FIN 502 Study Guide - Midterm Guide: Pion, Standard Deviation, Surtax

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29 Nov 2015
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18% of reported net income; ,270 is 2014 limit (if earn ,000 or more). 1 + nominal = (1 + real) (1 + inflation) = the minimum acceptable rate of return / minimum. Hurdle rate attractive rate of return (acceptable rate, in npv it is the dr. Don"t use f5 for per period (epr) questions. Fva = pmt boy (fvifa n, (r-g)/ (1+g) = . Fv2 = fv1 (fvif n, g) = fvcga. Tmarginal)) 2) calc le earnings on n+1 year 3) fv* i (before/after) Income spilt divorce: 1) calc the annuity payments 2) calc after tax discount rates for both the parties 3) calc after tax. Save each from now until retirement to meet the goal given nominal rate then. Saving retirement (wn) =consumption boy (retired years, r) Net annual pure premium = (prob of death* Pv of future income/n= ti 2) pmt-ti (t)= after-tax amount received. Insurance co. pays = damage * [current insurance / (replacement value*0. 8)]