Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. from a lawsuit, you have been awarded a 31-payment

From a lawsuit, you have been awarded a 31-payment, constant growth annuity. The frst payment...

80.2K

Verified Solution

Question

Finance

image
From a lawsuit, you have been awarded a 31-payment, constant growth annuity. The frst payment is at Year O and is equal to $340, and each subsequent payment will be paid in 16 month intervals, with the final payment at Year 40. Further, payments will grow at a constant growth rate of 4 percent (payment 2 will be $340 x 1.04 $353.60, etc.). The appropriate discount/compounding ate for this constant growth annuity is a nominal annual rate of 3.0 percent, with monthly compounding. Given this information, determine the value, at Year 40, of this constant growth annuity Enter your answer in dollar, rounded to the nearest whole dolla, with no punctuation. For example, if you answer is $15,222.54, enter "15223

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

Q

What is the directrix of the parabola y = 3x - 1?Simplify any fractions.

Geometry
Q

When the cell excretes sodium from within, against the natural tendency of matter, it is...

Biology
Q

a building The height of the ros by h t 8t 2 80t 25

Geometry
Q

Sketch two triangles ADEF GHF If DE 36 when GH 30 and EF 18 what...

Algebra
Q

x Determine if the event described is independent or dependent Each category contains exactly two...

Algebra
Q

give two example each of non current assets with a finite life amd non current...

Accounting
Q

hello, I am having difficulty with a certain report that I have to do. It...

Accounting
Q

Campbell Company, which expects to start operations on January 1, year 2, will sell digital...

Accounting
Q

What question does positioning help to answer for the consumer O Is this product the...

Accounting
Q

2. Vigor Inc., estimates to sell 75,000 units of packaged energy drink during the year....

Accounting
Q

A company can sell all the units it can produce of either Product A or...

Accounting
Q

Cutters sells razors at $50 each. The razors have a 90 day warranty that requires...

Accounting