Computing the annual interest rate

Assignment Help Finance Basics
Reference no: EM131069980

Your parents will retire in 15 years.They currently have $400,000, and they think they will need $2,450,000 at retirement. What annual interest rate must they earn to reach their goal, assuming they don't save any additional funds?

Reference no: EM131069980

Questions Cloud

Convert the yields to weekly numbers : Convert the yields to weekly numbers. Use these as a proxy for the risk free rate).The treasuey bill that i needed is from 2015~2016 most recent rate. Please help me to fine those data asap.
Why do you think they were behaving in that manner : What did you see people doing at each location - Why do you think they were behaving in that manner? Who do you think was their intended audience?
Convertible bond provision-subordinate debt : Examine whether or not each provision listed will make the bonds more or less desirable as an investment: Call provision, convertible bond provision, subordinate debt.
Why would an employer elect to use personality profiles : Based on your knowledge of the major personality theories, why would an employer elect to use personality profiles in the interviewing process?
Computing the annual interest rate : Your parents will retire in 15 years.They currently have $400,000, and they think they will need $2,450,000 at retirement. What annual interest rate must they earn to reach their goal, assuming they don't save any additional funds?
Determining the brokerage account : You have $20,060.31 in a brokerage account, and you plan to deposit an additional $5,000 at the end of every future year until your account totals $260,000. You expect to earn 12% annually on the account. How many years will it take to reach your ..
What are the firm roe and roic : Its notes payable equals $23,000, long-term debt equals $75,000, and common equity equals $240,000. The firm finances with only debt and common equity, so it has no preferred stock. What are the firm's ROE and ROIC?
What is its roe : A firm has a profit margin of 5.5% and an equity multiplier of 1.8. Its sales are $260 million, and it has total assets of $130 million. What is its ROE?
Explain cognitive and psychosocial development : How theories of development explain cognitive and psychosocial development. Find at least two scholarly or professional articles to use in this assignment.

Reviews

Write a Review

Finance Basics Questions & Answers

  Calculate the cost of equity using the dcf method

Berta Industries stock has a beta of 1.30. The company just paid a dividend of $0.30, and the dividends are expected to grow at 4 percent. The expected return on the market is 13 percent, and Treasury bills are yielding 4.8 percent. The most recen..

  What should be the hedge ratio?

What should be the hedge ratio?

  What is the bond yield to maturity

A. What is the bond's yield to maturity? B. What is the bond's current yield (Hint:  Look in the book!)?

  How does regulation lead to innovation in financial markets

How does regulation lead to innovation in financial markets and institutions?

  Calculate the dollar sales volume

Allison Radios manufactures a finish line of radio and communication equipment for law enforcement agencies. The average selling price of its finished product is $180 each unit.

  What is the approximate annual interest rate aka rate of

what is the approximate annual interest rate aka rate of return on investment 210 net

  Calculate the current yield for each bond

Calculate the current yield for each bond. d. If the yield to maturity for each bond remains at 9%, what will be the price of each bond 1 year from now?

  What is the size of the money multiplier

Assume a financial system has a monetary base of $25 million. The required reserves ratio is 10 percent and there are no leakages in the system.

  What is the dollar amount of income

London purchased a piece of real estate last year for $84,200. The real estate is now worth $100,700. If London needs to have a total return of 0.23 during the year, then what is the dollar amount of income that she needed to have to reach her obj..

  What is fama debt-equity ratio

Fama's Llamas has a weighted average cost of capitalof 9.8 percent. The company's cost of equity is 13 percent, and its cost of debt is 6.5 percent. The tax rate is 35 percent. What is Fama's debt-equity ratio?

  Miller brothers is considering a project that will produce

miller brothers is considering a project that will produce cash inflows of 61500 72800 84600 and 68000 a year for the

  Why you have drawn your indifference curves as you have them

Draw in your indifference map (set of indifference curves). Explain why you have drawn your indifference curves as you have drawn them.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd