Customer Service Chat
Get quote & make Payment
homework, Financial Management
1. Suppose you deposit $18,000 into an account today that earns 6% interest per year, and you do not withdraw the money for 21 years. What will be the balance in the account 21 years from today?
2. Suppose for graduation, you receive a large present,Ê$10,000. You decide to put this in a mutual fund today, on your 20th birthday and withdraw it on your 65th birthday. If the average return of your portfolio is 12%, how much will be in your account at retirement?
3. Imagine that instead of depositing that $10,000 into a mutual fund, you deposited it into a savings account at your local bank, which offers a 1% annual interest rate. How much would you have at retirement under this condition?
4. An investment promises you a single cash flow of $40,000 25 years from today. If the annual discount rate is 4%, what is the investment worth today?
5. Suppose I offer you money. I will give you either $200 today, or $5,000 twenty years from today. If the discount rate over the next 20 years is 9%, which should you choose? Why?
Posted Date: 7/5/2012 3:16:48 PM | Location : United States
Ask an Expert
homework, Assignment Help, Ask Question on homework, Get Answer, Expert's Help, homework Discussions
Write discussion on homework
Your posts are moderated
Write your message here..
Explain significance of the additional funds needed (afn), Explain the sign...
Explain the significance of the term additional funds needed. While the pro forma balance sheet is completed, total assets and total liabilities and equity will hardly match.
What is maturity, Q. What is Maturity? Maturity: The maturity period of...
Q. What is Maturity? Maturity: The maturity period of the securities should be short, otherwise, the company might suffer losses on account of getting the funds pre-maturely re
Total revenue change, Write an essay explaining that the quantities of good...
Write an essay explaining that the quantities of goods and services that we can produce are limited by both our available resources and by technology. Assume we want to increase
Traditional approach to valuation, Under this approach of Valuation, ...
Under this approach of Valuation, all cash flows are discounted using single interest rate (discount rate). For example: Consider the 5-year (7.00 percent) Treas
Basic assumptions of cost of capital, Basic Assumptions of Cost of Capital ...
Basic Assumptions of Cost of Capital The Cost of Capital is a dynamic concept affected by a multiplicity of economic and firm factors and assumes the following assumptions rela
Working of financial services authority, Working of FSA The FSA Board ...
Working of FSA The FSA Board is responsible for the management of FSA. It is appointed by the Treasury. It consists of a chairman, a chief executive officer, three managing dir
State the meaning ofunlimited profit sharing, State the meaning ofUnlimited...
State the meaning ofUnlimited profit sharing Unlimited profit sharing means that equity shares have an unlimited potential for dividend payments and price appreciation. Which i
Explain the term- interest cover, Explain the term- Interest cover Int...
Explain the term- Interest cover Interest cover =Profit before interest and tax (PBIT)/ Interest payable(no. of times) Interest cover represents the safety of earnings tha
Define long position in future contract and options contract, What is the m...
What is the major difference in the obligation of one with a long position in a futures (or forward) contract in comparison to an options contract? Answer: A futures or forward c
Cash budget, stauffer , inc., has estimated sale and purchase requirments f...
stauffer , inc., has estimated sale and purchase requirments for the last half of coming year. parepare cash budget for the month of
Accounting Assignment Help
Economics Assignment Help
Finance Assignment Help
Statistics Assignment Help
Physics Assignment Help
Chemistry Assignment Help
Math Assignment Help
Biology Assignment Help
English Assignment Help
Management Assignment Help
Engineering Assignment Help
Programming Assignment Help
Computer Science Assignment Help
Why Us ?
~24x7 hrs Support
~Quality of Work
~Time on Delivery
~Privacy of Work
Human Resource Management
Literature Review Writing Help
Follow Us |
T & C
Copyright by ExpertsMind IT Educational Pvt. Ltd.