1,Paul Spear invested $13,000 today in a fund that earns 10% compounded annually. Click here to...

1,Paul Spear invested $13,000 today in a fund that earns 10% compounded annually.
Click here to view factor tables
To what amount will the investment grow in 4 years? To what amount would the investment grow in 4 years if the fund earns 10% annual interest compounded semiannually? (Round factor values to 5 decimal places, e.g. 1.25124 and final answers to 0 decimal places, e.g. 458,581.)

2, Thomas Bautista needs $29,000 in 4 years.
Click here to view factor tables
What amount must he invest today if his investment earns 8% compounded annually? What amount must he invest if his investment earns 8% annual interest compounded quarterly? (Round factor values to 5 decimal places, e.g. 1.25124 and final answers to 0 decimal places, e.g. 458,581.)

Solutions

Expert Solution

ekkarill92 answered 1 year ago

Next > < Previous

Related Solutions

1- Lionel invested $66,000.00 into a fund which earns interest of 4.00% compounded monthly. How long...

1- Lionel invested $66,000.00 into a fund which earns interest of 4.00% compounded monthly. How long will it take for the fund to grow to a value of $78,435.52. 2-Lucy is expected to settle a loan on May 20th, 2019 by paying $5,500. What amount should she pay if she decides to settle it on June 23rd, 2018 instead? The interest rate is 4.61% compounded monthly. 3- An investment of $16,000 is growing at 4% compounded quarterly. a. Calculate the...

You plan to invest $2,000 today in a mutual fund that earns 6% annually for 5...

You plan to invest $2,000 today in a mutual fund that earns 6% annually for 5 years. Which of the following statements is TRUE? Select one: a. All else being equal, if the interest rate doubles, the future value doubles. b. All else being equal, if the number of periods doubles, the future value doubles. c. All else being equal, if both the interest rate and the number of periods double, the future value doubles. d. All else being equal,...

What is the future value of $6,000 invested for 5 years at 10% compounded annually?

What is the future value of $6,000 invested for 5 years at 10% compounded annually? A. 9,255 B. 8,902 C. 9,751 D. 9,663

How many years will it take money to quadruple if it earns 10% compounded semi-annually?

How much money should Shelby invest today in a fund that earns interest at 4.02% compounded...

How much money should Shelby invest today in a fund that earns interest at 4.02% compounded quarterly, if she wants to receive $5,750 at the end of every 6 months for the next 4 years? Round to the nearest cent

Allyson Gomez invests $8,000 today in an investment that earns 6 percent per year (compounded annually)...

Allyson Gomez invests $8,000 today in an investment that earns 6 percent per year (compounded annually) for 25 years. The average inflation rate is expected to be 1.8 percent per year. She will have much more than $8,000 in 25 years BUT what would this future amount be if expressed in today’s dollars? a. $34,335 b. $21,981 c. $52,306 d. $12,496 e. $21,839

A person invested 2,000,000 SR in an account that pays 10% compounded annually. The first withdraw...

A person invested 2,000,000 SR in an account that pays 10% compounded annually. The first withdraw happens at the end of year 3. The payments increase at 5% every year until the end of 6th year. Thereafter, the payments decrease by 5,000 SR every year. The planning horizon is 15 years. Calculate the value of the first withdraw such that this investment is attractive (Use PW analysis)

If you make 30 semiannual deposits of $2000 into a fund that earns 10% compounded quarterly,...

If you make 30 semiannual deposits of $2000 into a fund that earns 10% compounded quarterly, how much money will be in the fund two years after the last deposit?

If you make 30 semiannual deposit of $2000 into a fund that earns 10% compounded quarterly...

If you make 30 semiannual deposit of $2000 into a fund that earns 10% compounded quarterly , how much money will be in the fund two years after the last deposit?

You deposit $13,000 annually into a life insurance fund for the next 10 years, after which...

You deposit $13,000 annually into a life insurance fund for the next 10 years, after which time you plan to retire. a. If the deposits are made at the beginning of the year and earn an interest rate of 6 percent, what will be the amount in the retirement fund at the end of year 10? b. Instead of a lump sum, you wish to receive annuities for the next 20 years (years 11 through 30). What is the constant...

Subjects