You purchased a house for 850,000 cash 4 years ago. You can sell it today for 980,000. What rate of return did you earn on this investement? Round your answer to the nearest tenth of a percent.

Q: If you borrowed $200,000 to buy a house at 6% interest per year, compounded annually, and paid back…

A: Given information: Loan = $200,000 Number of years = 30 Compound interest rate = 6% compounded…

Q: If you invest $10,000 on the last day of each year for five years at 4% how much money will you have…

A: Following details are given in the question : Present value = 0 Investment at every year end =…

Q: You want to be a millionaire when you retire in 40 years. How much do you have to save each month…

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

Q: You just paid $351, 000 for a policy that will pay you and your heirs $12, 300 a year forever. What…

A: In this question we require to compute the rate of return from below details : Price paid for policy…

Q: You always dream to be a millionaire in your entire life and you have only $5,000 to invest  now.…

A: Solution:- We know when an amount is invested, it earns interest. The amount initially deposited is…

Q: You have decided that you want to be a millionaire when you retire in 44 years. How much do you…

A: Present value is the value of investment of today in order to gain an amount at a future date.

Q: Tim purchased a bounce house one year ago for $6,500. During the year it generated $4,000 in cash…

A: Given details are : Purchase price of house = $6500 Cash flow during the year form the house = $4000…

Q: You decide to buy a house costing $6,000,000.  You pay $1,000,000 down, and the remainder will be…

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

Q: Suppose Kay inherits $250,000, which she invests today at a rate of return of 9 percent compounded…

A: Future value of any investment is the total of compounded value of the investments made initially…

Q: suppose that 10 years ago you bought a home for $150,000, paying 10% as a down payment, and…

A: When a buyer buys goods from a seller and is not able to pay the entire amount at the time of…

Q: Mrs. Cruz can buy a piece of property for ₱6,500,000 cash or ₱4,000,000 down payment and ₱4,200,000…

A: Given information: Purchase a property with cash of ₱6,500,000 or Down payment of ₱4,000,000 and…

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: is this a good investment for you?

A: The amount of money is not the only factor taken into account when discussing finances. When we must…

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

A: As per the time value of money, a dollar is worth more today than the same dollar in the future.…

Q: You’ve decided that you want to retire early. Specifically, you want to have $1,000,000 in your…

A: In compound interest, the interest is added to the principal and we earn more interest in the next…

Q: Jamil invested $9,500 in an account he expects will earn 5% annually. Approximately how many years…

A: The number of years taken is calculated using the log function.

Q: You bought a home for $150,000 and put down 10% and got a mortagage at an interest rate of 4.35% per…

A: We will make use of the PMT function in Microsoft Excel to determine the monthly payment on the…

Q: Frank invested $10,000 at 15% simple interest. How much interest will he earn each year?

A: Under simple interest, interest is calculated on the principal amount only; that is, interest is not…

Q: Suppose you inherited $630,000 and invested it at 8.25% per year. How much could you withdraw at the…

A: An annuity provides regular payment for a certain period of time.

Q: Joe wants to have $10,000 in 10 years after investing in an account that earns 3.6% compounded…

A: Future value required (FV) = $ 10,000 Annual interest rate = 3.6% Monthly interest rate (r) =…

Q: How much should Mr. Cruz invest if it will earn an interest of 8% compounded monthly during the…

A: Present Value: It represents the present worth of the future cash flows and is computed by…

Q: suppose that 10 years ago you bought a home for $150,000, paying 10% as a down payment, and…

A: The computation of down payment as follows: Hence, the down payment is $15,000.

Q: You just inherited $10,000. While you plan to squander some of it away, how much should you deposit…

A: The investments or savings in the account are made with an expectation of increment in its value in…

Q: You plan to buy some undeveloped land that should sell for $126,000 in ten years. What is the most…

A: Given: Future value (FV) =$126000No. of years (n)=10 yearsRate of return /interest (r)=18%

Q: A real estate developer bought land for $170000.00 down and monthly payments of $10550.00 for 10…

A: The loans are paid by monthly equal instalments these carry the payment for the interest and payment…

Q: uppose you buy a home and finance $285,000 at $2,233.17 per month for 30 years. What is the amount…

A: Interest paid = total payment - financed amount

Q: You bought a painting 9 years ago as an investment. You originally paid $163,000 for it. If you sold…

A: EXCEL FORMULA:

Q: You plan to buy some undeveloped land that should sell for $285,000 in seven years. What is the most…

A: In this question we need to calculate the most you can pay for the undeveloped land which has future…

Q: suppose you are planning to buy a home in 8 years from now that costs you 47114 OMR, How much should…

A: Following is the answer to the given question

Q: ou just purchased a parcel of land for $54,000. To earn a 11% annual rate of return on your…

A: FV = PV * (1 + r)^nWhere FV = Future ValuePV = Present Value of Land = $54,000r = rate of interest =…

Q: You just purchased a parcel of land for 10,000. If you expect a 12% annual rate of return on your…

A: The question is to calculate future value of a investment with annual compounding interest rate.…

Q: You plan to buy some undeveloped land that should sell for $180,000 in three years. What is the most…

A: Present Value: The term present value is defined as the current or present day’s value of the amount…

Q: Isabella purchased $20,000 worth of 26-week T-Bills for $19,700. What will be the rate of return on…

A: Initial investment (P) =$19,700 Maturity value(S)=$20,000 since maturity period is 26 week= 26*7=182…

Q: Imagine that Homer Simpson actually invested the ​$180,000 he earned providing Mr. Burns…

A: Given, Amount invested 5 years ago is $180,000 Rate of interest is 10%

Q: Michael has a bank account that is worth $80,550. (a) Find the overall ROR if he had…

A: a) Calculation of the overall rate of return is calculated using the following formula: Compound…

Q: You purchased a piece of property for $30,000 nine years ago and sold it for $83,190. What was the…

A: The annual rate of return refers to the return which shows the total return earned from an…

Q: You have just retired with savings of $4 million. If you expect to live for 34 years and to earn 13%…

A: This is the case of an annuity due. This is because money is being spend at the start of each year.

Q: Suppose you buy a house for $175,000. One year later, the market price of the house has risen to…

A: a) Profit on Investment = Ending price - Beginning price  Profit on Investment = $195,000 - $175,000…

Q: An investment is now worth 46,200.  You bought this investment 15 years ago for $5,000.  What return…

A: investment worth now $46,200 Investment value 15 years ago $5,000     A = P(1+R)^TWhere A…

Q: ed $200,000 and invested it at 6% per year. How much could you withdraw at the end of each of the…

A: The given problem can be solved using PMT function in excel. PMT function computes savings/…

Q: You have recently inherited a sum of $100,000. The current market rate is 5% p.a. and you are…

A: Amount inherited = $100,000 Current Market Rate = 5% Amount expected every year indefinitely = $6000…