公司金融Chapter4.pptVIP

* * * * * * * It may be good at this point to discuss the difficulty of calculating time periods and interest rates, particularly without the help of a financial calculator. * * * * * * * * * e is a transcendental number because it transcends the real numbers. * * * * * It is important to note to students that in this example the year 1 cash flow was given. If the current dividend were $1.30, then we would need to multiply it by one plus the growth rate to estimate the year 1 cash flow. * * * * * Remind students that the value of an investment is the present value of expected future cash flows. 1 N; 10,000 FV; 7 I/Y; CPT PV = -9,345.79 * * * * * For example, if you invest $50 for 3 years at 12% compounded semi-annually, your investment will grow to A reasonable question to ask in the above example is “what is the effective annual rate of interest on that investment?” The Effective Annual Rate (EAR) of interest is the annual rate that would give us the same end-of-investment wealth after 3 years: So, investing at 12.36% compounded annually is the same as investing at 12% compounded semi-annually. Find the Effective Annual Rate (EAR) of an 18% APR loan that is compounded monthly. What we have is a loan with a monthly interest rate of 1?%. This is equivalent to a loan with an annual interest rate of 19.56%. The general formula for the future value of an investment compounded continuously over many periods can be written as: FV = C0×erT Where C0 is cash flow at date 0, r is the stated annual interest rate, T is the number of years, and e is a constant and approximately equal to 2.718. Perpetuity(永续年金) A constant stream of cash flows that lasts forever Growing perpetuity(永续增长年金) A stream of cash flows that grows at a constant rate forever Annuity（年金） A stream of constant cash flows that lasts for a fixed number of periods Growing annuity（增长年金） A stream of cash flows that grows at a constant rate for a fixed number of periods A constant stream of cash flows that la