At an annual rate of return of 8%, what is the future worth of $100 at the end of four years
a. $130
b. $132
c. $135
d. $136
e. $140
Answer : The answer is option d.
Rate of interest (r) = 8% = 0.08
Principal (P) = $100
Time (t) = 4 years
n = Per year interest rate compounding time.
Future worth = A
Now,
A = P (1 + r/n)^nt
=> A = 100 (1 + 0.08/1)^(1 * 4)
=> A = 100 * 1.36
=> A = $136
Therefore, option d is correct.
At an annual rate of return of 8%, what is the future worth of $100 at...
At an annual rate of return of 8%, what is the future worth of $100 at the end of four years a. $130 b. $132 c. $135 d. $136 e. $140
a) What’s the future value of $100 after 3 years if it earns 8%, annual compounding? b) What’s the present value of $100 to be received in 3 years if the interest rate is 8%, annual compounding? c) What annual interest rate would cause $1,000 to grow to $2,000 in 8 years? d) If a company’s sales are growing at a rate of 7.2% annually, how long will it take sales to double?. e) What is the present value of...
If you deposit $2,800 today into an account earning an annual rate of return of 8 percent, what would your account be worth in 35 years (assuming no further deposits)? In 40 years? a. If you deposit $2,800 today into an account earning an annual rate of return of 8 percent, what would your account be worth in 35 years? __________________ (Round to the nearest cent.) b. If you deposit $2,800 today into an account earning an annual rate of...
-What is the future value of $1,200 a year for 40 years at 8 percent interest? Assume annual compounding. A. $301,115 B. $306,492 C. $310,868 D. $342,908 E. $347,267 -Karen is borrowing $17,800 to buy a car. The terms of the loan call for monthly payments for 5 years at 8.6 percent interest. What is the amount of each payment? A. $287.71 B. $291.40 C. $301.12 D. $342.76 E. $366.05 -Jonathan Corp. is evaluating a project with an initial cash...
What annual interest rate do you need for an investment to be worth $4,345.47 four years in the future with semi-annual compounding if you deposit $3,300 today? Please show ALL work with finance formulas.
Problem 2.5 Interest needed to make annual savings into a future worth Given: You put away S10,000 at the end of each year for an anticipated future worth of $74420 in 5 years. Find: The annual interest rate.
What will be the nominal rate of return on a perpetual preferred stock with a $100 par value, a stated dividend of 8% of par, and a current market price of (a) $60, (b) $80, (c) $100, (d) $140 ?
If Nicolai earns an 8 percent after-tax rate of return, $16,500 today would be worth how much to Nicolai in five years? Use future value of $1. (Round discount factor(s) to four decimal places.) $15,279. $11,238. $17,820. $16,500. None of the choices are correct.
if the future worth of a product in 7 years is $10000. The annual profits of the product are the annual worth of the product are the annual worth of the product at %5 interests rate . if the product has initial cost of $2000 and a gradient flow maintenance cost starting at $225 the first year. Draw the cash flow diagram
4.54 What is the future worth in year 8 of a present sum of $50,000 if the interest rate is 10% per year in years 1 through 4 and 1% per month in years 5 through 8?