Fin 571 Week 1 Connect Lab Questions Latest 2016 Version

A business created as a distinct legal entity is called a:

Which one of these best fits the description of an agency cost?

One disadvantage of the corporate form of business ownership is the:

A partnership:

The primary goal of financial management is to

Which one of the following business types is best suited to raising large amounts of capital?

Accounting profits and cash flows are generally

Gerold invested $115 in an account that pays 5 percent simple interest. How much money will he have at the end of 7 Years

What is the future value of $1,050 a year for 5 years at a 7 percent interest

What is the future value of $3,244 invested for 10 years at 5.00 percent compounded annually

First City Bank pays 7 percent simple interest on its savings account balances, whereas Second City Bank pays 7 percent interest compounded annually. If you made a $59,000 deposit in each bank, how much more money would you earn from your Second City Bank account at the end of 9 years

a.Compute the future value of $1,000 compounded annually for 10 years at 7 percent

b.Compute the future value of $1,000 compounded annually for 10 years at 13 percent

c.Compute the future value of $1,000 compounded annually for 15 years at 7 percent

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

                        13 7% $ 15,251

                        4 13 49,557

                       29 14 884,073

                        40 9 548,164

Wilkinson Co. has identified an investment project with the following cash flows:

Year Cash Flow

1 $ 890

2 1,270

3 1,530