METHODOLOGY “What weights should society apply to cost and benefits occurring in future time periods relative to the present period?” INTRAGENERATIONAL DISCOUNTING * Consumption rate of interest cum shadow price of capital method (CRI-SPC Method) * The level of public investment should be based on individual preference for present consumption vs. future consumption * The marginal rate of time preference * Investment is simply a means of using resources that are potentially
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financial decisions. 3. Apply the appropriate techniques in making decisions. | 4. | Total Student Learning Time (SLT) | Total Face to Face | Total | 5. | | L | T | P | O | A | B/O | IL | | L = LectureT = TutorialP = Practical(Lab)O= Others A= AssessmentB/O=Blended /Online learningIL= Independent learning | 28 | 14 | | | 4 | 14 | 60 | 6. | Credit Value: 3 credits | 7. | Prerequisite (if any): Nil | 8. | Learning outcomes:On completion of the course, students
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Time Value of Money I recently opened a Roth IRA account in 2014. Being in my 30’s already, I got started a tad bit late but nonetheless I’m planning for my retirement now. My main focus is to maximize contribution each year and allow for it’s steady growth so that I can afford to sustain my lifestyle after I retire. I plan to save at least a million dollar for my retirement. Although there are not any tax deduction provisions for Roth IRA, the earnings are tax-free. So, in the long run it will
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Fin 301: Tuesday January 16, 2007. Ch 2-1 1. Time value of money: It is now January 1, 2006, and you will need $1,000 on January 1, 2010, in 4 years, Your bank compounds interest at 8 percent annual rate. a. How much must you deposit today to have a balance of $1,000 on January 1, 2010? b. How much must you deposit today to have a balance of $1,000 on January 1, 2020? c. Suppose you can deposit only $200 each January 1 from 2007 through 2010 (4 years). What interest rate, with annual
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Present and Future Values, and Expected Returns BUS 401 Principles of Finance Instructor: February 29, 2016 Present and Future Values, and Expected Returns Critically reflect on the importance of present and future values. This week started rough for me but while reviewing the material for this week’s lesson I learned the importance of the present value (PV) and future value (FV). PV and FV are related in a sense because they both represent the financial worth of the money
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Bachelor of Business (Incorporating Graduate Diploma and Graduate Certificate in Business) Managerial Finance (ACCT 706) Semester Two, 2016 Assignment # 2 Due Date: Week 8, 03/05/16, 12.00 noon Weighting: 25% of the final grade Type: Individual Assignment Length: Approximately 2,000 – 3,000 words excluding appendices Submission: Students are expected to submit a hard copy of the assignment along with Arion generated barcoded assignment cover sheet in the drop box
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NAME Student number: STUDENT NUMBER Tutorial: TUTORIAL Quiz 1 will consist of 12 questions. On the actual quiz, the majority of the questions (if not all) will selected from the questions below. The selected question will have different input values, which will be randomly generated. You will be provided with the following instructions and annuity table during the quiz. Instructions: 1. You must complete a Generalised Answer Sheet for this exam. (a) Complete the top portion of the sheet,
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TUTORIAL QUESTIONS (TIME VALUE OF MONEY) QUESTION 1 If you have a choice to earn simple interest on RM10,000 for three years at 8% or compound interest at 7.5% for three years, which one will pay more and by how much? QUESTION 2 If you wish to accumulate RM140,000 in 13 years, how much must you deposit today in an account that pays an annual interest rate of 14%? QUESTION 3 At what annual interest rate must RM124,925 be invested so that it will grow to be RM475,000 in 14 years? QUESTION
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folder in the Assignments folder in Blackboard. This work represents 5% of your course grade. Question #1: WACC & Capital Budget Analysis – 60% Based on the inputs below prepare a capital budget analysis for this Base Case using the Net Present Value, Internal Rate of Return, Profitability Index and Payback in years methods, determining whether the project is feasible. Please show your spreadsheet calculations and your final determinations of “go” or “no go” on the project. Use your Investment
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New Heritage Doll Company: Capital Budgeting Match my doll clothing line expansion 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Ingresos 4,500 6,860 8,409 9,082 9,808 10,593 11,440 12,355 13,344 14,411 Crecimiento de Ingresos 52.4% 22.6% 8.0% 8.0% 8.0% 8.0% 8.0% 8.0% 8.0% Costos de Producción Gastos Fijos de Producción (sin depreciación) 575 575 587 598 610 622 635 648 660 674 Costos Variables
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