Need help with finance homework. 4 Assume that today you invested $120,000 in an investment that you expect will return $260,000 to you in 8 years. Over the next 8 years, what annual interest rate are you expecting to earn?
Q: 2.2. Suppose £5000 is invested for twenty years, if the interest is compounded annually at a nominal…
A:
Q: A group of friends decided to save money so they can travel out of the country after 5 years. The…
A:
Q: Alexa needs $8,600 worth of new equipment for his shop. He can borrow this money at a discount rate…
A: Maturity Value At the time of maturity, the total amount paid to the investor is known as the…
Q: If your total assets equal $11,886 and your total liabilities equal $10,296; your solvency ratio is:…
A: To calculate the solvency ratio we will use the below formula Solvency ratio = Total assets/Total…
Q: For the following questions, let supply and demand be given by: QD = 40- 23 P Qs = P-20
A: As we know that Demand is something which is created by the consumer at a given price of the…
Q: oncito deposited P15,000.00 today and he deposited the same equal amount each month for the next 9…
A: The future value of the amount includes the amount being deposited and amount of interest being…
Q: Wyatt signs a note for a discounted loan agreeing to pay $4,100 in 6 months at a discount rate of…
A: Loan amount = $4,100 Discount rate = 0.13 Period of loan = 6 months Amount of discount = ? Amount of…
Q: 3. Ramoncito deposited P15,000.00 today and he deposited the same equal amount each month for the…
A: Information provided in the question as follows Amount of Deposit per Month = 15000 starting from…
Q: Assume that it is now January 1, 2022. On January 1, 2023, you will deposit Rs 1,000 into a savings…
A: Compounding refers to the process of adding interest on interest earned. The result is that the…
Q: Q3: The following table gives the operation cost, maintenance cost and salvage value at the end of…
A:
Q: Utility refers to Group of answer choices the total of your spending for the year the satisfaction…
A: Utility is related with consumption of goods by customer. This is very important that customer…
Q: Consider each of the following deposit cash flow series. What will the final balance be (e.g.,…
A: Interest Rate = 10% Time Period = 5 Years
Q: Cristina borrowed P50,000.00 from Social Security System in the form of calamity loan, with interest…
A: Annuity referes to a series of regular payments being made over a period. If the payments are made…
Q: The common stock and debt of the listed French clothing company Fille Provocatrice are valued at…
A: Share buyback refers to the purchase of public issue of shares by the issuing company. It is done by…
Q: . What are the expected rate of return and standard deviation of the portfolio? (Do not round…
A: A portfolio is a collection of different type of investments or financial assets or financial…
Q: s ago, Thomasian Engineer TE had P5,000,000.00 in his UST Security Bank (USTSB) Account. Last month,…
A: Future value of the amount includes the amount being deposited and the amount of interest being…
Q: A friend asks to borrow $48 from you and in return will pay you $51 in one year. If your bank is…
A: Information Provided: Present value of borrowed amount = $48 Amount to be repaid in one year = $51…
Q: You have also decided that you have a risk-aversion (A) of 4. (a) What is the expected return for…
A: Expected Return Expected Return (x̄)= (R1P1) + (R2P2) + . . . . . + (RnPn) where R- Expected Return…
Q: Using a compound interest of 8%, find the equivalent uniform annual cost for a proposed machine that…
A: Given, Compound interest = 8%. Proposed machine that has a first cost = P100,000. Salvage value =…
Q: In the US futures contract for Arabica, the most widely produced coffee beans, is traded at…
A: Futures are traded on the margins and margins are to be maintained if money falls below margin than…
Q: Flora plc is a largo listed company which needs to raise new equity finance. It has decided to make…
A: Equity finance: Equity finance is issued by the companies in the form of shares to the investors.…
Q: To secure the future of his son, a man plan to deposit P50,000 in a bank account every quarter for 5…
A: Effective interest rate There is different frequency of deposited amount and the compounding of…
Q: Justin bought a Scion car for a price of $8,200, putting down $800 and financing the remainder with…
A: Car Cost = $8,200 Down Payment = $800 Time Period = 60 Months Monthly Payment = $179.99
Q: A bond makes annual coupon payments of R75. The bond matures in four years, has a par value of…
A: Annual coupon payment = 75 Current price = 975.30 Maturity value = 1000 (equal to par value) Yield…
Q: Assuming there is no compound interest, let's say you pay $4,000 for a perpetual bond from…
A: The bonds carry the coupon and based on the coupon and face value of bond there are going to be…
Q: Required information An electric switch manufacturing company is trying to decide between three…
A: Method A First cost=47000 AOC=8000 Life=2years Discount rate=14% To calculate future worth first we…
Q: On 2018-05-08, Muhammad and Priyanka each buy a Tbill with a face value of $4,000. 12-30. Muhammad…
A: T bills are purchased on discount to the face value of T-bill and the discount rate depends on the…
Q: To secure the future of his son, a man plan to deposit P50,000 in a bank account every quarter for 5…
A: Future value of annuity means that deposits are made at the beginning of the period and one period…
Q: A company has a $160,000 note due in 3 years. How much should be deposited at the end of each…
A: Solution:- When an equal amount is deposited at end of each period, it is called ordinary annuity.…
Q: Luke, Ashley, Casandra, Daisy, Rylie, Lucas and Ryan are helping their fellow classmate Jose search…
A: Data given: Cost of New Honda Accord = $36,250 Purchase Incentive discount =$500 College Student…
Q: A Bud Light cost $14.40 per case of 24 bottles. A bottle sells for $7.50, what is the beverage cost…
A: The beverage cost percentage per bottle is the ratio of the cost of one bottle to the Price per…
Q: Over the next year, there is a 75% chance of the market being in state 1, otherwise it is in state…
A: To Find: Expected return over the next year
Q: The last step in the financial planning process is to Group of answer choices use financial…
A: Financial planning is very important tool used for managing the business finance. Under this, all…
Q: what is the compound interst rate per year that makes an amount $1000 two years ago worth $1345.60…
A: Future value (FV) = $1345.60 Initial value (IV) = $1000 Period (n) = 2 Years Interest rate = ?…
Q: Cristina borrowed P50,000.00 from Social Security System in the form of calamity loan, with interest…
A: When a loan is taken by a person then the institution or the entity that gives the loan amortizes…
Q: Andrew deposits $1102.32 each quarter into an annuity account for his child's college fund in order…
A: Amount Deposited = Deposit amount per quarter * 4 quarters * Number of years =1,102.32 * 4 quarters…
Q: You want to endow a scholarship that will pay $6,000 per year forever, starting one year from now.…
A: Annual payment (C) = $6000 Discount rate (r) = 0.07 or 7% in first case Amount need to donate today…
Q: you are trying to build credit by using a credit card, each time you make a purchase with the credit…
A:
Q: Sales (35,000 tires at $90 each) Variable costs (35,000 tires at $45) Fixed costs Earnings before…
A: The following formulas are used to calculated first three subparts. Degree of operating…
Q: A bond makes annual coupon payments of R75. The bond matures in four years, has a par value of…
A: Here, To Find: Yield to maturity (YTM) =?
Q: Over the next year, the stock market will either be a bull market or a bear market. The probability…
A: The Sharpe ratio of a company is used by investors to measure its performance. It measures the…
Q: A house and lot can be acquired with a down payment of P500,000 and a yearly payment of P100,000.00…
A: Time Value of Money: The Time value of Money (TVM) concept asserts that the current value of money…
Q: 1.1. Miss X deposited R5000 in a saving account paying 3% Interest compounded daily. Find Future…
A: In daily compounding interest is calculated daily on principal and interest earned on the previous…
Q: , has requested that Mutual of Seattle present an investment seminar to the mayors of the…
A: Price of bond is the present value of coupon payment and present value of the par value of bond…
Q: Theresa invested $5,000 in an account she expects will earn 8% annually. Approximately how many…
A: Time value of money concept says that an amount invested today will have more value in future due to…
Q: On October 31, 2019, Strongman Samson borrowed P100,000.00 from Pretty Delilah subject to an…
A: The FV of an asset refers to its value at a predetermined point in the future and an assumed rate of…
Q: 3. Need help with finance homework. Assume a discount rate of 6.75%. You are planning to receive…
A: Discount rate (r) = 0.0675 Period (n) = 6 Years First payment (C) = $12,000 Growth rate (g) = 0.022…
Q: LTD company issued ten-year bond two years ago with a coupon interest of 13% paid every six-month,…
A: To calculate the price of bond we will use the below formula Price of bond =…
Q: Acquirer Shares Outstanding Target Shares Outstanding Acquirer Share Price Target Share Price Cash…
A: The companies are acquired by the large companies and payments are done in cash and in term of…
Q: What are some strategies for compiling a budget proposal to combat recidivism in corrections?
A: Budget is a detailed plan for a defined period i.e., usually one year or one month or for one…
Need help with finance homework. 4
Assume that today you invested $120,000 in an investment that you expect will return $260,000 to you in 8 years. Over the next 8 years, what annual interest rate are you expecting to earn?
Step by step
Solved in 2 steps
- Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $2,500 over the next 4 years when the interest rate is 15%, how much do you need to deposit in the account? B. If you place $6,200 in a savings account, how much will you have at the end of 7 years with a 12% interest rate? C. You invest $8,000 per year for 10 years at 12% interest, how much will you have at the end of 10 years? D. You win the lottery and can either receive $750,000 as a lump sum or $50,000 per year for 20 years. Assuming you can earn 8% interest, which do you recommend and why?Use Excel to answer the following questions. If you would like to accumulate $4,200 over the next 6 years when the interest rate is 8%, how much do you need to deposit in the account? If you place $8,700 in a savings account, how much will you have at the end of 12 years with an interest rate of 8%? You invest $2,000 per year, at the end of the year, for 20 years at 10% interest. How much will you have at the end of 20 years? You win the lottery and can either receive $500,000 as a lump sum or $60,000 per year for 20 years. Assuming you can earn 3% interest, which do you recommend and why?I need help solving this problem below on excel .You have determined that you can comfortably retire in 8 years if you achieve a savings goal of $2 million. How much would you have to deposit into your investment account today to reach the goal in 8 years? Assume interest rate is 7%
- You plan to invest $9.9 into an investment that you hope will earn a return of 12.01%. You will withdraw your money in 5 years. How much will you withdraw? Answer:Give typing answer with explanation and conclusion Question 3: You decide to save $1,000 at the end of each year for the next 10 years in an account earning 6% interest annually. What will be the total value of your savings after 10 years?Today you are opening a savings account and depositing an initial $5,000 into it. You plan to deposit $6,500 into the account two years from today and deposit another $8,000 four years from today. How much will you have in your account five years from today if you earn an 11 percent rate of return? A) $25,314.60 B) $26,194.89 C) $32,858.63 D) $29,602.37 (Please try to explain by using a Financial Calculator)
- PART C.) In planning for your retirement, you expect to save $5,000 in year 1, $6,000 in year 2, and amounts increasing by $1,000 each year through year 20. If your investments earn 7% interest per year, what is your retirement account worth at year 20?You plan to invest $5,000 into an account. If you would like to have $10,000 in 15 years, what rate of return must you earn? Question 5 options: 6.02% 5.24% 4.73% 7.55% 7.11%6. You decide you want to start investing for your retirement and you want to have $650,000. If you save $100 a month in an account that averages a 10% annual rate of return, will you have enough money in 25 years? (Hint: this formula was introduced in Section 1)
- Assume that you are saving up for a trip around the world when you graduate in two years. If you can earn 8% on your investments, how much would you have to deposit today to have $15,000 when you graduate?You saving up to buy a car. You plan on making your first savings deposit one year from today, and then making deposits for the following 3 years. These are the amounts you plan to save at the end of each year. Year 1 2 3 4 Projected Savings Amount $1,500 $3,000 $2,200 $3,000 W You expect to earn an annual rate of 9% per year throughout. What amount will you have available at the end of year 4? S3) If you are willing to loan someone $100 and expect to be paid back $200 and earn 12% on your investment, approximately when would you need to be paid back? A) 4 years B) 5 years C) 6 years D) 7 years E) 8 years