Series 50 > FORMULAS > Flashcards

FORMULAS Flashcards

(4 cards)

Study These Flashcards
1
Q

Calculate the present value of interest savings

A

Interest savings = annual interest of old issue - annual interest of new issue

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

Calculate PV of the investment costs

A

Include call premium, issuance costs, retirement of the old issue as well as any overlapping interest

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Net Present Value (NPV) = PV of interest Savings - PV of net investment costs

A
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Future Value Savings = old debt service - new debt service costs

A
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
Series 50
flashcards
Decks in class (9)
# Cards
Brainscape helps you reach your goals faster, through stronger study habits.
© 2026 Bold Learning Solutions. Terms and Conditions