uan invested $21,000 in a mutual fund 6 yr ago. Today his investment is worth $36,002. Find the effective annual rate of return on his investment over the 6-yr period. (Round your answer to two decimal places.)

Q: On January 1, 1988, Antonio invests $9,300 in an investment fund. On January 1, 1989 his balance is…

A: The time weighted return for an investment period needs to be shown as a function of the balance.

Q: 4. Kelly deposited $10,500 into a fund at the beginning of every quarter for 13 years. He then…

A: Compound Interest is method of computing interest where compounding is done. Compounding refers to…

Q: Shah Rukh invested RM5 000 in an investment fund for three years. At the end of the investment…

A: Simple interest is the amount of interest which is incurred or earned over the period of time. Under…

Q: Jacqueline invested $51,400 in a mutual fund at 3.2% compounded monthly. After two years the…

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

Q: John freeman is investing $8,592 at the end of each year in a fund that earns 3% interest. in how…

A: Amount invested in investment gives interest. After the maturity of investment, amount invested and…

Q: what is the future value of his investment cash flows at the end of three years? (Round to two…

A: Future value means the value of the assets at a specified time in future. It is very important for…

Q: Seventeen (17) years ago, you deposited $25,500 into an investment fund. Five years ago, you added…

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

Q: Chuck Brown will receive from his investment cash flows of $3,165, $3,460, and $3,810 at the end of…

A: Future value is the expected value of current worth in a future date at a given rate of return.

Q: Juan invested an amount of $16,000.00 in a mutual fund. After 3 years and 6 months the accumulated…

A: Invested Amount  $                          16,000.00 Future Value  $…

Q: Mary Stahely invested $ 2500 in a 48-month certificate of deposit (CD) that earned 8.5% annual…

A: Simple Interest is calculated by multiplying the interest rate by the principal by the time period.…

Q: At age 28 you invest P 25,000 into a mutual fund. If the fund averages a 7% annual return, your…

A: Using an appropriate discount rate or CVF, compounding is a strategy for calculating the future…

Q: Alan invests a total of ​$14,500 in three different ways. He invests one part in a mutual fund which…

A: The question is based on the concept of Financial Management.

Q: A new engineer is considering investing in an individual retirement account (IRA) with a mutual fund…

A: Annuity refers to the fixed periodic payments made at equal intervals. There are two types of…

Q: Robert invested the profit of his business in an investment fund that was earning 3.25% compounded…

A: Interest rate = 3.25% Semi annual interest rate = [1+(0.0325/12)]6-1…

Q: Sarah deposited $26,500 into a fund at the beginning of every quarter for 16 years. He then stopped…

A: Compound interest= p*(1+r%/n)^tn A.)  Around $358903 stacked up at the end of 16th year.

Q: Austin invested $22,500 in a mutual fund at 4.6% compounded annually. After 4 years, the interest…

A: The future value function or concept can be used to determine the future value of a present sum or…

Q: Thomas Finley wishes to become a millionaire. His money market fund has a balance of $183,204 and…

A: A money market fund is mutual fund that invests in liquid financial instruments. These instruments…

Q: The annual returns on Jose's three investments amounted to $21,600: 6% on a savings account, 8% on…

A: Let the investment amount in savings account be A  Therefore, investment in bonds = 2A Investment in…

Q: 2. At the end of each year, an investor deposits some money into a fund earning 7% interest. The…

A: When the certain amount of money is deposited at the regular interval over a period of time at a…

Q: You purchase 100 shares of a no-load mutual fund for $100 per share and sold the shares for $120 per…

A: Percentage return on the investment is the rate of return on the investment. Following is the…

Q: Susan Myer had invested $2500 in an ABC bank Certificate of Deposit when she inherited trust funds…

A: Calculation of Compound Interest Rate per monthly   Formula  r = n[(A/P)1/nt-1] Where r = Annual…

Q: Your brother invested RM5,000 twenty years ago with an insurance company that paid him 5 percent…

A: Investment = RM 5,000 Time Period = 20 Years Interest Rate = 5%

Q: Juan Garza invested $20,000 10 years ago at 12 percent, compounded quarterly. How much has he…

A: Future value = Amount invested *(1+rate/n)N*no of years  where n is no of compounding periods

Q: Bob has saved a total of ₱2,550,000.00 for retirement. He put the money in a mutual fund which pays…

A: We need to use annuity formula given below to calculate size of monthly withdrawal PMT…

Q: An investor states, “I bought this stock for $50 several years ago and it now sells for $100. It…

A: The investor is calculating the rate of return by dividing the dividend by the purchase price of the…

Q: Juan Garza invested $121,000 10 years ago at 8%, compounded quarterly. How much has he accumulated?…

A: Amount invested 10 years ago = $121000 Years =10 Interest Rate = 8% Interest Rate quarterly(r)…

Q: Pamela is also a saver. She sets aside $100 per month during her 40 year career. She invests in the…

A: Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first…

Q: Imagine that Homer Simpson actually invested the ​$160,000 he earned providing Mr. Burns…

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

Q: Brian opened an RRSP account and deposited $3,300 into it. He then deposited $800 at the end of the…

A:

Q: Your friend, Kitty Kardashian, of Hidden Hills, CA, bought $5,000 worth of mutual funds with a…

A: Redemption fee = worth of mutual fund x redemption fee%

Q: Franco plans to invest P1,500 in a mutual fund. If he earns 12% interest compounded monthly, to what…

A: Future value of annuity is referred as the value of group, which used to recur the payment in the…

Q: Chris Freeman is investing $9,704 at the end of each year in a fund that earns 5% interest. In how…

A: The amount is invested at the end of each year so it is ordinary annity

Q: Bruno deposited $7,500 into an investment account and seven years later, the balance in the account…

A: The rate of return earned on the account can be computed by using the concept of time value of money

Q: The AMD investment company has advertised a new Mutual Fund that has advertised to pay 10 %…

A: Actual Rate: It is the return (gain or loss) made on an investment or portfolio of an investor.…

Q: Suppose that at the beginning of Year 1 you invested $10,000 in the Stivers mutual fund and $5,000…

A: When all the sum of the observations is divided by its observations is referred to as Mean or…

Q: Alan invests a total of ​$11,000 in three different ways. He invests one part in a mutual fund which…

A: Let investment in the bank = y Investment in mutual fund = 2y Investment in government bond = 11,000…

Q: Mary Stahley invested $3500 in a 48-month certificate of deposit (CD) that earned 9.5% annual simple…

A: Solution Concept Simple interest is calculated on the beginning principle and no interest is charged…

Q: Ben invested P5000 in a fund at the beginning of every month for five years. The fund earning an…

A: Monthly investment (P) = P 5000 Period = 5 Years Number of monthly payments (N) = 5*12 = 60 Annual…

Q: James invested the profit of his business in an investment fund that was earning 2.25% compounded…

A: The return of 2.25% generated from investment fund is compounding whereas withdrawals are made after…

Q: Trey invested $27,700 in a mutual fund at 4.1% compounded quarterly. After 2 years, the interest…

A: The company uses the futures value method for the purpose of calculating the value that is going to…

Q: Forty years ago, you began investing $2,000 a year. Because your investments earned an average of 2…

A: Investment made= $2000 a year Investment made in 40 years time = $2000 a year * 40  I

Q: Mary Stahley invested $2500 in a 48-month certificate of deposit (CD) that earned 9.5% annual simple…

A: Calculating the total value of investment by annual simple interest on certificate of deposit. We…

Q: Jeffrey invested the profit of his business in an investment fund that was earning 3.50% compounded…

A: FV = 0 N = 7*2 PMT = 5000 rate = (1 + 3.50%/12)^6 - 1 = 1.7628% use PV function in Excel