Each and every year $7,500 is invested at 4% annual compound interest.a. What is the value of the investment portfolio after 20 years? After 25years? After 30 years? b. Repeat part (a) if the investment is at 5% annual compound interest. c. Based upon your answers to (a) and (b), what conclusions can be drawn regarding the impact of the interest earned versus the duration of the investment?

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Q: investment

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A: Net Present Value is the difference between the present value of cash inflows and cash outflows.

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A: The future value of a single sum deposited can be calculated by using this equation Future value…

Types of Insurance Contract

Insurance is a contract wherein an individual or entity gets financial protection from the insurance company for any damages or losses incurred. The individual or entity is called the insured, whereas the insurance company is called the insurer. The insured and the insurer enter a legal contract for a fixed term called the insurance term, and the contract is called an insurance policy.