What is the value of the fund today

Assignment Help Finance Basics
Reference no: EM13270614

Your brother who is 6 years old, just received a trust fund that will be worth $24,000 when he is 21 years old. If the fund earns 0.11 interest compounded annually, what is the value of the fund today?

Reference no: EM13270614

Questions Cloud

What is the bond worth today : Wilson owns a bond with a coupon of 6%. He bought it when the current yield was 7%. The current yield is now 5%. How much did he pay for the bond? What is the bond worth today? If he sold it what would his gain or loss be?
Concentraion of comercially availble concentrated nitric : The concentraion of comercially availble concentrated nitric acid is 70.0 percent by mass, or 15.9M. Calculate the density of the solution (Please explain in detail how to find density) Density in g/mL
What is its coefficient variation : A stock has an unexpected return of 0.13 and a variance of 0.23. What is its coefficient variation?
What extent political ideology influences constitutional law : What factors influenced each of these decisions, Read the dissenting opinions as well and explore to what extent political ideology influences constitutional law.
What is the value of the fund today : Your brother who is 6 years old, just received a trust fund that will be worth $24,000 when he is 21 years old. If the fund earns 0.11 interest compounded annually, what is the value of the fund today?
Explain what is the molar mass of this substance : A compound is known to contain 52.17% carbon and 27.78% oxygen by mass. Each molecule contains two atoms of oxygen. What is the molar mass of this substance
How do we measure the returns on our portfolio : Kraska will also compute Lawrence's EAR on his investment in Google to illustrate a multiyear perspective. Lawrence purchased the Google stock for $200,000 and held it for three years before he died.
Define what is the concentration : A solution of CaCl2 has a density of 1.071 g/ml and a standard deviation of 0.008 g/ml. What is the concentration
Drawbacks of potential investments : Descriptive comparison including the benefits and drawbacks of potential investments for each facility to reduce energy consumption

Reviews

Write a Review

Finance Basics Questions & Answers

  Different between how treasury bonds are traded in asx

What is different between how treasury bonds are traded in ASX with how they traded in Australian bond market?

  Compute operating and financial and total leverage

Based on fixed costs of $11,520,000, variable costs of $11.25 per unit, production volumes of 4,975,000 units, with an interest expense of $1,326,400

  Calculating beta

Find out the company stock that has at least five years of quarterly return data (60 data points). Find out what the company Beta is by running a regression.

  Show the entry for the sale of investments by the jan 2,2013

As of January 1, 2013, the Baber School District notifies the pool it needs to withdraw $1,000,000 cash from the pool, so the pool management sells investments to obtain $700,000 cash. The investments sold had been carried in the Investment Trust Fun..

  Calculate the expected return on each stock

Assume you have invested in two stocks, stock Y and stock Z. The returns on the two stocks depend on the following three states of the economy, which are equally likely to happen.

  Capital structure and growth plans

Sustainable growth. A firm has decided that its optimal capital structure is 100 percent equity financed. It perceives its optimal dividend policy to be a 40 percent payout ratio.

  Optimal capital structure

The financial manager has estimated the following schedules for the cost of funds: Determine the company optimal capital structure.

  Question on fundamentals of managerial finance

The Beasley Company has been experiencing declining earnings, but has just declared a 50% salary rise for its top executives. A dissident group of shareholder wants to oust the existing board of directors.

  Financial manager researching investments

Imagine that you are a financial manager researching investments for your client that align with its investment goals. Use the Internet to research any U.S. publicly traded company that you may consider as an investment opportunity for your c..

  Find current price of the preferred stock

Preferred stock of ABC corporation pays an yearly dividend at the rate of 4.5 percent per share. If ABC Corp's preferred shares are issued at $25 par value per share, & comparable yields are at 7.25 percent,

  Determine real rate of interest

If you invest in CDs earning an interest rate of 9 percent, the interest is taxable in the 28 percent bracket, and inflation is 5 percent, Determine real rate of interest you receive after tax?

  What is twindles cost of retained earnings

Analyst's expect Twindle's dividends to grow by at least 5% per year for the next 5 years. Using the capital asset pricing model, what is Twindle's cost of retained earnings?

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