
- 7 13 The Closing The Gaps Initiative By The Texas Higher Education Coordinating Board Established The Goal Of Increasin 1 (58.33 KiB) Viewed 89 times

- 7 13 The Closing The Gaps Initiative By The Texas Higher Education Coordinating Board Established The Goal Of Increasin 2 (29.37 KiB) Viewed 89 times
7.13) The Closing the Gaps initiative by the Texas Higher Education Coordinating Board established the goal of increasing the number of students in higher education in Texas from 1,064,247 in 2000 to 1,694,247 in 2015. If the increase were to occur uniformly, what rate of increase would be required each year to meet the goal? 7.28) According to Descartes' rule of signs, how many i* values are possible for the cash flows shown? Year Revenue, $ Cost, s +25,000 -30,000 2 +13,000 -7000 3 +4,000 -6000 +70,000 - 12,000 7.38) Use the modified rate of return approach with an investment rate of 18% per year and a borrowing rate of 10% to find the extemal rate of return for the following cash flows. Year 2 3 Net Cash Flow, s +16,000 -32,000 -25,000 +70,000 7.54) To provide infrastructure in the outlying areas of Morgantown, West Virginia, the city council issued 30-year bonds with a face value of $25 million. The bond coupon rate was set at 5% per year, payable semiannually. Because the market interest rate increased immediately before the bonds were sold, the city received only $23.5 million from the bond sale. What was the semiannual interest rate when the bonds were sold? 7.43) For the cash flow series below, calculate the external rate of return, using the return on invested capital approach with an investment rate of 14% per year. Year 0 1 2 3 4 NO Revenues 3000 -2000 1000 -6000 3800
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