excans:278a321f62: Difference between revisions
From Stochiki
(Created page with "Year 1: <math>10 \times\left(\frac{1.05 \times 1.02}{1.10}\right)^1=9.7364</math> Year 2: <math>10 \times\left(\frac{1.05 \times 1.02}{1.10}\right)^2=9.4797</math> Year 3: <math>10 \times\left(\frac{1.05 \times 1.02}{1.10}\right)^3=9.2298</math> PV: 9.7364+9.4797+9.2298= $28.4458 million. '''References''' {{cite web |url=https://alo.mit.edu/wp-content/uploads/2015/06/PS_Part1.pdf |last1=Lo |first1=Andrew W. |last2 = Wang | first2 = Jiang |website=alo.mit.edu | title...") |
mNo edit summary |
||
| Line 1: | Line 1: | ||
'''Solution: D''' | |||
Year 1: <math>10 \times\left(\frac{1.05 \times 1.02}{1.10}\right)^1=9.7364</math> | Year 1: <math>10 \times\left(\frac{1.05 \times 1.02}{1.10}\right)^1=9.7364</math> | ||
Latest revision as of 20:03, 4 December 2023
Solution: D
Year 1: [math]10 \times\left(\frac{1.05 \times 1.02}{1.10}\right)^1=9.7364[/math]
Year 2: [math]10 \times\left(\frac{1.05 \times 1.02}{1.10}\right)^2=9.4797[/math]
Year 3: [math]10 \times\left(\frac{1.05 \times 1.02}{1.10}\right)^3=9.2298[/math]
PV: 9.7364+9.4797+9.2298= $28.4458 million.
References
Lo, Andrew W.; Wang, Jiang. "MIT Sloan Finance Problems and Solutions Collection Finance Theory I" (PDF). alo.mit.edu. Retrieved November 30, 2023.