Determine what annual payment will need to be invested

Assignment Help Finance Basics
Reference no: EM131148591

Time Value of Money

Time value of money analysis has many applications-both personally and professionally. The calculations can be performed using Microsoft Excel, factor tables, or a financial calculator to help make informed decisions, such as planning for retirement, loan decisions, and capital projects.

The concept of time value of money helps managers value cash flows and assess risk within the organizations.

In this assignment, you will discuss specific situations where the time value of money is applied in personal and professional situations.

Tasks:

1. Respond to the following:

• Share any professional and personal decisions you made in which the concept of time value of money was utilized to help better understand the concept and the situations in which time value can be used. Include: The specific decision for which you used time value of money.

• The manner in which you applied the concept.

• The tools you used to complete the analysis.

• An explanation of how using the concept helped you reach a more accurate decision than if time value of money had not been utilized.

• Your response should consist of a minimum of 300 words and demonstrate critical thinking and analysis.

2. Using the appropriate Excel financial functions, do the following:

• Determine the present value of $100,000 discounted at 8% over 5 years.

• Determine the future value of $50,000 invested today at 12% for 5 years.

• Determine what annual payment will need to be invested if you have $10,000 today and want it to grow to $100,000 over 20 years at 9%.

Copy and paste the results of task #2 into your post underneath your response to task #1.

Write your initial response in 300-500 words. Your response should be thorough and address all components of the discussion question in detail, include citations of all sources, where needed, according to the APA Style, and demonstrate accurate spelling, grammar, and punctuation.

Reference no: EM131148591

Questions Cloud

Limit medical mistakes and reduce their potential liability : You are the risk manager of a hospital and have been asked to make a speech to doctors and nurses about how to prevent malpractice claims. Draft a speech outlining the guidelines and best practices for healthcare providers to limit medical mistakes a..
Planning at higher levels in healthcare organizations : How does planning at higher levels in healthcare organizations (HCOs) differ from and planning at lower levels in HCOs. Similarly, which aspects of planning at higher levels in HCOs are similar to planning at lower levels in HCOs. Provide at least on..
Similarities between manufacturing and service environments : A foundation of operations in both manufacturing and service environments is vital in order to drive inefficiencies and examine ways to achieve greater supply chain integration with suppliers and customers.  If not, how would you implement flexibilit..
Graph the supply and demand for the foreign exchange market : Graph the supply and demand for the foreign exchange market, expressed in terms of pesos per dollar. Show the equilibrium price at 5 pesos per dollar. Suppose the demand for dollars increases so that the new exchange rate is 7 pesos per dollar. Has t..
Determine what annual payment will need to be invested : Determine what annual payment will need to be invested if you have $10,000 today and want it to grow to $100,000 over 20 years at 9%. Copy and paste the results of task #2 into your post underneath your response to task #1.
Community involvement program : As an assistant in the Community Involvement Program of your corporation, you have beengiven an unusual task. Your boss wants to expand the company’s philanthropic and community relations mission and especially employee volunteerism. She heard about ..
Intervention in decisions about medical staff appointments : When acting on applications for medical staff privileges, both government-owned and private hospitals must provide procedural due process. Under common-law principles, for many years private hospitals were essentially free of court intervention in de..
Calculate return on equity using the dupont system : Calculate Return on Equity using the DuPont system - Evaluate the soundness of the company's financial policies.
How estimated cost of technique compare with expected result : What type of OD technique should be used to implement change within an organization? This question signifies the need to consider many variables. There are three broad aspects that concern the OD practitioner in selecting the most effective interv..

Reviews

Write a Review

Finance Basics Questions & Answers

  What is the level of aggregate resources for headstrong

What is the level of aggregate resources for Headstrong at this point?

  How much is your interest payment in the second month

If you can negotiate a nominal annual interest rate of 8 percent and you wish to pay for the car over a 5-year period, what are your monthly car payments? How much is your interest payment in the second month?

  Determine the beta for your portfolio

You have invested in stocks J and M. From the following information, determine the beta for your portfolio.

  What would his total ordering cost be for the year

Mark Achin sells 3,600 electric motors each year. The cost of these is $200 each, and demand is constant throughout the year. The cost of placing an order is $40, while the holding cost is $20 per unit per year.

  The kings want to decide how much additional insurance

Dave and Karen King are a two-income couple in their early thirties. They have two children, ages 6 and 3. Dave's monthly take-home pay is $3,600, and Karen's is $4,200. The Kings want to decide how much additional insurance they would need, i..

  Illustrate a difference between the two models

Illustrate a difference between the two models and how does the concept of "no arbitrage" affect each model?

  Find a cross-listed stock trading on one of the us stock

Many foreign companies like to cross-list their stocks on one or more foreign stock exchanges. How do cross listed stocks differ from ADRs and other depository-receipt securities? Find a cross-listed stock trading on one of the US stock exchanges.

  Calculate the after tax cost of debt for a for-profit

Calculate the after tax cost of debt for a for-profit with the coupon rate on debt of 11% and its tax rate is

  Suppose the beta of a firms assets is k and the tax rate

suppose the beta of a firms assets is k and the tax rate is 40. what is the debt-to-equity ratio if the beta of the

  What is the new expected exchange rate

The current exchange rate between the Japanese yen and the U.S. dollar is 120 yen per dollar. If the dollar is expected to depreciate by 10% relative to the yen, what is the new expected exchange rate?

  What risks or challanges might a healthcare manager encount

What risks or challanges might a healthcare manager encounter

  In todayrsquos uncertain economic and regulatory

in todayrsquos uncertain economic and regulatory environment for the health services industry many organizations may be

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