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- 1. how can you distinguish between simple and compound interest? 2. If you were given a chance to invest your money what is your preference Simple or compound interest? Why?What do investors needs to consider before investing their money?Give one example on an opportunity cost that impacted you personally. What was the opportunity cost? What was the impact of the choice you made? and How does the concept of opportunity cost impact your future personal finance decisions?
- Which is more important, saving or investing? Justify your answerWhat statement about the discount rate is NOT correct? It is used in converting between future value and present value. The lower the discount rate, the more the person cares about the future. The higher the discount rate, the more the person cares about the future. The private discount rate is usually smaller than the social discount rate.what is the expected return and should you buy it?
- How has your opinion on personal finance changedWhat are annuities, growing annuities, perpetuities and growing perpetuities. What are the differences? Also, how can tvm techniques be used in real life? How are these techniques applied in finance? Can you provide examples?What is the worst that can happen if you invest your money?
- Hello I'm taking an a investment class and I need information on this question: What is compound interest and how is it different from simple interest?1) What factors convince you to place your money with a particular organization? What specific economic incentives are important to you? What non-economic benefits or incentives are important to you? What are your main worries when choosing where to "park" your money?How should I think about the discount rate in a discounted cash flow model, and what it means (in real life)? And where do I find inputs for the discount rate? How is it calculated?