Santo Railroad Co. is almost to issue $200,000 of 10-year bonds paying a 9% interest rate?
Question:
, with interest payable semiannually. The discount rate for such securities is 8%. How much can Santo expect to receive for the mart of these bonds?
Hint: Compute the present value of bonds.
Answer:
$213,590
HINT: If you know how to answer your sound out, why are you asking us.
What are the Advantages and Disadvantages of a Certificate of Deposit (CD)?
Question:
What are the Advantages and Disadvantages of a Certificate of Deposit (CD) ?
Thanks
Answer:
Advantages: No risk, much higher rate than stash (right now, CD's are contained by the 5-6% range), great short-term (< 5 years) investment.
Disadvantages: Not liquid (your $ is tied up for all along the CD), poor long-term (> 5 years) investment.
If you're looking to invest for more than 5 years, you should go next to stocks and/or bonds--it's easiest to do this through mutual funds.
I hope this helps.
There are multiple advantages and disadvantages of CD's The advantages are that there is predetermined risk or no risk depending on what kind of disc you purchase. If you purchase an FDIC insured CD for smaller quantity than $100,000 dollars then you are covered. Decent short permanent status investment. Somewhat liquid investment.
The disadvantages include a relitavely low rate of return, it's a taxable investment and somewhat illiquid (you can receive they money but your pay a cost usually by forfeiting some interest). The CD rates are largely close to many online money accounts which eliminates the liquidity risk. An supplementary disadvantage is that the returns after taxes and inflation are factored in are not really worth it. Depending on where on earth you live you can come up with an assortment of tax free option that will give you better export tax equivalent yields.
A card of deposit ("CD") is a short to medium-term, FDIC insured investment available at banks and money and loan institutions. Customers agree to lend money to the institutions for a certain amount of time. In exchange for doing so, the customers is compensated a predetermined rate of interest. Often, banks will charge a cost fee if the money is withdrawn from the disc before it mature.
However, in exchange for keeping the money on deposit for the agreed-on permanent status, institutions usually grant complex interest rates than they do on accounts from which money may be withdrawn on demand, although this may not be the covering in an inverted verbs curve situation. Fixed rates are common, but some institutions submission CDs with an assortment of forms of variable rates. For example, surrounded by mid-2004, with interest rates expected to rise, plentiful banks and credit union began to extend CDs with a "bump-up" factor. These allow for a single readjustment of the interest rate, at a time of the consumer's choosing, during the term of the compact disc. Sometimes, CDs which are indexed to the stock market, the bond bazaar, or other indices are introduced.
Advantages: Fixed known return over fixed time. FDIC insuance would also anticipate "guaranteed" safety.
Disadvantages: Returns are eat up by taxes and
inflation. The purchasing power of what's left (including
interest) is smaller quantity.
Many banks use the money that you offer them to buy your CD and after buy government levy lien certificates. They are 0 risk and enjoy huge rates of return. Learn more about them here:
http://bstsystems.taxliens1.hop.clickban...
Where can i stir to swot up more nearly stock and buying them?
Question:
I'm 17 but looking to buy stocks next year. Where can i be in motion to learn more and where/ how do I buy them?
Answer:
Check your local library for a book by Wade Cook call, Wall Street Money Machine. It is about 10 years mature so some things have changed close to, stocks are not listed within fractions but rather within decimals now, but it is assured to read and understand and will make a contribution you the basics of buying and selling stocks and option. I don't recommend buying anything from this guy just that this individual book explains it in simple unproblematic to understand jargon.
investopedia.com
fool.com
yahoo finance.com
To pull off excellent returns on your investments it is important to adopt the right investing strategies. To Learn more nearly shares and stock trading check the website link below.
http://www.smart-investments.org/best-st...
http://money-review-site.com/shares.html...
Information is the switch... try moneycrntral/msn...loaded with articles from different financial sources....catch " Fast Money" once contained by a while on CNBC ( 7;00 central)...read, listen and come to understand some strategies, etc.
Also, until that time you invest REAL money go to:
http://www.top10traders.com
Create a figment of your imagination portfolio... watch yours and nearly 1300 other ones to learn from experience. ( the best professor )
Open a brokerage account at Zecco and drop me a file.
I would read Phil Townsend's book "Rule #1" It is good and it tell you how to use yahoo to find what you need. I own been making 12-16% on omost of my investments.
marketwatch.com
zacks.com
nouns.yahoo.com
Indian Financial portal providing information on
- Which shares to buy
- When to buy shares
- When to exit shares
- Which IPO to subscribe and which to ignore
- Which NFO (New Mutual Fund) to enter
http://www.vjondalalstreet.com
Bus Naam hi kaafi hain ...
Do I salary much due if I trade greatly but seize small profit or possibly not?
Question:
How much I have to settle tax if buy and provide alot?
I don't know how tax works surrounded by investment/trading.
Thanks for answering!
Answer:
I think you take-home pay tax on profits individual. If you lose money from trading, you don't have to settle up. I think so.
You simply pay duty on profits, not for trading. But if you make no profits on trading, why are you doing it?
If you're contained by the 15% tax bracket:
* Capital gain on assets held for a year or less are tax at your ordinary income toll rate (in this case 15%).
* Capital gain on assets held for more than a year are taxed at a reduced import tax rate of 10%.
If your ordinary income levy bracket is greater than 15%:
* Capital gains on assets held for a year or smaller number are taxed at your regular income tax rate (anywhere from 28% to 39.6%, depending on your specific everyday tax rate).
* Capital gain on assets held for more than a year are taxed at a reduced export tax rate of 20%.
Do you have an idea that the stock Blockbuster Inc. (BBI) will be in motion up to $7.00 this month?
Question:
I mean it will shift up from $7.00 and not go down profoundly.
Answer:
I would think it would not move much at adjectives. The summer is here and people will be spending more time outside later inside watching movies. I would not buy a lot of BBI stock if you want to engineer a lot of money. If you want a low priced stock perchance look at 6-Flags since the summer is almost here and people will be heading in that to have some summer fun.
no
it will travel down
good movies are coming out this month
Sm-3
Potc 3
sHrek 3rd
one-sidedly i dont intend on renting any movies this month
Blockbusters time as come and pass. In the business cycle. I wouldn't even touch this company, Unless they really invented something unusual. Maybe, a time warp to deliver movies.
-------
Nathan
http://oureconomics.blogspot.com...
No.
There is a new invention call Microsoft XBox 360 and you can download movies in glorious definition.
You don't need to drive adjectives the way to Blockbuster twice to rent and return a Blu-Ray or HD-DVD anymore.
Best to invest surrounded by the "next" blockbuster, if you know what I mean. Invest within the company where ending week your friend said "hey, you gotta see this, this is awesome, its a new gadget on the bazaar, man I'd like to own a piece of that company." You'll earn closely more money that way.
Jeff
http://www.best-stock-trading-systems.co...
Best pick of stock for tomorrow?
Question:
Answer:
Never listen to advice on buying specific stocks. Make your own decision. Wipro is at $16.50+ and was at $11 ending June. Last March it was below $15. "Williams%R" - Technical analysis shows that it is in the middle road of buy and put up for sale. The combined analysts low target price is $15 and the high is $18. Wait and monitor as this was trending down and will most plausible go to $15.50 and start to climb again. I resembling Wipro but the charts haven't shown evidence of being a "buy" but. Visit http://finance.yahoo.com for your own analysis. You can also visit my www.wmeu.org website for my contact information if you would resembling to discuss further via phone or emails.
WIPRO
If you are going to hold 'em then Biotechs the subsequent time there is a dip surrounded by the market.
http://www.thestreet.com/stocks/biotech/...
If you are going for short-term buy and get out efficiently then Gold fluctuates more or less $10 everyday up and down
My Choices are
Reliance Petroleum
Idea Cellular
These Stocks has obedient potential to grow in the long run.
All the Best!
IFCI and Reliance Industries.
All the best....
reliance,sbi mutual fund,petrochemical,ongc, j&k ridge.
Free stock Idea
www.Ways2gain.com/todaytrading...
www.stocksadvisor.tk/
www.jayan.bravehost.com
www.content.icicidirect.com/ma...
When do I enjoy to pay envelope for warrant shares?
Question:
I have be told a company I will be doing work for will "give" me 100,000 warrant shares at the current price for 5 years. Do I have to clear for them now, or do I 'exercise' the right to buy whenever I want?
Answer:
you obtain the warrants presently, and any time before the expiry date, you can buy the amount of shares the warrant say, at the price the warrant say. After the expiry date, the warrants are worthless.
How do I invest some money to procure a rate of return more than 16%?
Question:
If it is hard to take the amount mentioned,what is your advise on any business/investment that can produce the the profit/return that is close to 16%
Answer:
Your best bet is putting your money contained by different baskets from high risk to low risk.
Let's read aloud your are investing $1000. Here are the way i would invest it. ( FYI, I other avg. 23 % return on my investment for the pass 4 years.) Remember you must enjoy a plan (system) and you must stick to it no matter what.
1.$ 200 put surrounded by CD near 5.25 APR. (low risk, but sometime could not match inflation) (ingdirect) 6 months or HSBC wall. rollover after the lock in occupancy is over.
2.$ 200 put in stock option. (high risk, but you can pull sour options it you are lossing the ground. you must know when to cut your losses.)
3.$ 200 put contained by international currency. (Mid. risk) I invested on British Pound and EU and made good return on it. 3 years ago a pound cost me 1.6 us dollars presently i sold it @ 2 dollars for each pound, same entry with EU. Also a nice trick on it is that some countries Bank's interest rate is sophisticated than in usa. For example, Brasil bank offer 13% interest rate, india grant 9% interest rate, British offer 5.75% interest rate at their local ridge. Some countries need the dipositor to be their citizen some don't. Check on that.
4. $ 200 on stock that rewarded dividen. Only purchase stock that paid dividen. Like, Mrk, KMP, Hal, HBC and etc. If the price of the price when up you made money on two fronts.
5.$ 100 on Las Vegas babe. (you never know what luck you hold.) Remember if you win $100 get out of here. if you lose $100 also get out of their too. stick to the plan.....Also lone bet "one" hand. Paying multi hand will gives casino an dominance.
6. $ 99 buy bottles of water contained by costco or sam club and sell it to your coworkers or if you work out go it in the gym. or you could engineer sanwich for your coworkers. charge them 10% over your cost. Get a businese licence so your time, miles on car and gas it duty deductable ( tax benefit is also a return).
7. $1 on super lotto. you merely never know. life is a back so make honest use of it.
Sorry my english is not that good, but i am accurate in Math and Money. How this adv. comfort you
No investment would have a guaranteed return that giant. Even some of the best investment vehichles over time have not attained those types of results. I'd re-think your goal.
This cannot be achieved lacking huge amounts of risk.
Anything above 8-10% is damn near impossible and is to be too risky.
Invest within high return mutual bonds beside a average 8% turn around.
Thats a high % to shoot for in need a great deal of risk.Never risk mote than you can aford to loose,this join may help http://charting-the-market.com/...
Leverage up. Borrow three times as much money as you hold to invest. Then invest your money plus the borrowed money at whatever your borrowing rate is plus something like 4%. At the maturity of the investment, use the proceeds to repay the amount you borrowed, and the lattice result will be approximately a 16% return on your original equity investment.
If you find out how to do it agree to me know.
I know a company currently offering 25% annually.
Many banks use the money that you confer them to buy your CD and later buy government due lien certificates. They are 0 risk and own huge rates of return. Learn more about them here:
http://bstsystems.taxliens1.hop.clickban...
I am next to a company called sometrafic .. they present between 1% and 15% interest monthly. all you stipulation is an egold account. you can also puff your website with them free of charge.
hold a look at the website below, and scroll down for the sometraffic link.
Read something like Diamond Nexus Lab..is this and up and up site and worth investing their jewerly?
Question:
They have their own website: daimond Nexus Lab..resembling to invest into a pair of studs(solarite)..or should I lately buy a smaller diamond earring?
Answer:
"Diamond Nexus Labs of Franklin, Wisconsin misleadingly describe diamond simulants on their website as synthetic diamonds, and make numerous other dodgy claims." If you goole "Diamond Nexus Labs Scam" you will find copious hits (like the one above) saying they are not "up and up". Go to any of a million shopping malls and see how oodles stores there are selling both TRUE and fake diamonds. The diamond mines contained by South Africa are still in business finding heaps more so if you want to buy a diamond (real one) to wear, go ahead, don't buy one for an "investment." Stick near stocks, mutual funds, bonds, etc.
Rozell Mfg. Co. have a target wherewithal structure of 50% debt 50% equity. They are planning to invest contained by a projec
Question:
The equity will be provided by internally generated funds so no up to date outside equity will be issued. If the required rate of return on the firm's stock is 16% and its marginal tax rate is 35%, compute the firm's cost of means.
10.60%
11.25%
12.00%
13.00%
Answer:
You are taking a significant risk when you post homework questions here, as you enjoy no idea whether anyone who answers is academically capable or not (i.e. a person can be unbelievably successful in world of investing but still not know how to answer finance or economics question correctly). Not to mention the fact that you enjoy a teacher, classmates, and textbook that are more familiarized with stuff you are studying and would be better qualified to help you arrive at correct answer.
What is a conservative rate of return (in percent) for Mutual Funds?
Question:
Answer:
That's going to depend on the mutual fund. A bond fund will have a awfully different average return than a large hat stock fund, and that will differ from a small cap fund. And a sector-specific fund or an international fund will also hold different returns.
In general, I would speak start with 8% for a diversified massive cap fund and consequently add for a while bit for riskier investments, or deduct a short time bit for less risky investments.
I guess a conservative rate would be around 8% if they hold a 10-20yr track record. Be sure to know what you are putting your money within..ALWAYS. Don't just drop it within something because an "expert" told you this is what to do...understand it yourself.
You should know how to expect 12% per year average over a 10yr. period.
I would read aloud it depends on what you are investing in exactly. for instance small boater equities tend to outperform large cap and bond funds tend to underperform equity funds. 75% of mutual funds don't beat their benchmark which is doesn`t matter what index they are competing against. The market have returned roughly 11% per year annually but fund management fees will imagined reduce that and if here are 12b-1's those too will chip away. A conservative estimate for equity funds rate of return will be anywhere from about 7-9% depending on style and fees. For long permanent status projections I like to use no more than 8% because it's something you can take without jeopardizing your goal.
How should i invest for college as a teen-live within atlanta?
Question:
i`m 16 years old and considering within getting 2 certificate of deposits for $500 each(one for 6 mths and the other for 1year)and i gotta shift to college in 2 years and i`m not going to live surrounded by a dorm or with my parents. should i merely get a mutual fund when i enjoy $1000,plus should i get stocks at adjectives at age 18 or just stick to MMA, and bonds. I wanna know whats gonna tender me the best return and i dont wanna wait too long to see the $$$
Answer:
Money doesn't a moment ago come overnight.
I wouldn't be expecting $30,000. From your $1,000 for a few years investing. Though, A few people will catch lucky. Very lucky.
It depends, What is your risks tolerant. Will you be okay. If you lose all the money? In the stock open market. Or, half of it. Are you going to be adding together money, to the 1,000? These are some questions to ask yourself.
If the money is earth-shattering to you. And, you don't know a lot something like the markets. I would see, if your parents twig the stock markets, vastly well. Most don't. Then, move about talk beside an investment advisor. Then another advisor agian and again. Make sure, he cares just about your money. Some, brokers will just want your commission. I close to a lot of A.G. Edwards advisors.
Thats adjectives if you want to invest into stocks. Which are riskier, but should produce better returns than a bond. Take your time in chosing an advisor too.
If you don't want to risk your money. Stay next to the bonds. Which should return a lower amount. Some years, Bonds do a lot better.
But, you are young-looking. And they are loans for students now a days. You should be investing a bit riskier, than a 50 year older. That has already built affluence.
At your age and with the ammount of money you hold available, I would suggest an agressive mutual fund. Over history, equities (stocks) have be the best investment for returns. Keep in mind, equities hold risk. You could lose money in the short run. You should research the mutual funds history, risk factor, nouns, fees, etc and make the best informed finding you can Good luck.
Given your short time horizon, stocks or equity mutual funds are absolutely the wrong answer. Since this is money that you call for, and need soon, a compact disc or money market fund is really the lone acceptable investment.
The downside, as expected, is that you won't get much return. Certainly not ample to turn $1000 into enough money to receive an apartment in Atlanta. The upside is that you will still enjoy your $1000 in 2 years, plus for a time bit of interest.
Is in attendance a ruling that mandate you draw on your mutual fund at age 75?
Question:
My father thinks that very soon that he is 75, he is required to make draws on his mutual fund-can anyone share me if this is fact or fiction?
Answer:
Not mutual funds, but IRAs and 401ks must be drawn down by a unmistaken percent each year once you turn 70 and a partially.
The government wishes to collect all those taxes you deferred.
In the USA it is fiction. Unless the mutual fund is within a traditional IRA, then withdrawal need to start at age 70 1/2.
No.
Please explain the Advantages and Disadvantages of U.S. Savings Bond?
Question:
Please explain the Advantages and Disadvantages of U.S. Savings Bond
Thanks
Answer:
Advantage: Low risk. The only road you won't get remunerated is if the U.S. goes skint.
Disadvantage: Low rate. You are better off getting a disc or buying a stock.
Good Luck.
Major advantage...safety/no risk
Major disadvantage...return/pretty low
It's like peas in a pod ol same ol...risk and return are inversely related.
Well, it really depends on what it is you are comparing them to. There are two types of savings bonds currently self offered for purchase. There is the EE bond and the I bond. the EE bond you purchase for half the frontage value of the bond and currently take 18 years to mature to the full frontage value. It will gain interest for up to 30 years near a fixed rate of return. There is a penalty if cashed back 5 years, but can be cashed a year after purchase. The I bonds are purchased at face significance and gain interest up to 30 years. The I bonds also have an hasty redemption penalty and can be cashed a year after purchase. The I bond I have an annual interest rate. It has a combined fixed rate and a semiannual inflation rate. the advantages to a bond are really dependent on what you want to do next to your money and what you are comparing it to. The current interest rate on a bond are most of the time better than that of a savings or checking picture at a bank, and a great alternative to a Certificate of Deposit (CD) (Can let go a smaller amount with a better interest rate.) I hope I could be of some sustain. You can find more info with better interest rate info. and cost guidelines, as well as purchase methods and amounts at www.savingsbonds.gov.
super low interest rates.
No advantages over ridge savings a/c and smaller quantity flexible.
Keep life simple. Only hold one savings a/c and shares or MF
Can I purchase a mutual fund or IRA for my neice as a graduation present and if so how?
Question:
Answer:
She can have an IRA just to the extent that she had income. I suggest you give the name any of the major fund family...Fidelity, T Rowe Price, Vanguard, etc.
Yes, you can contribute to one for her. My mother-in-law contributes to a fund for my wife and I every year instead of giving xmas and bday gifts.
She needs an reason with someone resembling a Fidelity or Morgan Stanley etc.. Not sure if you can open the sketch for her, unless she is a minor (under 18).
You make a deposit into her tale (write a check to the account number).
You could other call a financial planner and ask them...my boyfriend is one.
You would enjoy to ask the brokerage house how to open an IRA reason for a minor or if its even possible. If you can get the IRA portrayal opened for her surrounded by her name, next you can fund it and buy what ever you wish.
Open a brokerage article at Zecco.