The following table shows the average returns for some of the largest mutual funds commonly found in retirement plans. (Assume end-of-month depositsand withdrawals and monthly compounding, and assume that the quoted rate of return continues indefinitely.)FidelityGrowthCompanyVanguardVanguard500 IndexMutualPIMCOTotal BondFundTotal ReturnMarket IndexRate of15.83%13.25%3.77%3.67%ReturnТуреStock fundStock fundBond fundBond fundHow much would be accumulated after 30 years in a retirement account invested entirely in the Fidelity stock fund with payments of $300 per month? HINT[See Quick Example 1.] (Round your answer to the nearest cent.)$

The future value of an annuity is the total value of annuity payments at a certain point in the…

The following table shows the average returns for some of the largest mutual funds commonly found in retirement plans. (Assume end-of-month deposits and withdrawals and monthly compounding, and assume that the quoted rate of return continues indefinitely.) Fidelity Growth Vanguard Total Bond Mutual PIMCO Vanguard 500 Index Fund Total Return Company Market Index Rate of 15.83% 13.25% 3.77% 3.67% Return Туре Stock fund Stock fund Bond fund Bond fund How much would be accumulated after 30 years in a retirement account invested entirely in the Fidelity stock fund with payments of $300 per month? HINT [See Quick Example 1.] (Round your answer to the nearest cent.)

The following table shows the average returns for some of the largest mutual funds commonly found in retirement plans. (Assume end-of-month deposits and withdrawals and monthly compounding, and assume that the quoted rate of return continues indefinitely.) Fidelity Growth Vanguard Total Bond Mutual PIMCO Vanguard 500 Index Fund Total Return Company Market Index Rate of 15.83% 13.25% 3.77% 3.67% Return Туре Stock fund Stock fund Bond fund Bond fund How much would be accumulated after 30 years in a retirement account invested entirely in the Fidelity stock fund with payments of $300 per month? HINT [See Quick Example 1.] (Round your answer to the nearest cent.)

Essentials of Business Analytics (MindTap Course List)

2nd Edition

ISBN:9781305627734

Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Chapter2: Descriptive Statistics

Section: Chapter Questions

Problem 17P: Suppose that you initially invested 10,000 in the Stivers mutual fund and 5,000 in the Trippi mutual...

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The following table shows the average returns for some of the largest mutual funds commonly found in retirement plans. (Assume end-of-month deposits and withdrawals and monthly compounding, and assume that the quoted rate of return continues indefinitely.) MutualFund FidelityGrowthCompany Vanguard500 Index PIMCOTotal Return VanguardTotal BondMarket Index Rate ofReturn 14.83% 14.25% 3.77% 3.67% Type Stock fund Stock fund Bond fund Bond fund How much should you pay each month into a retirement account invested in the Vanguard bond fund if you wish to retire in 25 years with an investment valued at one million dollars? HINT [See Quick Example 2.] (Round your answer to the nearest cent.)
The following table shows the average returns for some of the largest mutual funds commonly found in retirement plans. (Assume end-of-month deposits and withdrawals and monthly compounding, and assume that the quoted rate of return continues indefinitely.) MutualFund FidelityGrowthCompany Vanguard500 Index PIMCOTotal Return VanguardTotal BondMarket Index Rate ofReturn 15.83% 14.25% 3.77% 3.67% Type Stock fund Stock fund Bond fund Bond fund For the past 25 years, you have been depositing $500 per month in the PIMCO bond fund, and you have now transferred your current balance to the Vanguard bond fund, where you plan to continue depositing $500 per month until you retire in 30 years. How much can you anticipate having in the investment when you retire? HINT [See Example 1.] (Round your answer to the nearest cent.)
The following table shows the average returns for some of the largest mutual funds commonly found in retirement plans. (Assume end-of-month deposits and withdrawals and monthly compounding, and assume that the quoted rate of return continues indefinitely.) MutualFund Fidelity Growth Company Vanguard 500 Index PIMCO Total Return Vanguard Total Bond Market Index Rate ofReturn 14.83% 14.25% 3.77% 3.67% Type Stock fund Stock fund Bond fund Bond fund How much should you pay each month into a retirement account invested in the Vanguard bond fund if you wish to retire in 25 years with an investment valued at one million dollars? (Round your answer to the nearest cent.)
The following table shows the average returns for some of the largest mutual funds commonly found in retirement plans. (Assume end-of-month deposits and withdrawals and monthly compounding, and assume that the quoted rate of return continues indefinitely.) MutualFund FidelityGrowthCompany Vanguard500 Index PIMCOTotal Return VanguardTotal BondMarket Index Rate ofReturn 14.83% 14.25% 2.77% 2.67% Type Stock fund Stock fund Bond fund Bond fund How much would be accumulated after 35 years in a retirement account invested entirely in the Vanguard stock fund with payments of $340 per month? HINT [See Quick Example 1.] (Round your answer to the nearest cent.)
The following table shows the average returns for some of the largest mutual funds commonly found in retirement plans. (Assume end-of-month deposits and withdrawals and monthly compounding, and assume that the quoted rate of return continues indefinitely.) Mutual Fund Fidelity Growth Company Vanguard 500 Index PIMCO Total Return Vanguard Total Bond Market Index Rate of Return 14.83% 14.25% 3.77% 2.67% Type Stock fund Stock fund Bond fund Bond fund How much should you pay each month into a retirement account invested in the Vanguard bond fund if you wish to retire in 25 years with an investment valued at two million dollars? HINT (See Quick Example 2.] (Round your answer to the nearest cent.)
The following table shows the average returns for some of the largest mutual funds commonly found in retirement plans. (Assume end-of-month deposits and withdrawals and monthly compounding, and assume that the quoted rate of return continues indefinitely.) MutualFund FidelityGrowthCompany Vanguard500 Index PIMCOTotal Return VanguardTotal BondMarket Index Rate ofReturn 14.83% 13.25% 2.77% 2.67% Type Stock fund Stock fund Bond fund Bond fund For the past 15 years you have been depositing $600 per month in the PIMCO bond fund, and you have now transferred your current balance to the Vanguard bond fund, where you plan to continue depositing $600 per month until you retire in 20 years. How much can you anticipate having in the investment when you retire?
An investor wants to select one of the following mutual funds for the coming year. Data showing the percentage annual return for each fund during five typical one-year periods are shown below. The assumption is that one of these five year periods will occur again during the coming year. Thus A, B, C, D and E are states of nature for the mutual fund decision. Outcomes Mutual Fund Year A Year B Year C Year D Year E Large Cap Stock 25.3 30.0 48.3 22.4 -19.8 Mid-Cap Stock 35.9 21.6 -9.9 62.3 -20.1 Small-Cap Stock 40.5 29.4 16.0 13.8 6.1 Energy Sector 35.4 23.2 -19.5 31.4 -12.2 Health Sector 49.1 5.5 89.5 70.4 -20.5 Tech Sector 46.2 37.2 46.9 40.5 -16.2 Real Estate Sector 18.9 35.0 -20.0 24.6 13.2 a) Assume the investor is conservative, what is the recommended fund?…
Suppose that you initially invested $10,000 in the Stivers mutual fund and $5,000 in theTrippi mutual fund. The value of each investment at the end of each subsequent year isprovided in the table:Year Stivers ($) Trippi ($)1 11,000 5,6002 12,000 6,3003 13,000 6,9004 14,000 7,6005 15,000 8,5006 16,000 9,2007 17,000 9,9008 18,000 10,600Which of the two mutual funds performed better over this time period?
"The following table gives the rate of return for a certain mutual fund from 2010 to 2014: Year Rate of Return 2010 -5.9% 2011 11.4% 2012 1.4% 2013 12.7% 2014 6.5% Compute the overall rate of return during this period. Round your answer to the nearest tenth of a percent."
An investor wants to select one of the six mutual funds for the coming year. Data showing the percentage annual return for each fund during five typical one year periods are shown here (hence five outcomes): Outcomes Year A Year B Year C Year D Year E Mutual Fund 38.5 24.0 29.6 11.2 -12.1 Large Cap 34.6 25.9 -0.7 51.2 -23.7 Mid Cap 22.4 26.7 4.8 36.9 7.4 Small Cap 48.7 3.5 30.6 78.9 -34.5 Health Sector 26.5 41.9 -30.1 22.2 16.7 Tech Sector 47.8 38.2 2.2 -16.8 95.4 a) Assume the investor is conservative, what is the recommended fund? What are the maximum and minimum returns of your decision? b) Suppose we were given the probabilities of 0.1, 0.2, 0.2, 0.1, and 0.4. Using the expected value table what is the recommended mutual fund? What is the expected return? c) What is the EMV for the fund in part A? How much of an increase can be obtained by following the…
An investor wants to select one of the six mutual funds for the coming year. Data showing the percentage annual return for each fund during five typical one year periods are shown here (hence five outcomes): Outcomes Year A Year B Year C Year D Year E Mutual Fund 38.5 24.0 29.6 11.2 -12.1 Large Cap 34.6 25.9 -0.7 51.2 -23.7 Mid Cap 22.4 26.7 4.8 36.9 7.4 Small Cap 48.7 3.5 30.6 78.9 -34.5 Health Sector 26.5 41.9 -30.1 22.2 16.7 Tech Sector 47.8 38.2 2.2 -16.8 95.4 a) Assume the investor is conservative, what is the recommended fund? What are the maximum and minimum returns of your decision? b) Suppose we were given the probabilities of 0.1, 0.2, 0.2, 0.1, and 0.4. Using the expected value table what is the recommended mutual fund? What is the expected return? c) What is the EMV for the fund in part A? How much of an increase can be obtained by following the…
An investor buys Go-Go Mutual Fund on January 1 at a net asset value of GHS21.20. At the end of the year, the price is GHS25.40. Also, the investor receives GHS0.50 in dividends and GHS0.35 in capital gains distributions. What is the total percent return on the beginning net asset value?