If you invested $50,000 at one point in time and received back $80,000 ten years later, what annual interest (or growth) rate (compounded annually) would you have obtained?

Q: What present value amounts to $15,000 if it is invested for 20 years at 8% compounded annually?…

A: Present Value = Future value / (1+r)^n Where, r = rate of interest i.e. 8% n = no. of years i.e. 20…

Q: Suppose you invest $3,500 today, compounded monthly, with an annual interest rate of 8.50%. What…

A: When the interest rate compounds monthly, the monthly interest rate should be considered i.e.…

Q: If you have $10,000 today, and save $12,000 per quarter year at the end of the quarter while earning…

A: In the given question we need to compute the number of quarters required to accumulate $100000 if we…

Q: You have just borrowed $240,000 and you agree to pay it back over the next 20 years in 20 equal…

A: Details given are : Present value of borrowing = $240000 Time period = 20 years Interest rate = 11%…

Q: - Approximately how many years would it take for an investment to grow five fold if it were invested…

A: In the given question we require to calculate the the number of years that make the investment…

Q: If you invest $5,000 three years from now, how much will be in h 15 f if 10% d d ll ? the account 15…

A: Future value: This is the amount of present value accumulated or compounded at a rate of interest…

Q: Assume you made an investment today for $27,000 and sold it 15 years later for $75,000. What is the…

A: In this question we need to calculate CAGR i.e. Compound Annual Growth rate from given details:…

Q: What is the present value of your-end-of-year investment of $1000 per year, with the first cash flow…

A:

Q: Your company will generate $74,000 in annual revenue each year for the next seven years from a new…

A: Present Value = future value discounted at 7.25%

Q: You are considering an investment costing $300,000. If you want to recover the initial investment,…

A: Formula:

Q: If you have $4500 to invest now, and will need a total of $25,000 -- 10 years from now, determine…

A: Amount available now (PV) = $4500 Period = 10 Years Monthly period (n) = 10*12 = 120 Interest rate =…

Q: Suppose Karlem invested P20,000 for five years with simple annual interest of 10%. What is the…

A: Simple interest is a method under which interest is calculated on a principal amount. It calculates…

Q: Suppose you wish to have $9,000 in 11 years. Use the present value formula to find how much you…

A: Present value of money: The money having today has more value than future receivable.

Q: Suppose you inherited $630,000 and invested it at 8.25% per year. How much could you withdraw at the…

A: An annuity provides regular payment for a certain period of time.

Q: What is the present value of $2,000 received today,  $2,500 received at the end of each of the next…

A: Present value of cashflow for any year = Cashflow for that year/(1+ discount rate)^time Cashflow for…

Q: If TNT Corp.invests $50,835 now and it will receive $100,000 at the end of 10 years, what annual…

A: The time value of money (TVM) is the idea that an amount of money is worth more right now than it…

Q: A businessman wants to have $500,000 four years from now. What amount should he invest now if it…

A: Final amount required = $500000 Let the amount to be invested today = P Interest rate for first 2…

Q: will your hotel have at the end of the 10th year ($)?

A: Future value refers to the amount of a current cash flow at some future date based on the given…

Q: You deposit $10,000 into an investment account.  You believe that you can reasonably expect a…

A: A future value formula can be used to calculate the value of investment (FV) after 30 years. The…

Q: today and anticipate being able to pay back $50,000 sixteen years from now. a. If the (annual)…

A: As per the Present Value concept, a sum of money today is worth more than the same sum of money in…

Q: Approximately how many years would it take for an investment to grow fivefold if it were invested…

A: Investment amount (P) = $1 Future value (FV) = $5 Interest rate (r) = 9% Number of compounding per…

Q: eposit $10,000 into an investment account.  You believe that you can reasonably expect a compounding…

A: The more is compounding of interest rate more is the effective interest rate and more is future…

Q: What is the present worth difference between an investment of $15,000 per year for 35 years and an…

A: Present worth is calculated by discounting the future cash flow by the discounting rate.   Present…

Q: You bought an asset for $10,000 and sold it for $20,000 after 10 years. What was the annual rate of…

A: Using excel RATE function

Q: If we are investing in an account with an interest rate of 5.7% compounded monthly and we wish to…

A: The amount to be placed in the account today is computed using the present value formula.

Q: You wish to have $23,000 in 12 years and then find how much you should invest now (in $) at 6%…

A: Given: Compounding  value =$23000Time =12 yearsInterest rate =6%=6100=0.06Compounded quarterly i.e.…

Q: Suppose you wish to have $15,000 in 6 years. Use the present value formula to find how much you…

A: Present value method is used to evaluate the different level of investment projects. With the help…

Q: Say you have invested $50000 at a yearly interest rate of 15% compounded continuously. How many…

A: We have to calculate the tenure or the no. of years in the continuous compounding method. The…

Q: You have been told that you need $15,000 today in order to have $50,000 you want when you retire 30…

A: To open the "RATE function" window - MS-Excel --> Formulas --> Financials --> RATE.

Q: If you pay $500 for an investment that returns $600 in 1 year, whatis your annual rate of return?…

A: Future value = Present Value * (1+r)^n Where, r = rate of interest  n = no. of years

Q: How much are the 2 million dollars received annually over the course of 25 years worth in terms of…

A: Time value of money (TVM) means that the amount of money received in the present period will have…

Q: future value of an investment made 5 years ago is P150,000. If the investment offered an annual…

A: Effective rate goes on increasing if the compounding goes on increasing. And effective rate is less…

Q: If you have $15,000 today, and save $13,000 per quarter year at the end of the quarter while earning…

A: In this question we need compute the time period (number of quarters) required to accumulate…

Q: If you wish to have $85000 now how much should you have invested 15 years ago?

A: Let the required investment amount be A to obtain $85,000 after 15 years. Now, compute the interest…

Q: If you invest $10,000 at 8.125% interest compounded daily, how long will it take for you to…

A: Present value =$10,000 Future value = $15,000 Interest rate = 8.125% compounded daily So, daily…

Q: What is the future value of $39,000 invested today at 9% interest in 20 years with interest…

A: Using the future value function in excel

Q: You wish to make an investment of $10,000 at 5% interest. How much will your Investment be worth in…

A: Present Value= $10,000 Interest rate= 5% Time period= 20 years

Q: avings account that yields 12% compounded quarterly, what would our investment grow to at the end of…

A: The given problem can be solved using FV and EFFECT function in excel. FV function computes  future…

Q: Approximately how many years would it take for an investment of $5,250 to accumulate to $15,000,…

A: Calculate the number of years by using present value table.

Q: If you were to invest $2000 today and in return receive $450 anually for 6 years, what is your…

A: N=6 PMT=450 PV=2000 I=? 2000=450/(1+I)+450/(1+I)^2........+450/(1+I)^6

Q: How much more could you have earned over a 10 year period if interest had compound annually?

A: Simple interst formula is I = P*R*T Where I is Interest,P is principle,R is rate of interest and T…

Q: If you purchase a parcel of land today for $25,000, and you expect it to appreciate 10 percent per…

A: In the given question we need to compute the worth of land after 10 years i.e. future value of land…

Q: A. A person wants to generate fourintallments of $1,000 in the following four years. How much money…

A: Discounting the future cashflows provides the present value.

Q: If you invest $9500 per period for the following number of periods,  how much would you have in each…

A: Calculation of Future value of annuity: Answer: Future value annuities are $232,965.77 and…

Q: the savings account that yields 12% compounded quarterly, what would our investment grow to at the…

A: The given problem can be solved using FV and EFFECT function in excel. FV function computes  future…