Zusammenfassung der Ressource
Frage 1
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tick marks designate ___ of periods
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end
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beginning
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middle
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zero
Frage 2
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time 0 is the ''starting'' point ( beginning of period 1)
time 1 is the ''end'' of period 1 (the beginning of period 2) ; and so on
Frage 3
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finding future values (moving to the __ along the time line) is called ___
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left
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right
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top
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down
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beginning
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middle
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compounding
Frage 4
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3 primary methods to find FVs
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solve the fv equation using a regular (non-financial) calculator
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use a financial calculator, that is one with financial functions
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use a computer with a spreadsheet program such as excel, lotus 1-2-3, or quattro pro
Frage 5
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finding present values (moving to the ___ along the time line) is called ___
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left, discounting
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right, discounting
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left, expenses
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right, expenses
Frage 6
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Where did the discount rate come from?
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discount rate is the ''opportunity cost rate''
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it does not depend on the source of the investment funds
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rate could be earned on alternative investments of ''similar risk''
Frage 7
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a perpetuity is an annuity that lasts _____
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a short period of time
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a long period of time
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forever
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1 day
Frage 8
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an annuity is a series of ''___ payments'' at fixed intervals for a specified number of period
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discounted
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undiscounted
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equal
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same
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risky
Frage 9
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symbol ''PMT'' represents annuity __
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payments
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cash
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transaction
Frage 10
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2 types of annuity:
1) ordinary annuity - occurs at the ______ of each period
2) annuity due - payments are made at the ___ of each period
Antworten
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beginning, end
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end, beginning