Chapter 2 Homework - Tài liệu tham khảo | Đại học Hoa Sen
Chapter 2 Homework - Tài liệu tham khảo | Đại học Hoa Sen và thông tin bổ ích giúp sinh viên tham khảo, ôn luyện và phục vụ nhu cầu học tập của mình cụ thể là có định hướng, ôn tập, nắm vững kiến thức môn học và làm bài tốt trong những bài kiểm tra, bài tiểu luận, bài tập kết thúc học phần, từ đó học tập tốt và có kết quả cao cũng như có thể vận dụng tốt những kiến thức mình đã học.
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Chapter 2 Homework
1/ What is the difference between simple interest and compound interest?
2/ Suppose you had a relative deposit $10 at 8% interest 150
years ago. How much would the investment be worth today
using: 2a/ compounding interest? 2b/ simple interest?
3/ If I deposit $2,000 in an account that earns 6% compound
interest p.a., how much will I have after 3 years?
4/ If I deposit $2,000 in an account that earns 6% p.a. with
interest paid every 3 months, how much will I have after 3 years?
5/ You want to begin saving for your daughter’s college
education and you estimate that she will need $100,000 in 10
years. If you feel confident that you can earn 8% per year, how
much do you need to invest today? Chapter 2 Cont.
Homework: Multiple CF, Perpetuity and Annuity
At Vietnamese stock market: FPT FPT’s information:
Dividend payment next year: 2000 VND/stock Discount rate: 10% Dividend growing: 4%
1/ Calculate value of the stock FPT indefinitely
2/ Should we buy if the current price of FPT is
136.000 VND/stock? And why? Based on the result of question 1.
3/ Based on question 2. If you should not buy, what
prices you suggest to buy ? why 4/ If D2 = 2100, D3 = 2200
Calculate value of the stock FPT for 3 years using discount rate of 10%.
Chapter 2, 3: interest rate and years
1/ Suppose you are offered an investment that will allow you to
double your money in 6 years. You have $15,000 to invest.
a/ What is the implied rate of interest? Compare to the market interest rate of 12 – 15%. b/ What is your solution:
b1: if you increase years, what year is reasonable?
b2: if you increase savings, how much is reasonable?
2/ You want to purchase a new flat and you are willing to pay 3
billion VND. If you can invest at 9% per year and you currently
have 500 million VND, how long will it be before you have
enough money to pay cash for the flat?
3/ If nominal interest rate is 12% and inflation rate is 2.5%, how much real interest rate using a/ simple formula b/ Fisher formula
c/ What should you choose real IR based on (a) and (b) and why? Chapter 4: Bond
1/ US treasury bond has a face value $1,000; 9% coupon rate
and 30 years to maturity. Please compute the bond price with YTM = 10%/ year and
What is Bond Price? According to: 1/ Annually coupon payment 2/ Semi-annually 3/ Quarterly 4/ Monthly 5/ Weekly