One safe investment pays 10% per year, and a more risky investment pays 18% per year. A woman who has $139,200 to invest would like to have an income of $18,960 per year from her investments. How much should she invest at each rate?

Q: ) Your parents have an investment portfolio of $400,000, and they wish to take out cash flows of…

A: Ordinary annuity is a type of annuity in which fixed interest payments are made at the end of each…

Q: You expect to receive $26,000 at graduation in two years. You plan on investing it at 9.25 percent…

A: Present Value = $26,000  Future Value = $161,000  Rate (r) = 9.25%

Q: You deposit $19,000 today in an investment account and the annual rate of return is 12%, what will…

A: Formulas: Future value = Present value *(1+rate)^years

Q: If you invest $15,000 in a long-term venture, you will receive $1,100 per year forever. The first…

A: Initial cost (I) = $15000 CF1 = $1100 forever starting after 2 years CF2 = $500 forever every 6…

Q: You have an investment opportunity that requires an initial investment of $5,500 today and will pay…

A: The acronym IRR stands for internal rate of return. It shows the actual return wherein the present…

Q: You have an investment opportunity that requires an initial investment of $3,600 today and will pay…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: An investment in a real estate venture will provide returns at the end of the next four years as…

A: Present Value: The present value is the value of the sum received at time 0 or the current period.…

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

A: Formula:

Q: If you invest $15,000 every year and expect to increase your investment by 6% each year for the next…

A: Annual investment (A) = $15000 Growth rate (g) = 6% r = 7% n = 20 years

Q: You have an investment that will pay you 1.38 percent per month. How much will you have per dollar…

A: Future Value can be calculated using following formula FV = PV* (1 + r / n)nt Where, PV = Present…

Q: Preeti has an investment that is worth 52,300 dollars and has an expected return of 3.6 percent.…

A: We need to use the concept of time value of money to solve the question. According to the concept of…

Q: Suppose you invest $2,000 today and receive $11,000 in five years. a. What is the internal rate of…

A: IRRIt is a capital budgeting technique of a discounted cash flow that gives a rate of return is…

Q: You have $10,000 to invest for five years. - How much additional interest will you earn if the…

A: Given Information : Amount invested - $10,000 (Present value) Rate of interest (r) - 5%/4.5% Time…

Q: One sate investment pays 10% per year, and a more risky investment pays 18% per year. A woman who…

A: Interest is an income which is received from invested amount. It increase the investor’s wealth.…

Q: Your goal is to have $93,677. If you can earn 11.79% per year and you invest $11,573 today, how many…

A: The number of years required to reach the goal can be calculated with the help of future value…

Q: Sam wants to have $160,000 in four years from now. She found an investment, earning 6% per year,…

A: The amount that should be invested now to earn a certain sum of money in the future is equal to the…

Q: Assume you can earn 9.5% per year on your investments. a. If you invest $200,000 for retirement at…

A: Annual interest rate = 9.5%

Q: I expect to save $100,000 in 15 years for my kid's college savings account. Assuming I get a return…

A: Discounting is a technique to compute the present value (PV) of future cashflows by using an…

Q: f you invest $9,000 today, how much will you have: a. In 2 years at 9 percent? b. In 7 years at 12…

A: “Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: You have three options to choose for an investment: (1) Pay 15,000 and you will receive P20,000…

A: We need to find the rate of return for all the three options Let r = Rate of return

Q: An investor can make an investment in a real estate development and receive an expected cash return…

A:

Q: Saleh is considering an investment that will pay $5,000 a year for 7 years, starting one year from…

A: Given: Years = 7 Amount = $5, 000 Interesting rate = 12%

Q: Elizabeth wants to double her money in 17 years in an investment fund. What monthly compounding…

A: To calculate monthly compounding interest rate, we will use time value of money formula. Given FV/PV…

Q: An investment will generate 10,000 a year for 25 years. If you can earn 10 percent on your funds and…

A: Present value of annuity=Annuity1-1+Interest rate-Time periodRate

Q: If you would like to have $20,000 in 5 years, how much should you invest today if your investment…

A: Present value is the value today of future cash flows discounted at the required rate of return for…

Q: One safe investment pays 10% per year, and a more risky investment pays 18% per year. A woman who…

A: Let the investment in safe investment be A  Therefore investment in risky investment be $143,400 -A…

Q: If you invest $15,000 every year and expect to increase your investment by 6% each year for the next…

A: This is a growing annuity and we have to find the present value of a growing annuity.

Q: An investor paid $58,000 for an investment. He will get $5,780 for every two years forever). What is…

A: INVESTMENT RETURNS

Q: An investment will generate $10,000 a year for 25 years. If you can earn 10percent on your funds and…

A: Calculation of net present value of the investment at 10%

Q: One safe investment pays 10% per year, and a more risky investment pays 18% per year. A woman who…

A:

Q: You are considering an investment that will pay you $1,200 per month for three years. The first…

A: An annuity is a series of equal payments occurring at regular intervals. The present value is…

Q: Assume you can earn 8.6% per year on your investments. a. If you invest $110,000 for retirement at…

A: Retirement savings is an important part for all the employees and for saving funds for retirement,…

Q: An investment will pay $100 at the end of each of the next 3 years, $200 at the end of year 4, $300…

A: Both future value and present value of a series of payments needs to be calculated.Please refer to…

Q: If you invest $12,000 today , how much will you have: a) In 6 years at 7 percent? b) In 15 years…

A: Investment amount = $12,000 Time period = 6 years  Rate of interest = 7% In this, the future value…

Q: An investment will pay $100 at the end of each of the next 3 years, $200 at the end of Year 4, $300…

A: Time value The amount of money received today has more value than that of receiving the same amount…

Q: You have an investment that will pay you .63 percent per month. How much will you have per dollar…

A: Amount = Principal 1+r100n where Principal = invested amount Amount  = principal + interest r = rate…

Q: If you invest $15,000 in a long-term venture, you will receive $1,100 per year forever. The first…

A: In this we need to calculate the present value of all cost and benefits.

Q: Carla Willis will invest $26,000 today. She needs $52,317 in 12 years. What annual interest rate…

A: Future Value=Present Value(1+i)^12 52317=26000(1+i)^12 (2.0122)^1/12=1+i i=1.06-1 i=6%

Q: If you want to accumulate $400,000 and you have $17,000 saved now, how many years will it take if…

A: GIVEN, PV = $17000 FV = $400,000 A= $490 R=4% M=12

Q: You are going to retire in 40 years and currently have $100,000. What average annual return would…

A: Future Value = Present Value * (1+r)^nWhere,r = rate of interest per periodn = no. of compounding…

Q: Assume you can earn 8.6% per year on your investments. a. If you invest $110,000 for retirement at…

A: The major decisions that an individual considers while setting up the retirement goals are the total…

Q: You have the opportunity to make an investment that costs $1.000,000. If you make this investment…

A: If an investment is able to cover the cost then we say that the investment should be accepted. But…

Q: You want to invest $10,000 today to accumulate $16,000 for graduate school. If you can invest at an…

A: Future Value  = P*(1+r)^n Where, P = Principal r = rate of interest n = no. of year

Q: An investment is expected to pay a return of $5,250 semi-annually (i.e. at the end of each six…

A: Effective interest rate is the return an investor will earn during the span of their investment…

Q: You wish to have an investment that will bring about $20 000 infive years, and the rate of return is…

A: According to time value of money concept, the amount of dollar that is received today is more worth…

Q: Keith Riggins expects an investment of $82,014 to return $10,000 annually for several years. If…

A: Formula: P= C×Annuity Factor where,  P is present value of an annuity C is future cash flow

Q: If you invest sh.100,000 at an interest rate of 15 percent, how much will you have at the end of…

A: Note: Hi! Thank you for the question, As per the Honor Code, we are allowed to answer one question…