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发布时间:2024-03-24 07:19:10

[单项选择]An equity investment of $750000 in a private company will pay $19000000 at the end of five years if the company is successful. The following is estimates of the probability of failure for each year, given that it survives to the beginning of each year:
Year Probability of Failure
1 0.40
2 0.35
3 0.30
4 0.25
5 0.20
If the company fails, the payoff is $0 (no money is recovered). If the investor's cost of equity for an investment with similar risk characteristics of this company is 20 percent, the net present value of the equity investment is closest to:()
A. $377873
B. $500723
C. $623573

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[简答题]Notice
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[单项选择]

Large, multinational corporations may be the companies whose ups and downs seize headlines. But to a far greater extent than most Americans realize, the economy’s vitality depends on the fortunes of tiny shops and restaurants, neighborhood services and factories. Small businesses, defined as those with fewer than 100 workers, now employ 60 percent of the workforce and expected to generate half of all new jobs between now and the year 2000. Some 1.2 million small firms have opened their doors over the past 6 years of economic growth, and 1989 will see an additional 200000 entrepreneurs striking off on their own.
Too many of these pioneers, however, will blaze ahead unprepared. Idealists will overestimate the clamor(大声的要求) for their products or fail to factor in the competition. Nearly everyone will underestimate, often fatally, the capital that success requires. Midcareer executives, forced by a takeover or a restructuring to quit the corporation and find another way
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C. about 2400 small enterprises alive
D. the number of workers
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