Hampton Industries has a perpetual preferred share that pays a fixed dividend of $1.60 per share every quarter, forever. The next dividend arrives three months from today. Investors require an effective annual return (APY) of 10.4% on the share. What is one share worth today?

Torch Industries borrows $250,000 on an amortized loan: 10 equal annual payments at 6% per year, with the first payment one year from today. Over the full life of the loan, how much of what Torch pays is interest?

Maroon Brands can buy a food truck for $95,000. The truck is expected to generate $2,000 of net cash flow at the end of every month for 5 years, after which it is worth nothing. Maroon Brands’ cost of capital is 9% APR with monthly compounding. What is the NPV of buying the truck?

Allied signs a 6-year equipment lease that requires a payment of $14,000 at the beginning of each year, with the first payment due today. At a discount rate of 8% per year, what is the lease worth today?

Starkville Mills invests $25,000 in a certificate paying 7.2% APR, compounded monthly, and adds nothing further. The firm will not touch the money until the balance reaches $40,000. How long does that take?

You are pricing a 15-year mortgage with 180 equal monthly payments at 6% APR with monthly compounding (P/Y set to 1). You enter N = 180. What belongs in I/Y?

Allied signs a 6-year equipment lease that requires a payment of $14,000 at the beginning of each year, with the first payment due today. At a discount rate of 8% per year, what is the lease worth today?

Torch Industries borrows $250,000 on an amortized loan: 10 equal annual payments at 6% per year, with the first payment one year from today. Over the full life of the loan, how much of what Torch pays is interest?

Magnolia Foods owns a royalty stream that will pay $9,000 one year from today and grow 4% per year forever after that. The stream trades today for $150,000. What annual return does that price imply?

Maroon Brands borrows $525,000 to build a commissary and repays it with 120 equal monthly payments at 7.8% APR (monthly compounding), the first payment due one month after the loan is made. How much of payment number 45 is interest?