Q: an investor paid$58000 for an investment. he will get$5780,for every 2 years(forever). what is his…
A: 5780= [58000×{(1+r)^no. of years)}]-58000 5780= [58000×{(1+r)}]-58000 [{(5780+58000)÷58000}-1]÷2…
Q: You will invest $31 per month. If the rate is 8.07%, how much will you have in 6 years?
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A: The acronym IRR stands for internal rate of return. It shows the actual return wherein the present…
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A: RETURN 9%/12 0.75% NPER (n) 36 PMT 0 FUTURE VALUE 12000 Return= Rate
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A: The amount you pay for the property = Perpetual Income / Required Rate of Return
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A: Using excel PMT & FV Function
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A: PMT is calculated as: Note: Let principal amount be $1,000
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A: Given: Present value $100 Years 5 Annual rate 10%
Q: what annual interest rate must you get if you need $7000 in 4 years and have $5000 to invest now
A: Invest = $ 5000 Future value = $ 7000 Period = 4 Years
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A: INVESTMENT RETURNS
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A: Maturity amount (MV) = $10,000 Interest rate (r) = 7% Period (m) = 18 months
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Q: will increase in value at a rate of 4% per year. If your expectations are correct, how much will…
A: Future value: It is the future worth of the investment growing at a particular rate of interest.…
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A: The question gives the following information:
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A: Given Information : Amount Required = $29,753 Number of years = 7 Annual interest rate = 9.57%
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What would be the annual average return for an investor that is requiring 4.5X after 3.5 years?
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- a) If you invest $5 and will receive $8 next year, what is your simple return? b) If you invest $5 and will receive $8 next year, what is your holding rate of return for each month? What is average monthly rate of return?Suppose an investor wants to have $5 million to retire in 25 years from now. How much would she have to invest today with an annual rate of return equal to 15%?How much must I start investing now, per month, to have $1M in 25 years? The bank pays an APR of 12%. What is the present worth of this investment?
- An investor has a principal amount of $P. If he desires a payout (return) of 0.1P each year, how many years will it take to deplete an account that earns 8% per year? 0.1P = P(A/P, 8%,N), so N ∼=21 years. A payout duration table can be constructed for select payout percentages and compound interest rates. Complete the following table. (Note: table entries are years.) Summarize your conclusions about the pattern observed in the shown table.If a person saves $62 a month by using coupons and doing comparison shopping, (a) what is the amount for a year? (b) What would be the future value of this annual amount over 10 years, assuming an interest rate of 4 percent?Suppose you save $2,800 ayear for 43 years into an investment account that earns 8.5% return, how much will you have at the end of the periods? Formula? Excel Function?
- Suppose you are offered an investment opportunity that will pay $2,500 in five years if you invest $2,000 today. What is the implied rate of return? A) 4.56% B) 4.00% C) 5.00% D) 3.62% E)25.00%You are going to invest $6829 in 1 years and $7200 in 4 years. If you expect to earn a return of 9.51%, how much will you have in 11 years? Answer:how much should you invest now in a single investment if you expect to withdraw $45,000 in 9 years given a 10% return compounded annually?
- Consider an investment that offers $4,000, $5,000 and $6,000 in the next 3 years, with the first payment occurring one year from now. The required return is 7%. What is the present value of this investment?You are considering the purchase of real estate that will provide perpetual income that should average $70,000 per year. How much will you pay for the property if you believe it's market risk is the same as the market portfolio's? The T-bill rate is 5% and the expected market return is 8.0%.If you pay $500 for an investment that returns $600 in 1 year, whatis your annual rate of return? (20%)