planning to invest $25,000 today in a mutual fund that will provide a return of 8 percent each year. What will be the value of the investment in 10 years? 5.1 Future value: Chuck Tomkovick

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 invest $10,000 in Rapid Growth Funds, which appreciate by 6% per year, with yields reinvested…

A: To calculate the future value of the investment the following formula will be used: R is the rate…

Q: Future value (with changing interest rates). Jose has $4,000 to invest for a 5-year period. He is…

A: Using time value of money concept

Q: An investor puts $2,000 into a deposit account with a fixed rate of return of 10% per year. A second…

A: The aggregate investment made by the investor will be considered as portfolio with $2,000 investment…

Q: A client has a $5 million portfolio and invests 5% of it in the money market fund projected to earn…

A: Future value is the accumulated value of a sum of money at a future date. Future value is calculated…

Q: An investor has invested 75% of his assets in a money market fund. Generally, what is the investment…

A: Money market fund: It may be a sort of mutual fund that contributes as it were in profoundly liquid,…

Q: Suppose you invest $2000 into a mutual fund that is expected to earn a rate of return of 11%. The…

A: Investment (PV) = $2000 Rate of return (r) = 11%

Q: Suppose you invest $500 in a mutual fund today and $600 in one year. If the fund pays 8% annually…

A: The future value of the money is an accumulation of money with a certain rate for a particular…

Q: Number of periods: You invest $150 in a mutual fund today that pays 9 percent interest annually. How…

A: Future Value formula used: FV= PV(1+r)^n FV= future value = 300 (amount double = 150*2) PV= present…

Q: You invest $10,000 in Rapid Growth Funds, which appreciate by 1% per year, with yields reinvested…

A: In this question one has to find the future value of the project or account.

Q: You are a financial adviser. Your client is thinking of investing $800.00 at the end of every six…

A: This is the question of future value of annuity. Future value of annuity is the stream of recurring…

Q: You have $5,000 to invest for the next year and are considering three alternatives:a. A money market…

A: We can explain the role that our forecast of future interest would play in our decisions as follows:

Q: You have OMR 12,000 in cash. You can deposit it today in a mutual fund earning 8.2 percent…

A: We have to calculate future value at end of 10 years of both options and find which give more value.

Q: If Joe has $1,000 and invests it into a mutual fund that returns 10%, what willI be his Future Value…

A: Future value = Present value*(1+rate)^no of years

Q: If we were to invest $10,000 in an S&P 500 index fund, pay 0.2% annual fees,and add $100 a month…

A: Computation:

Q: Larry James is planning to invest $25,400 today in a mutual fund that will provide a return of 0.10…

A: We need to find the future value of investment of Mr.Larry James. Future value is the amount reccive…

Q: Robert Williams is planning to invest $30,000 today in a mutual fund that will provide a return of 8…

A: Future Value  = Present Value * (1+rate)^n Where, rate =8% n = no. of years i.e. 10

Q: You have invested P100,000 in a mutual fund that promises to pay 8% each year. You will keep this…

A: Mutual funds are the investment vehicles where a manager collects capital from multiple investors…

Q: How much must you invest at 12% interest, compounding quarterly, in order to see your investment…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Larry James is planning to invest $25,500 today in a mutual fund that will provide a return of 0.08…

A: Future Worth is value of current amount at future point of time. It is computed by compounding that…

Q: 2. Suppose you invest $1,800 in a mutual fund today and $2,000 in one year. If the fund pays 5%…

A: Future Value is the value of current investments at a certain future date at the assumed…

Q: 2. You invest $12,000 a year in to a retirement fund starting at age 25 and continue to do so until…

A: As you have asked a question with multiple parts, we will solve the first 3 parts as per Bartleby…

Q: You have just invested a one -time amount of $4,000 in a stock -based mutual fund. This fund should…

A: Investment = $ 4000 Annual return = 6% Investment period = 28 Years

Q: Eric is evaluating a growing perpetuity investment from a large financial service firm. The…

A: The present value (PV) of a growing perpetuity  PV = PMT1 / (r - g) R = rate, G = growth and PMT1 =…

Q: You have just invested a one-time amount of $5,000 in a stock-based mutual fund. This fund should…

A: Given Information, Amount Invested = $5,000 Interest rate =9% Time Period =35 years  To Find:…

Q: An investor plans to invest $500 a year and expects to get a 10.5% return. If the investor makes…

A: Formula to be used,   PV = P[1-(1+r)^-n]/r where, PV=Present value P=Principal amount r=Rate of…

Q: Marcus would like to save up $3 million for his retirement. He has chosen a stock index fund that…

A: Accumulated amount needed = $3 million r = 7.2% per annum = 0.6% per month n = 40 years = 480 months…

Q: You would like to have $300,000 saving to retire in 25 years and considering an investment strategy…

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

Q: :Sidir steinəl What is the present value of your end-of-year investment of $1,000 per year, with the…

A: The present value of the annuity is the current worth of a cash flow series at a certain rate of…

Q: Find the required value for each problem. Show the formula used and the counts for each problem. 1.…

A: Because you have psoted multiple questions, we will answer the first question only, for the…

Q: if you invested $3,580 in a mutual fund and 14 years later it's worth $9,247, what annual rate of…

A: The future value is the amount that will be received at the end of a certain period. In simple…

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: million. The investor is planning on investing in this mutual fund for 20 years. calculate the…

A: Information Provided: Total assets = $508 million Expense ratio = 1.32% Fund charges (back end fee)…

Q: Chuck Tomkovick is planning to invest $25,000 today in a mutual fund that will provide return of 8%…

A: INTEREST RATE (RETURNS) 8% YEARS 10 PRESENT VALUE $25,000 PMT 0

Q: If you invest P5,000 in a mutual fund extending a total annual return of 8% and you re-invest the…

A: Investment = 5000 Annual Return = 8% Time Period = 5 years

Q: You are evaluating a growing perpetuity investment from a large financial services firm. The…

A: Present value shows the value of the investment in the present time.

Q: Value of investment after 10 years   $ _______________

A: Investment refers to the allocation of the money in order to earn benefit over the money invested.

Q: 3. If you invest P5,000 in a mutual fund extending a total annual return of 8% and you re-invest the…

A: Investment = 5000 Return % = 8% Time Period = 5 years

Q: present

A: Formula to calculate present value of growing perpetuity  Payment for the first year/Discount rate -…

Q: You are on employee that earn Php. 20,000 per month. Assuming that you want to invest half of the…

A: Monthly earning = Php. 20,000 Monthly investment (P) = 20,000/2 = Php. 10,000 Interest rate = 6%…

Q: The amount of money will he have in 10 years is_________?

A: A future value is the value of an investment done at present, on which interest accumulates and…

Q: You would like to have $300,000 saving to retire in 25 years and considering an investment strategy…

A: "Hi there, thanks for posting the questions. But as per our Q&A guidelines, we must answer the…

Q: You plan to invest $1,000 per year in a diversified investment fund that you expect will earn a rate…

A: Annual investment (P) = $ 1000 Annual interest rate (r) = 8% Number of annual deposits (n) = 10

Q: If you invest P5,000 in a mutual fund with a total annual return (interest rate) of 8% and you…

A: Amount invested(PV) is P 5,000 Interest rate(rate) is 8% Time period is 5 year. To Find: Value of…

Q: 4. Jacob invests $2500 a year in a mutual fund for 15 years. If the market value of the fund…

A: Annual investment (P) = $ 2500 Period (n) = 15 Years Interest rate (r) = 5%

Q: You make single investment of $500 in mutual fund earning 8% annual interest which is compounded…

A: Future Value: It is the  worth of an investment  or resource on a particular date from here on out,…

Q: Question 1 Abu-Zoher invest 25,000S in a stock-based mutual fund. This fund should earn (on average)…

A: Principal amount invested now will become certain amount after certain period of time at specific…

Q: Select the correct answer. You invest in a fund and it is expected to generate S3,000 per year for…

A: The following information has been provided in the question: Future value = $3000 per year Time = 5…

Q: You have OMR 12,000 in cash. You can deposit it today in a mutual fund earning 8.2 percent…

A: When the amount is invested with some interest rate over the period of time to get amount…