation shown is worth
**half credit**. See examples of similar problems in the Practice Problem Solutions of examples of how to “show your work”.
·
Incorrect answer without the backup inputs and/or appropriate calculation shown is worth
**zero points.**
· It is each student’s responsibility to verify that the file they submit is correct and complete. The most common issues are submitting the original homework assignment without your answers, submitting the wrong assignment, and finally, not checking your file that it is complete and includes all appropriate pages. There is a minimum 5-point penalty for submitting incorrect or incomplete files.
· Minor errors (with work shown), partial credit will be assigned.
· Any question with what, why, how? … requires a discussion. I’m not looking for a major writeup, however, provide enough insight to demonstrate your understanding of the concept and the potential pitfalls and issues.
“Showing your work” (backup inputs and/or appropriate calculations), your best examples of expectations are in the solutions your instructor created for Practice Problems. Your grader should be able to come up with your provided answer from the backup information you provide.
Your academic coach and your instructor are here to help. If you are totally lost on what to do, contact one of us for hints on how to proceed. The Practical Applications are intended as a
**learning exercise**.
**Late submissions** will incur a penalty of 12 points per day (20% deduction): 0-24 hours late = -12 points (20% deduction); 24-48 hours late = -24 (40% deduction), and so on. Please be sure to communicate with your academic coach if you have a submission more than 2 days late, as a score of 0 will automatically be assigned on Wednesday of the week following the due date.
**## PA1TVMspring2025AP1studentversion.docx**
MBA 702, PRACTICAL APPLICATION 1, SPRING 2025 AP1
**Before beginning this assignment, you will need to have completed the readings for the week, watched the provided videos, and**
**worked through the practice problems (carefully reviewing the provided solutions). There is nothing here that has not been covered in this week’s material.**
This assignment is an opportunity to further practice your time value of money calculation skills and to help reinforce the concepts from this module. Being able to work a wide variety of problem types, and problems with differing setups is important. READ THE INSTRUCTIONS PLEASE before sending a question to the professor or your academic coach.
NOTE THAT INTEREST RATES ARE NOT CONSTANT ACROSS ALL PROBLEMS, BE SURE TO READ EACH QUESTION CAREFULLY
For each problem, you need to show your work in order to receive credit. A correct answer with no work shown gets half credit (which means you fail the assignment). An incorrect answer with no work receives 0 credit. With time value of money (TVM) problems, that means showing your inputs for the financial calculator. Make your final answer very clear for the graders. Please don’t make them hunt for your answer.
If in doubt, look at my solutions for the practice problems for examples of how to “show your work”.
For example, on 1a, I would show:
N = x; I/Y = x; PV = x; PMT = 0, Compute FV = _______
For uneven cash flows, show CF0 = xx, CF1 = xx F01 = x; CF2 = xx F02 = x, etc. I/Y = xx, Compute PV _____
**Show all dollar and percentage values to two decimals** ($xxx.xx) and percentage values to x.xx% (be sure to have enough decimals showing on your calculator). Rounded answers will receive point deductions.
**Do no interim rounding on interest rates. For example,** if the interest rate is 4.7% with monthly compounding, enter 4.7 then the divide key, then 12, and the “=” key, then hit the I/Y key. That would be 4.7/12 = 0.39166…. Your calculator will probably show 0.3917 (assuming you are showing 4 decimals, or 0.39 if you only show 2 decimals). If you have followed my instructions, your calculator is holding the complete value, but only showing the number of decimals you have the calculator set to.
In some cases, an equation will be easier than using the TVM keys, show your equation if that is the case.
If you use Excel, show what the equation and inputs used.
As with all TVM problems, assume annual compounding
unless otherwise specified. If you are given and interest rate, assume it is the annual percentage rate (APR).
**This is an individual assignment, not group work. Working with another student is considered a breach of academic integrity.**
The assignment is worth a total of 60 points. All items are worth 2 points unless otherwise indicated.
SEE THE GRADING RUBRIC FOR MORE DETAILS.
For these simple TVM problems, show all inputs as entered. If you enter the PV as a negative, your FV will be a positive value, it’s just how the calculator is thinking. If you enter PV as a positive, the FV will be a negative. Either way, you get the same absolute value. Full credit is given for either the positive or negative value.
1. (a) If you deposit $17,500 in the bank today, what is its future value at the end of
**twenty-two years** if it is invested in an account paying 4.2% interest (
**annual** compounding, or APR)?
(b) What is the present value of $17,500 to be received in
**twenty-two years** if the appropriate interest rate is 4.2% APR, continue to assume annual compounding?
2. We sometimes need to find how long it will take a sum of money (or anything else) to grow to some specified amount. Note that you should enter PV as a negative and FV as a positive.
(a) For example, if a company’s sales grow at a rate of 4.2% per year, how long will it take to
**double**? Show your answer to 2 decimals (x.xx years). If you are unsure how to work this, return to this week’s practice problems
**.**
_You do not need any additional data to solve this problem. If you are in doubt here, go back to the lecture notes and practice problem 6 where double/tripling is discussed. Read the notes!_
(b) If you want an investment to
**triple** **in twenty-two years**, what interest rate must it earn? Show your answer to 2 decimals (x.xx%).
_Visualization for problem 3_
3. (a) You are saving for retirement, and you can afford to save $14,000 every year, starting one year from today. If you invest for 30 years earning an average return of 4.2% per year, how much will you have saved for your retirement?
_Hint, this is the FV of an annuity. You may want to solve parts (c) and (e), then come back and solve (b) and (d), which are annuities due._
(b) How much would you have in your retirement account if you began these same 30 annual payments immediately?
_Hint: This is now the FV of an annuity due._
c) Now let's look at things a little differently. Suppose that once you retire, you want to be able to withdraw $84,000 per year (starting one year from your retirement) for a total of 25 years during your retirement. How much would you need in your account when you retire to make this work assuming an annual interest rate of 4.2%?
_Hints: This is the PV of a regular annuity and remember that with this type of problem, you are withdrawing a set amount every year and at the end of the 25 years, your account balance is zero._
(d) How much would you need to have in your retirement account if you began these same 25 annual withdrawals immediately?
_Hint: This is now the PV of an annuity due. Reset your calculator to “END” of period payments when you have finished the annuity due problems._
(e) Changing the scenario, now let’s assume that you want to have $1,750,000 in your retirement account at the end of 30 years. You have now decided to deposit funds at the
**end of every month for 30 years**. The interest rate is still 4.2% per year. How much must you deposit each
**month** to reach your goal in 30 years?
4. Compare the results you got in part 3a for future value of a "regular" annuity compare to the value you got for the annuity due (part 3b). Now compare the PV of the regular annuity in part (3c) to the PV of an annuity due in part (3d). What is the relationship that you see? Using the time value of money concepts, you have learned so far, why does this relationship (FV of regular annuity vs. annuity due and PV of regular annuity vs. annuity due) occur? (4 points)
_FYI: You will see this concept on the exam._
5. In the fall of 2023 you and your family were looking for the house of your dreams. Given your household income and your expenses, you determined that you could afford to pay $1250 for a monthly house payment. As of October 2023, it looked like you could get a 30-year mortgage rate of 7.82%.
a) Given the above information, what is the maximum amount you could finance for your dream home? *This payment doesn’t include homeowners’ insurance or mortgage insurance. We are ignoring those in this assignment.
You got busy and didn’t find the right home, and now it is early 2025, and you are looking at homes again. Rates have dropped based on FED rate cuts and the current economic outlook. Assuming that you can get a rate of 6.2% APR for a 30-year mortgage and that you can still afford to pay $1250 per month, what is the highest amount you can now finance on a home?
6. What is the present value of the following uneven cash flow stream? The appropriate interest rate is 15.00%, compounded annually.
_Note that the final cash flow represents a project where there may be reclamation or other “end of project” costs that are greater than any final income and/or salvage value._
7. What annual interest rate will cause $17,500 to grow to $42,000 in
**twenty-two years** (assume annual compounding)? Show your answer to 2 decimals (x.xx%)
8. Will the future value be larger or smaller if we compound an initial amount more often than annually—for example, every 3 months (quarterly) — holding the stated interest rate constant? Explain your answer.
_Zero credit unless there is an explanation._
9 a) What is the future value of $17,500 (deposited today, no other deposits made) after
**twenty-two years** assuming 4.2% annual rate, with
**semi-annual** compounding?
b) What is the effective annual rate (EAR) for 4.2% annual interest, with interest compounded on a
**semiannual** basis? Be sure to show your EAR answer to 2 decimals, that is xx.xx%
c) What is the future value of $17,500 (as above) after
**twenty-two years** assuming 4.2% annual rate, with
**quarterly** compounding?
d) What is the effective annual rate (EAR) for 4.2% annual interest rate with
**quarterly** compounding?
e) Explain how the effective annual rate changes based on the number of compounding periods per year.
f) What is the future value of $17,500 (as above) after
**twenty-two years** assuming 4.2% annual interest, with
**daily** compounding? Assume a 365-day year and do not do any interim rounding.
g) What is the effective annual rate for 4.2% (APR) annual interest with
**daily** compounding?
10. What
**annual interest rate** do you need to find for a deposit of $1,250 to grow to $2,200 in twelve years if the bank compounds interest monthly?
_Hint, take another look at practice problem 9c if you are stumped on this one._
11. Five years ago, you bought a home with a purchase price of $245,000 and you paid 15% of that amount as a down payment and
financed the remainder. Your mortgage loan terms are
**30 years** of
**monthly** payments at an annual rate of
**3.60%**. Do no interim rounding on the calculated monthly interest rate.
_Note: ignore mortgage insurance for this problem._
(a) How much are your monthly mortgage payments?
(b) Over the life of the original loan, how much would you pay in interest?
(c) Remember that you took this loan out 5 years ago (60 payments). You got a new job and are moving across the country. You will be selling this house and looking at buying something new. Considering the 5 years of payments you have made; how much do you still owe on your home?
12. You have won a state lottery prize quoted as “12 million dollar lottery”, what this
**_means_** is that if you take the monthly payments of $50,000 for 20 years, you will have a total payout of $12 million. If the appropriate interest (discount) rate is assumed to be 3.8% APR, what would be the cash payout on this lottery today?
_Note: this PV would likely be the one-time cash payout if that option had been available._
13. Angus McScrooge comes to you for financial advice. He is considering adding a downtown parking lot to his holdings. The owner of the property has given McScrooge four different payment options. Which of the following options would you recommend, and why?
_Remember that you are advising the_
_**buyer** here. Hint: We can only compare various payout options on a present-value basis._
McScrooge tells you he can earn 4.2% annual interest, compounded
monthly on his money. You have no reason to question his assumption. For each option,
**determine the present value** of all relevant cash flows for 0.8 points each and then provide your final answer for 0.8 points (total of 4 points for this problem).
_Remember, Angus is assuming monthly compounding._
a. Option 1. Pay $185,000 today.
b. Option 2. Pay a lump sum of $212,000 at the end of three years.
c. Option 3. Pay $5,425 at the end of each month for three years.
d. Option 4. Pay $60,000 immediately plus $145,000 in a lump sum three years from now.
e. Which option do you recommend, and why?
2
## image1.emf
## image2.emf
**## 2-PracticalAssignmentGradingRubric.docx**
**Practical Assignment Grading Rubric**
The assignment is worth a total of 60 points, with the specific points for each section indicated in the assignment. Each part of the assignment, as well as the essay section, have specific point values, with a total of 60 points.
Practical Assignments are due by midnight on Sunday during the assignment weeks.
·
Correct answer without the backup inputs and/or appropriate calculation shown is worth
**half credit**. See examples of similar problems in the Practice Problem Solutions of examples of how to “show your work”.
·
Incorrect answer without the backup inputs and/or appropriate calculation shown is worth
**zero points.**
· It is each student’s responsibility to verify that the file they submit is correct and complete. The most common issues are submitting the original homework assignment without your answers, submitting the wrong assignment, and finally, not checking your file that it is complete and includes all appropriate pages. There is a minimum 5-point penalty for submitting incorrect or incomplete files.
· Minor errors (with work shown), partial credit will be assigned.
· Any question with what, why, how? … requires a discussion. I’m not looking for a major writeup, however, provide enough insight to demonstrate your understanding of the concept and the potential pitfalls and issues.
“Showing your work” (backup inputs and/or appropriate calculations), your best examples of expectations are in the solutions your instructor created for Practice Problems. Your grader should be able to come up with your provided answer from the backup information you provide.
Your academic coach and your instructor are here to help. If you are totally lost on what to do, contact one of us for hints on how to proceed. The Practical Applications are intended as a
**learning exercise**.
**Late submissions** will incur a penalty of 12 points per day (20% deduction): 0-24 hours late = -12 points (20% deduction); 24-48 hours late = -24 (40% deduction), and so on. Please be sure to communicate with your academic coach if you have a submission more than 2 days late, as a score of 0 will automatically be assigned on Wednesday of the week following the due date.
**## PA1TVMspring2025AP1studentversion.docx**
MBA 702, PRACTICAL APPLICATION 1, SPRING 2025 AP1
**Before beginning this assignment, you will need to have completed the readings for the week, watched the provided videos, and**
**worked through the practice problems (carefully reviewing the provided solutions). There is nothing here that has not been covered in this week’s material.**
This assignment is an opportunity to further practice your time value of money calculation skills and to help reinforce the concepts from this module. Being able to work a wide variety of problem types, and problems with differing setups is important. READ THE INSTRUCTIONS PLEASE before sending a question to the professor or your academic coach.
NOTE THAT INTEREST RATES ARE NOT CONSTANT ACROSS ALL PROBLEMS, BE SURE TO READ EACH QUESTION CAREFULLY
For each problem, you need to show your work in order to receive credit. A correct answer with no work shown gets half credit (which means you fail the assignment). An incorrect answer with no work receives 0 credit. With time value of money (TVM) problems, that means showing your inputs for the financial calculator. Make your final answer very clear for the graders. Please don’t make them hunt for your answer.
If in doubt, look at my solutions for the practice problems for examples of how to “show your work”.
For example, on 1a, I would show:
N = x; I/Y = x; PV = x; PMT = 0, Compute FV = _______
For uneven cash flows, show CF0 = xx, CF1 = xx F01 = x; CF2 = xx F02 = x, etc. I/Y = xx, Compute PV _____
**Show all dollar and percentage values to two decimals** ($xxx.xx) and percentage values to x.xx% (be sure to have enough decimals showing on your calculator). Rounded answers will receive point deductions.
**Do no interim rounding on interest rates. For example,** if the interest rate is 4.7% with monthly compounding, enter 4.7 then the divide key, then 12, and the “=” key, then hit the I/Y key. That would be 4.7/12 = 0.39166…. Your calculator will probably show 0.3917 (assuming you are showing 4 decimals, or 0.39 if you only show 2 decimals). If you have followed my instructions, your calculator is holding the complete value, but only showing the number of decimals you have the calculator set to.
In some cases, an equation will be easier than using the TVM keys, show your equation if that is the case.
If you use Excel, show what the equation and inputs used.
As with all TVM problems, assume annual compounding
unless otherwise specified. If you are given and interest rate, assume it is the annual percentage rate (APR).
**This is an individual assignment, not group work. Working with another student is considered a breach of academic integrity.**
The assignment is worth a total of 60 points. All items are worth 2 points unless otherwise indicated.
SEE THE GRADING RUBRIC FOR MORE DETAILS.
For these simple TVM problems, show all inputs as entered. If you enter the PV as a negative, your FV will be a positive value, it’s just how the calculator is thinking. If you enter PV as a positive, the FV will be a negative. Either way, you get the same absolute value. Full credit is given for either the positive or negative value.
1. (a) If you deposit $17,500 in the bank today, what is its future value at the end of
**twenty-two years** if it is invested in an account paying 4.2% interest (
**annual** compounding, or APR)?
(b) What is the present value of $17,500 to be received in
**twenty-two years** if the appropriate interest rate is 4.2% APR, continue to assume annual compounding?
2. We sometimes need to find how long it will take a sum of money (or anything else) to grow to some specified amount. Note that you should enter PV as a negative and FV as a positive.
(a) For example, if a company’s sales grow at a rate of 4.2% per year, how long will it take to
**double**? Show your answer to 2 decimals (x.xx years). If you are unsure how to work this, return to this week’s practice problems
**.**
_You do not need any additional data to solve this problem. If you are in doubt here, go back to the lecture notes and practice problem 6 where double/tripling is discussed. Read the notes!_
(b) If you want an investment to
**triple** **in twenty-two years**, what interest rate must it earn? Show your answer to 2 decimals (x.xx%).
_Visualization for problem 3_
3. (a) You are saving for retirement, and you can afford to save $14,000 every year, starting one year from today. If you invest for 30 years earning an average return of 4.2% per year, how much will you have saved for your retirement?
_Hint, this is the FV of an annuity. You may want to solve parts (c) and (e), then come back and solve (b) and (d), which are annuities due._
(b) How much would you have in your retirement account if you began these same 30 annual payments immediately?
_Hint: This is now the FV of an annuity due._
c) Now let's look at things a little differently. Suppose that once you retire, you want to be able to withdraw $84,000 per year (starting one year from your retirement) for a total of 25 years during your retirement. How much would you need in your account when you retire to make this work assuming an annual interest rate of 4.2%?
_Hints: This is the PV of a regular annuity and remember that with this type of problem, you are withdrawing a set amount every year and at the end of the 25 years, your account balance is zero._
(d) How much would you need to have in your retirement account if you began these same 25 annual withdrawals immediately?
_Hint: This is now the PV of an annuity due. Reset your calculator to “END” of period payments when you have finished the annuity due problems._
(e) Changing the scenario, now let’s assume that you want to have $1,750,000 in your retirement account at the end of 30 years. You have now decided to deposit funds at the
**end of every month for 30 years**. The interest rate is still 4.2% per year. How much must you deposit each
**month** to reach your goal in 30 years?
4. Compare the results you got in part 3a for future value of a "regular" annuity compare to the value you got for the annuity due (part 3b). Now compare the PV of the regular annuity in part (3c) to the PV of an annuity due in part (3d). What is the relationship that you see? Using the time value of money concepts, you have learned so far, why does this relationship (FV of regular annuity vs. annuity due and PV of regular annuity vs. annuity due) occur? (4 points)
_FYI: You will see this concept on the exam._
5. In the fall of 2023 you and your family were looking for the house of your dreams. Given your household income and your expenses, you determined that you could afford to pay $1250 for a monthly house payment. As of October 2023, it looked like you could get a 30-year mortgage rate of 7.82%.
a) Given the above information, what is the maximum amount you could finance for your dream home? *This payment doesn’t include homeowners’ insurance or mortgage insurance. We are ignoring those in this assignment.
You got busy and didn’t find the right home, and now it is early 2025, and you are looking at homes again. Rates have dropped based on FED rate cuts and the current economic outlook. Assuming that you can get a rate of 6.2% APR for a 30-year mortgage and that you can still afford to pay $1250 per month, what is the highest amount you can now finance on a home?
6. What is the present value of the following uneven cash flow stream? The appropriate interest rate is 15.00%, compounded annually.
_Note that the final cash flow represents a project where there may be reclamation or other “end of project” costs that are greater than any final income and/or salvage value._
7. What annual interest rate will cause $17,500 to grow to $42,000 in
**twenty-two years** (assume annual compounding)? Show your answer to 2 decimals (x.xx%)
8. Will the future value be larger or smaller if we compound an initial amount more often than annually—for example, every 3 months (quarterly) — holding the stated interest rate constant? Explain your answer.
_Zero credit unless there is an explanation._
9 a) What is the future value of $17,500 (deposited today, no other deposits made) after
**twenty-two years** assuming 4.2% annual rate, with
**semi-annual** compounding?
b) What is the effective annual rate (EAR) for 4.2% annual interest, with interest compounded on a
**semiannual** basis? Be sure to show your EAR answer to 2 decimals, that is xx.xx%
c) What is the future value of $17,500 (as above) after
**twenty-two years** assuming 4.2% annual rate, with
**quarterly** compounding?
d) What is the effective annual rate (EAR) for 4.2% annual interest rate with
**quarterly** compounding?
e) Explain how the effective annual rate changes based on the number of compounding periods per year.
f) What is the future value of $17,500 (as above) after
**twenty-two years** assuming 4.2% annual interest, with
**daily** compounding? Assume a 365-day year and do not do any interim rounding.
g) What is the effective annual rate for 4.2% (APR) annual interest with
**daily** compounding?
10. What
**annual interest rate** do you need to find for a deposit of $1,250 to grow to $2,200 in twelve years if the bank compounds interest monthly?
_Hint, take another look at practice problem 9c if you are stumped on this one._
11. Five years ago, you bought a home with a purchase price of $245,000 and you paid 15% of that amount as a down payment and
financed the remainder. Your mortgage loan terms are
**30 years** of
**monthly** payments at an annual rate of
**3.60%**. Do no interim rounding on the calculated monthly interest rate.
_Note: ignore mortgage insurance for this problem._
(a) How much are your monthly mortgage payments?
(b) Over the life of the original loan, how much would you pay in interest?
(c) Remember that you took this loan out 5 years ago (60 payments). You got a new job and are moving across the country. You will be selling this house and looking at buying something new. Considering the 5 years of payments you have made; how much do you still owe on your home?
12. You have won a state lottery prize quoted as “12 million dollar lottery”, what this
**_means_** is that if you take the monthly payments of $50,000 for 20 years, you will have a total payout of $12 million. If the appropriate interest (discount) rate is assumed to be 3.8% APR, what would be the cash payout on this lottery today?
_Note: this PV would likely be the one-time cash payout if that option had been available._
13. Angus McScrooge comes to you for financial advice. He is considering adding a downtown parking lot to his holdings. The owner of the property has given McScrooge four different payment options. Which of the following options would you recommend, and why?
_Remember that you are advising the_
_**buyer** here. Hint: We can only compare various payout options on a present-value basis._
McScrooge tells you he can earn 4.2% annual interest, compounded
monthly on his money. You have no reason to question his assumption. For each option,
**determine the present value** of all relevant cash flows for 0.8 points each and then provide your final answer for 0.8 points (total of 4 points for this problem).
_Remember, Angus is assuming monthly compounding._
a. Option 1. Pay $185,000 today.
b. Option 2. Pay a lump sum of $212,000 at the end of three years.
c. Option 3. Pay $5,425 at the end of each month for three years.
d. Option 4. Pay $60,000 immediately plus $145,000 in a lump sum three years from now.
e. Which option do you recommend, and why?
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What is the difference between trauma and PTSD? In your response, provide an overview of an incident that can result in a trauma response and illustrate the difference between a trauma response to that incident and a diagnosis of PTSD. Additionally, discuss an intervention that would help a client t…
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Order on TutorsGallery →What is the difference between trauma and PTSD? In your response, provide an overview of an incident that can result in a trauma response and illustrate the difference between a trauma response to that incident and a diagnosis of PTSD. Additionally, discuss an intervention that would help a client to cope with their traumatic experience.
– 2 years ago
[>Management homework help](https://www.sweetstudy.com/fields/business-finance-management) Can someone assist me with a homework question please? – 2 years ago
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Just as quickly as new technology is developed, hackers find new ways to disrupt operations. As a result, security is an ongoing endeavor in all organizations. Strategic planning can help organizations be prepared to address new daily threats to information security. Moreover, many of today's organi…
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Order on TutorsGallery →Just as quickly as new technology is developed, hackers find new ways to disrupt operations. As a result, security is an ongoing endeavor in all organizations. Strategic planning can help organizations be prepared to address new daily threats to information security. Moreover, many of today's organizations are adopting virtualization as a way to reduce their footprint in hardware costs and to improve their backup system capabilities at the client and server levels. At the same time, virtualization poses security risks that organizations need to consider as part of their strategic planning process.
Go to [Basic Search: Strayer University Online Library](https://research.strayer.edu/) to locate and integrate at least two quality, academic resources (in addition to your textbook) on the role of strategic planning in mitigating information security threats, including those associated with virtualization. You may also use government websites, such as [CybersecurityLinks to an external site.](http://www.nist.gov/topics/cybersecurity) from the National Institute of Standards and Technology.
As you write this post, keep in mind your current organization's or a previous organization's strategic planning for information security, its infrastructure, and its training.
**Please respond to the following in a post of at least 200 words:**
– Justify the importance of strategic planning to an organization's information security.
– Identify and describe the topics to be included in strategic planning for information security.
– Specifically describe the security threats associated with virtualization.
– Explain how strategic planning can help to mitigate the security threats associated with virtualization.
– Provide full citations and references, formatted according to Strayer Writing Standards.
– This course requires the use of Strayer Writing Standards (SWS). The library is your home for SWS assistance, including citations and formatting. Please refer to the [Library site](https://library.strayer.edu/sws) for all supports. Check with your professor for any additional instructions.
– 2 years ago