A security promises to pay you $85 every year for 30 years, at the end...

80.2K

Verified Solution

Question

Finance

image
A security promises to pay you $85 every year for 30 years, at the end of year 30 it will pay you $1000. How much are you willing to pay of it if your required return is 6\%? Please keep two decimal places

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students