FIN 571 NERD Education Specialist /fin571nerd.com FIN 571 NERD Education Specialist /fin571nerd.com | Page 27

e.g., 32.16.) c. Compute the future value of $1,000 compounded
annually for 15 years at 8 percent. (Do not round intermediate
calculations and round your answer to 2 decimal places, e.g., 32.16.)
13. (Set 2) 10.00 points For each of the following, compute the
present value (Do not round intermediate calculations and round your
answers to 2 decimal places, e.g., 32.16.): Present Value Years
Interest Rate Future value Wilkinson Co. has identified an investment
project with the following cash flows: If the discount rate is 9 percent,
what is the present value of these cash flows? (Do not round
intermediate calculations and round your answer to 2 decimal places,
e.g., 32.16.) If the discount rate is 16 percent, what is the present
value of these cash flows? (Do not round intermediate calculations
and round your answer to 2 decimal places, e.g., 32.16.) If the
discount rate is 25 percent, what is the present value of these cash
flows? (Do not round intermediate calculations and round your
answer to 2 decimal places, e.g., 32.16.) 15.You own 300 shares of
Western Feed Mills stock valued at $36.72 per share. What is the
dividend yield if your annual dividend income is $322? 15.Four
months ago, you purchased 1,200 shares of Lakeside Bank stock for
$21.20 a share. You have received dividend payments equal to $.55 a
share. Today, you sold all of your shares for $22.20 a share. What is
your total dollar return on this investment? Question 16 (Another Set)
Suppose a stock had an initial price of $54 per share, paid a dividend
of $1.30 per share during the year, and had an ending share price of
$64. Compute the percentage total return. (Do not round intermediate
calculations and enter your answer as a percent rounded to 2 decimal
places, e.g., 32.16.) 17. You’ve observed the following returns on
SkyNet Data Corporation’s stock over the past five years: 14 percent,
–7 percent, 17 percent, 15 percent, and 10 percent. Suppose the
average inflation rate over this period was 1.4 percent, and the
average T-bill rate over the period was 5.1 percent. a. What was the
average real return on the stock? (Do not round intermediate
calculations and enter your answer as a percent rounded to 2 decimal
places, e.g., 32.16.) b. What was the average nominal risk premium
on the stock? (Do not round intermediate calculations and enter your
answer as a percent rounded to 1 decimal place, e.g., 32.1.) Question
17 (another Set) You’ve observed the following returns on SkyNet