3. John Wilson wants to give her daughter $50,000 to start her own business in 5...
please answer all 2pt per question. Show your work clearly to eam partial credit! Read the questions carefully! Suppose you invest $100, $200, & $300 at the end of year 1 to 3 in the next 3 years and earn 6% each year. What is the future value at the end of year 3? tcompute the PV: using CF function: CO0-0, CO1- 100, C02=200 , C03-300, I-6, CPT NPV= FV,=PV (1r)624.36 Suppose you expect your investment to earn 6 %...
5. June wants to have $2,000,000 for her retirement in 30 years. How much should she save annually if she thinks she can earn 10% on her investments? PV PMT FV
1. Today Jim Byelow purchased an investment-grade diamond for $75,000. He expects it to increase in value at a rate of 10% a year for the next seven years. How much is he expecting his diamond to eventually be worth? - recepits nyear from now (interest rattetion 75000 (120) = FV 2. Sara Cellhigh wants to give her daughter $75,000 to start her own business when she graduates from business school in seven years with her M.B.A. How much should...
6, Denise wants to buy a scooter that costs $4,500. Her mom will loan her the money at 6% annual interest as long as she makes monthly payments over the next 5 years. How much will Denise's month payment be? I/Y PV PMT FV
How much will your house be worth if it appreciates at 7% a year, you bought it for 200,000 and you expect to sell it in 5 years? PV Pmt Fv Rate 5 You purchase a car for $25,000 and amortize it over a 5 year period. Your payment is $456 per month. Assume the car is fully amortized at the end of the 5 years. What is your annual rate of interest? PV FV PMT Rate Monthly Rate Annual...
8. Stacey wants to double her money in 5 years. What annual rate of return must she find in an investment to reach her goal? I/Y PV PMT FV
Ed is buying a new home entertainment system that costs $32,000. His payments are $711.82 per month and he has financed the system for 60 months. What is the annual interest rate? N I/Y PV PMT FV Jazlyn will receive $100,000 in five years from her grandmother’s estate. However, Jazlyn needs the money today. Andrea has offered to give her the money now but requires an 18 percent return (discount rate) in exchange for getting the money early. How much...
A man wants to help provide a college education for A his young daughter. He can afford to invest S600ly for the next 4 years, beginning on the girl's 4th birthday. He wishes to give his daughter $4000 on her 18th, 19th, 20th, and 21st birthdays, for a total of $16,000. Assuming 5% interest, what uniform annual investment will he have to make on the girl's 8th through 17th birthdays? 4-30 A his young daughter. He can afford to invest...
Bella seeks to start her own business in 5 years. In order to have the required funding, she will need to accumulate an additional 200,000 in today's dollars. If you assume inflation will be 2% and can earn 8%annually after-tax, how much will she have to invest at the beginning of each year?
2. (20 points) Cyndee wants to invest $50,000. Her financial planner advises her to invest in three types of accounts: one paying 3%, one paying 5.5%, and one paying 9% simple interest per year. Cyndee wants to put twice as much in the lowest-yielding (least risky) account as in the highest-yielding account. How much should she invest in each account to achieve a total annual return of $2540.