What real amount must you deposit each year

Assignment Help Finance Basics
Reference no: EM132200139

You want to have $1 million in real dollars in an account when you retire in 30 years. The nominal return on your investment is 8 percent and the inflation rate is 4.6 percent.

What real amount must you deposit each year to achieve your goal?

Reference no: EM132200139

Questions Cloud

Conflicting ranking between npv and irr : Projects with non conventional cash flow patterns may have multiple IRRs
Define what is the rate of return for the annual permit : You are deciding whether to purchase an annual pass or two, semester parking permits. Annual permits cost $670. Semester permits cost $183.
Required return on the company stock : Tell Me Why Co. is expected to maintain a constant 4.4 percent growth rate in its dividends indefinitely. If the company has a dividend yield of 6.2 percent
Bonds have left until they mature : How many years do these bonds have left until they mature?
What real amount must you deposit each year : What real amount must you deposit each year to achieve your goal?
Identify the important players and their decision making : Define the objective of the case study. Identify the important players and their decision making, official and historical mission within the organization.
Bond has a coupon rate : You purchase a bond with an invoice price of $1,038. The bond has a coupon rate of 9 percent, and there are four months to the next semiannual coupon date.
Operations management decision : Which of the following is not an operations management decision? In organizational settings, the term “power” is most often defined as.
Draw the consumption possibility frontier for fictionia : Draw the consumption possibility frontier (CPF) for Fictionia, showing the combinations of shirts (S) and bread (B) that can be feasibly consumed in a day.

Reviews

Write a Review

Finance Basics Questions & Answers

  What is the value of the option to abandon

A project can be abandoned at the end of 1 year; the proceeds would be $100,000. If the project continues, the present value (at t = 0) of the future proceeds.

  What is the risk free rate

?A stock has an expected return of 17 percent, a beta of 1.9 and the expected return on the market is 11 percent. What is the risk free rate?

  Amount at the end of those years

John invested $1000 in a sacco that earned him a simple interest of 5% p.a for a period of 5 years. What is the amount at the end of those years?

  Strategy and positioning paper

Select a new product or service that will be launched by either an existing organization or one you will create. This product or service will serve as the basis for the Marketing Plan you will write throughout the course.

  Firm free cash flow

If net financial expense (NFE) in 2014 was $1, net financial assets (NFA) were $117 and $143 in 2014 and 2013 respectively, net dividends

  Define a multinational corporation

Define a multinational corporation (MNC). What additional factors must be considered by the manager of an MNC that a manager of a purely domestic firm is not forced to face?

  What does stockholders equity represent

What does stockholders' equity represent?- What does a share of stock represent? - Why do corporations issue stock?

  Buffetts bid for media generals newspaper

Im trying to figure out how they calculated the change in working capital on the buffetts bid for media generals newspaper?

  You purchased 1300 shares of lkl stock 5 years ago and have

you purchased 1300 shares of lkl stock 5 years ago and have earned annual returns of 7.1 percent 11.2 percent 3.6

  Canadian dollar and the british pound

Use the exchange rates between the U.S. dollar and the British pound and between the U.S. dollar and the Canadian dollar to calculate the cross rate between the Canadian dollar and the British pound. Look up that rate to see if your calculation wa..

  Calculate the current ratio and the acid-test ratio

What changes in the management of Genatron's current assets seem to have occurred between the two years?

  How much free trade credit does the firm receive

Buskirk Construction buys on terms of 2/15, net 60 days. It does not take discounts, and it typically pays on time, 60 days after the invoice date.

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