Homework Answers
1. PV =45000
FV =280000
Number of years =18
Rate=(FV/PV)^(1/n)-1 =(280000/45000)^(1/18)-1 =10.69%
2. FV =2
PV =1
FV=PV*(1+r)^n
2=1.05^n
Applying log on both sides
n=log(2)/Log(1.05)=14.21 years
Add Answer to:
Homework. Calculating Rate 12 Assume that total cost of collage education will be * 2,80.000 dollar when your child...
11 Calculating Interest Rates. Assume the total cost of a college education will be $250,000 when...
11 Calculating Interest Rates. Assume the total cost of a college education will be $250,000 when your child enters college in 18 years. You presently have $25,000 to invest. What annual rate of interest must you earn on your investment to cover the cost of your child's college education? Calculating the Number of Periods. At 10 percent interest, how long does it take to double your money? To quadruple it? 12
Assume the total cost of a college education will be $285,000 when your child enters college...
Assume the total cost of a college education will be $285,000 when your child enters college in 22 years. You presently have $35,000 to invest. What annual rate of interest must you earn on your investment to cover the cost of your child's college education?
Assume the total cost of a college education will be $360,000 when your child enters college...
Assume the total cost of a college education will be $360,000 when your child enters college in 15 years. You presently have $58,000 to invest. What annual rate of interest must you earn on your investment to cover the cost of your child's college education? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Annual rate
Assume the total cost of a college education will be $325,000 when your child enters college...
Assume the total cost of a college education will be $325,000 when your child enters college in 16 years. You presently have $40,000 to invest and do not plan to invest anything further. What annual rate of interest must you earn on your investment to cover the entire cost of your child's college education? 13.99 percent 11.08 percent 10.40 percent 12.65 percent 14.62 percent
Assume the total cost of a college education will be $250,000 when your child enters college...
Assume the total cost of a college education will be $250,000 when your child enters college in 17 years. You presently have $59,000 to invest. What annual rate of interest must you earn on your investment to cover the cost of your child’s college education? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
5. (2 marks) Assume the total cost of a university education will be $300,000 when your...
5. (2 marks) Assume the total cost of a university education will be $300,000 when your child enters university in 18 years. You currently have $65,000 to invest. a. What annual rate of interest must you earn on your investment to cover the cost of your child's university education?
Assume the total cost of a university education will be $210,000 when your child enters university...
Assume the total cost of a university education will be $210,000 when your child enters university in 8 years. You presently have $180,000 to invest. What annual rate of interest (APR) must you earn, if the interest is compounded monthly? Enter your answer as a percentage. Do not include the percentage sign in your answer. Enter your response below rounded to two decimal places.
Questions and Problems: 1. Simple Interest versus Compound Interest [LO1] First City Bank pays 9 percent...
Questions and Problems: 1. Simple Interest versus Compound Interest [LO1] First City Bank pays 9 percent simple interest on its savings account balances, whereas Second City Bank pays 9 percent interest compounded annually. If you made a deposit of $7,500 in each bank, how much more money would you earn from your Second City Bank account at the end of eight years? 2. Calculating Future Values (LO1] For each of the following compute the future value Present Value Interest Years...
Answer the following problems using an Excel spreadsheet. All calculations MUST use Excel's Time Value of...
Answer the following problems using an Excel spreadsheet. All calculations MUST use Excel's Time Value of Money Functions (demonstrated in class) as well as cell references to receive FULL credit. Make sure to set up the data for each problem so you can "point" to the appropriate values in your formulas. Each problem is worth 20 points. This assignment must be completed INDIVIDUALLY. THIS IS NOT A GROUP ASSIGNMENT. The file you submit in CANVAS must be one that YOU...
11 Calculating Interest Rates. Assume the total cost of a college education will be $250,000 when your child enters college in 18 years. You presently have $25,000 to invest. What annual rate of interest must you earn on your investment to cover the cost of your child's college education? Calculating the Number of Periods. At 10 percent interest, how long does it take to double your money? To quadruple it? 12
Assume the total cost of a college education will be $360,000 when your child enters college in 15 years. You presently have $58,000 to invest. What annual rate of interest must you earn on your investment to cover the cost of your child's college education? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Annual rate
5. (2 marks) Assume the total cost of a university education will be $300,000 when your child enters university in 18 years. You currently have $65,000 to invest. a. What annual rate of interest must you earn on your investment to cover the cost of your child's university education?
Questions and Problems: 1. Simple Interest versus Compound Interest [LO1] First City Bank pays 9 percent simple interest on its savings account balances, whereas Second City Bank pays 9 percent interest compounded annually. If you made a deposit of $7,500 in each bank, how much more money would you earn from your Second City Bank account at the end of eight years? 2. Calculating Future Values (LO1] For each of the following compute the future value Present Value Interest Years...
Answer the following problems using an Excel spreadsheet. All calculations MUST use Excel's Time Value of Money Functions (demonstrated in class) as well as cell references to receive FULL credit. Make sure to set up the data for each problem so you can "point" to the appropriate values in your formulas. Each problem is worth 20 points. This assignment must be completed INDIVIDUALLY. THIS IS NOT A GROUP ASSIGNMENT. The file you submit in CANVAS must be one that YOU...
Most questions answered within 3 hours.
-
A newly developed artificial intelligence has trouble
distinguishing hand-written numbers from hand-written alphabets.
There are pictures...
asked 12 minutes ago -
The carbonate ion CO3 2- has multiple resonance structures.
a. Draw them and assign the hybridization...
asked 5 minutes ago -
In doing an allocation for a basket purchase
Use the individual costs and the total market...
asked 13 minutes ago -
what were the social political and economic causes and impacts of
the late 19th century urban...
asked 10 minutes ago -
if the magnitude of a velocity vector is 10m/s and it
makes an angle of 45...
asked 13 minutes ago -
Which amino acid has a basic R group?
A) tyrosine
B) Isoleucine
C) Glutamic Acid
D)...
asked 24 minutes ago -
Is there the need for the government to have hackers. Please
share your thoughts.
asked 28 minutes ago -
Explain why you should not lose any LDH activity when you
centrifuge a crude sample at...
asked 36 minutes ago -
An AA battery (object), standing on end, is placed to the left
of a diverging lens...
asked 37 minutes ago -
After you measure the self-inductance of a coil, you unwind it
and then rewind one third...
asked 38 minutes ago -
1. Which of the following best describes a transistor?
A) a small electrical circuit made from...
asked 39 minutes ago -
Use generating function to find the number of distributions of
20 people into four different rooms...
asked 54 minutes ago