(CH4) If a company wants to have $10M rasied in 5 years from now, if it...
(CH4) If a company wants to have $10M rasied in 5 years from now, if it deposits $2M now and makes uniform annual deposits of $1.5M in a mutual fund that guarantees a return of 10% per year, how short the company will be in its goal of raising $10M at the end of 5 years
Homework Answers
Add Answer to:
(CH4) If a company wants to have $10M rasied in 5 years from
now, if it...
8. A computer company wants to have $2.1 million available 5 years from now to upgrade...
8. A computer company wants to have $2.1 million available 5 years from now to upgrade the system. The company expects to set aside uniformly increasing amounts of money each year to meet its goal. If the amount set aside at the end of year 1 is $50,000, how much will the constant increase have to be each year? Assume the investment account grows at a rate of 18% per year. Draw cash flow diagram.
Mark Gandalla, a young engineer at John Deere, plans to retire 35 years from now. He...
Mark Gandalla, a young engineer at John Deere, plans to retire 35 years from now. He expects that he will live another 25 years after retiring. Mark wants to have enough money upon reaching retirement age to withdraw $120,000 from the account at the end of each year he expects to live, and yet still have $1,000,000 left in the account at the time of his expected death (60 years from now). Mark Gandalla plans to accumulate the retirement fund...
If a company wants to have $100,000 in a contingency fund 10 years from now, the...
If a company wants to have $100,000 in a contingency fund 10 years from now, the amount the company must deposit each year in years 6 through 9, at an interest rate of 10% per year, is closest to (a) $19,588 (b) $20,614 (c) $21,547 (d) $22,389
Jimmy deposits $3,200 now, $2,700 3 years from now, and $5,600 6 years from now. Interest...
Jimmy deposits $3,200 now, $2,700 3 years from now, and $5,600 6 years from now. Interest is 5% for the first 3 years and 6% for the last 3 years. a) How much money will be in the fund at the end of 6 years? b) What is the present worth of the fund? c) What is the uniform series equivalent of the fund (uniform cash flow at end of years 1–6)?
3) If a company wants to have $1,200,000 in a contingency fund 30 years from now,...
3) If a company wants to have $1,200,000 in a contingency fund 30 years from now, the amount the company must deposit each year in years 1-10 at an interest rate of 6% is a. d) 20892 b. a) 22750 C. C) 56712 d. b) 28386 QUESTION 4 4) A deposit of $5,000 at an interest rate of 6% per year compounded quarterly will be equivalent to how much money 40 years from today (4 quarters per year)? a. b)...
b. If the company makes the first deposit one year from now, how much should each...
b. If the company makes the first deposit one year from now, how much should each deposit be? 3. A start-up internet service provider expects to lose money in each of the first four years. Losses are projected to be $50 million in year one, $40 million in year two, $30 million in year three and $20 million in year four. An interest rate of 10% per year is used. a. What is the present worth of the losses for...
4. John is 25 years old right now. He needs $650,000 at age of 65 to...
4. John is 25 years old right now. He needs $650,000 at age of 65 to retire comfortably. If his mutual fund account can generate an average annual rate of return of 7%, how much money he needs to put in right now? 5. Bank Certificate of Deposit (CD) gives you 3% interests, how much money will you have in 20 years when you deposit $7500 today? 6. John deposits $1000 into company Raw IRA each month (another type of...
You are the pension fund manager for a consulting company. Your workers will begin to retire 10 years from now. You estimate that you will need $1.2 million exactly 10 years from now to fund the first...
You are the pension fund manager for a consulting company. Your workers will begin to retire 10 years from now. You estimate that you will need $1.2 million exactly 10 years from now to fund the first year payments. Due to inflation and growth in the number of retirees, your annual obligations will grow by 5% per year, and will continue forever. Your financial advisors tell you that you can plan on earning 8.0% per year on invested funds. (a)...
-27 How much invested now at an interest rate of 9% compounded annually would be just...
-27 How much invested now at an interest rate of 9% compounded annually would be just sufficient to provide three payments as follows: the first payment in the amount of $3,000 occurring two years from now, the second payment in the amount of $4,000 five years thereafter, and the third payment in the amount of $5,000 seven years thereafter? 62.34 What is the future worth of a series of equal yearly deposits of $5,000 for 7 years in a savings...
Question 7 5 pts You want to go to Europe 5 years from now, and you...
Question 7 5 pts You want to go to Europe 5 years from now, and you can save $3.500 per year, beginning one year from today. You plan to deposit the funds in a mutual fund that you think will return 7.3% per year. Under these conditions, how much would you have just after you make the 5th deposit. 5 years from now? Your answer should be between 18,055.00 and 24,575.00, rounded to 2 decimal places, with no special characters....
If a company wants to have $100,000 in a contingency fund 10 years from now, the amount the company must deposit each year in years 6 through 9, at an interest rate of 10% per year, is closest to (a) $19,588 (b) $20,614 (c) $21,547 (d) $22,389
3) If a company wants to have $1,200,000 in a contingency fund 30 years from now, the amount the company must deposit each year in years 1-10 at an interest rate of 6% is a. d) 20892 b. a) 22750 C. C) 56712 d. b) 28386 QUESTION 4 4) A deposit of $5,000 at an interest rate of 6% per year compounded quarterly will be equivalent to how much money 40 years from today (4 quarters per year)? a. b)...
b. If the company makes the first deposit one year from now, how much should each deposit be? 3. A start-up internet service provider expects to lose money in each of the first four years. Losses are projected to be $50 million in year one, $40 million in year two, $30 million in year three and $20 million in year four. An interest rate of 10% per year is used. a. What is the present worth of the losses for...
4. John is 25 years old right now. He needs $650,000 at age of 65 to retire comfortably. If his mutual fund account can generate an average annual rate of return of 7%, how much money he needs to put in right now? 5. Bank Certificate of Deposit (CD) gives you 3% interests, how much money will you have in 20 years when you deposit $7500 today? 6. John deposits $1000 into company Raw IRA each month (another type of...
-27 How much invested now at an interest rate of 9% compounded annually would be just sufficient to provide three payments as follows: the first payment in the amount of $3,000 occurring two years from now, the second payment in the amount of $4,000 five years thereafter, and the third payment in the amount of $5,000 seven years thereafter? 62.34 What is the future worth of a series of equal yearly deposits of $5,000 for 7 years in a savings...
Question 7 5 pts You want to go to Europe 5 years from now, and you can save $3.500 per year, beginning one year from today. You plan to deposit the funds in a mutual fund that you think will return 7.3% per year. Under these conditions, how much would you have just after you make the 5th deposit. 5 years from now? Your answer should be between 18,055.00 and 24,575.00, rounded to 2 decimal places, with no special characters....
Most questions answered within 3 hours.
-
Implement C++ program for each of the following.
Let D = [-48, -14, -8, 0, 1,...
asked 19 minutes ago -
Consider a labor market in which LD = 400 – 4W and LS = 250 +...
asked 33 minutes ago -
Let’s say you are teaching a typically-developing young child
how to eat with a spoon. Describe...
asked 17 minutes ago -
Ask Your Teacher A toy gun uses a spring to project a 5.6-g soft
rubber sphere...
asked 29 minutes ago -
*****DO NOT ANSWER THIS QUESTION IF YOU DON'T
KNOW*******
Question - PERSONAL DEVELOPMENT ESSAY and Detailed...
asked 35 minutes ago -
A certain rifle bullet has a mass of 5.25 g. Calculate the de
Broglie wavelength of...
asked 1 hour ago -
Research new software products that assist in project
communication management. Write a paper summarizing your findings,...
asked 58 minutes ago -
the figure below to the left shows a beaker completely filled
with water. then a block...
asked 56 minutes ago -
what is the duistribution channels of HUL in india and how they
distribute?
how is this...
asked 1 hour ago -
Batteries play an important role in our everyday lives. From
making many devices mobile, to allowing...
asked 1 hour ago -
It is possible to iterate through an array quickly and easily
using a loop?
asked 1 hour ago -
Determine the pHpH of an HFHF solution of each of the following
concentrations. The KAKA value...
asked 1 hour ago