you are planning to invest in high risk mutual fund of bank F which will give you 5% interest compounded monthky in 5 years. you target to earn a total future value of 2,000,000, how much should you invest in the mutual fund now>

Q: By the end of this year you would be 35 years old and you want to plan for your retirement. You wish…

A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…

Q: Mr Fancyman has consulted you as a broker. According to him, he wants to invest in a pension fund…

A: using the FV function in excel

Q: You deposit the following at the end of each year into a growth mutual fund that earns 11 percent…

A: Working note:

Q: What are the differences between annuity and PV or FV? 2. You are given two numbers: Smith wants to…

A: Time Value of Money:- A series of payments made at regular intervals is known as an annuity. Regular…

Q: suppose you have $5,000 in a mutual fund in your IRA. Suppose also that you put $4,000 into the…

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

Q: Q16: If you invest the $10,000 you receive at graduation (age 22) in a mutual fund that averages a…

A: Introduction: Investments are generally made by individuals during the present period in order to…

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: 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: After sitting through your QL class, you are struck by the necessity to being investing for…

A: The amount invested monthly will be compounded with interest monthly.

Q: A man is offered two proposals to invest his money. The first offer is to invest $ 20,000 in the…

A: We need to calculate future value of both investments. Higher future value proposal will be chosen…

Q: st inherited some money, and a broker offers to sell you an annuity that pays $16,800 at the end of…

A: Value of annuity is present value of all year end money received over the period of life.

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: ou decide to contribute to a mutual fund that averages 3.6% return per year. If you contribute $600…

A: Formula: Future value of annuity = Annuity amount x [ ( 1 + r )n - 1 ] / r N = Number of years R =…

Q: Five years​ ago, you invested in the Future Investco Mutual Fund by purchasing 1,100shares of the…

A: Solution:- Compound rate of return means the annual rate of return earned. We know, amount at…

Q: Suppose you invest $500 in a mutual fund today and $600 in one year. If the fund pays 9% annually,…

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

Q: . What would you tell her? Round FVA-factor to four decimal places. Round the answer to the nearest…

A: Information Provided: Annual payment = $2000 Term = 23 years Interest rate = 6%

Q: 3. Your client has a 2-year old child whose college education they plan to fund when the child turns…

A: First calculate the lump sum amount needed at the start of college. This lump sum can be calculated…

Q: You put $6,500 into a Roth IRA and invest everything in a corporate bond fund. The fund has an…

A: n=20 r=8.5-1.5=7/100=0.07 Present value=6500

Q: You want to buy a 10-year bond with a maturity value of $2,000, and you wish to get a return of 5.5%…

A: Present value is the value of money today is worth more than that same amount in the future. It is…

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: You want to go to Europe 5 years from now, and you can save $3,800 per year, beginning one year from…

A: Future value of ordinary annuity is calculated when regular payments are made at the end of each…

Q: You want to go to Europe 5 years from now, and you can save RM3,100 per year, beginning one year…

A: Time period is 5 years Payment per year(PMT) is RM3,100  Rate of return is 8.5% per year   To Find:-…

Q: You plan to invest in bonds that pay 6.0%, compounded annually. If you invest $10,000 today, how…

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

Q: Suppose you retire with $1million at age of 65. You plan to invest your retirement into a mixture…

A: Calculations are done in excel: Return on Risk fund is calculated using random x values to simulate…

Q: Carl invests $10000, partly in a secure GIC (Guaranteed Investment Certificate) at 5% and the rest…

A: Both investment options have different interest rates but if investor expects to get same interest…

Q: By the end of this year you would be 35 years old and you want to plan for your retirement. You wish…

A: Retirement account interest = 7% Period of retirement account = 30 years Annual coupon = 6% Annuity…

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: Computing the Future Value of a Single Amount Evans invested $100,000 today in a mutual fund…

A: The mathematical equation for the concept is:

Q: growth fund who’s annual rate of return average is 13%. Five years later, you transfer all…

A: in this you have to find out future value of fund and than all amount investment in IRA FUND.

Q: oday, you invest a lump sum amount in an equity fund that provides an 12% annual return. You would…

A: The question is based on the concept of calculation of present  value with compounding effect of…

Q: 3. Your client has a 2-year old child whose college education they plan to fund when the child turns…

A: Calculation of Lump Sum Payment and Monthly Payments:The lump sum payment is $746,005.43 and monthly…

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: Carl invests $10000, partly in a secure GIC at 5% interest per year and the rest in a mutual fund…

A: Given, The amount of investment is $10,000 Interest rate in GIC is 5% Interest rate of MF is 7.5%

Q: You want to go to Europe 5 years from now, and you can save $3,100 per year, beginning one year from…

A: Annual deposit (P) = 3100 Interest rate (r) = 15.87% Number of annual payments (n) = 5

Q: You have a chance to buy an annuity that pays RM1,000 at the beginning of each year for 5 years. You…

A: The payment required to be made for the investment can be calculated with the help of present value…

Q: as the Fund manager for bank of Trinidad and Tobago Limited, you are to advise the following two…

A: 2,a) Given: The financial situations of the bank Trinidad and Tobacco are given.

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

A: Mutual fund is simply a scheme whose bussiness is to take money from the retail investors and make a…

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: 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: 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: Your younger brother is very concerned about investment performance, but he is willing to tolerate…

A: Future Value: The value of a current asset, depending on the expected growth rate, at a future date,…

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: Suppose you inherit $100,000 at age 25 and immediately invested in a growth fund who’s annual rate…

A: A study that proves that the future worth of the money is lower than its current value due to…

Q: By the end of this year you would be 35 years old and you want to plan for your retirement. You wish…

A: Annuity is the number of payments of an equal amount and is made at an equal interval of time. At…

Q: By the end of this year you would be 35 years old and you want to plan for your retirement. You wish…

A: Retirement account is the account in which deposits are made by the individual during the years of…

Q: You received $2,500 at your graduation party and have decided to invest it in a stock index fund…

A:

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: 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…