Albert is planning to invest Php570 in a mutual fund at the end of each of the next eight years. If his opportunity cost rate is 6 percent compounded annually, how much will his investment be worth after the last annuity payment is made?
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Albert is planning to invest Php570 in a mutual fund at the end of each of the next eight years. If his
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- Ken Francis is offered the possibility of investing $2,745 today; in return, he would receive $10,000 after 15 years. What is the annual rate of interest for this investment?Shekhar plans to invest $1,820 in a mutual fund at the end of each of the next 3 years. If his opportunity cost rate is 4 percent compounded semiannually, how much will his investment be worth after the last annuity payment is made? Use the equation method to calculate the worth of the investment. note Future value = Ordinary annuity x {[(1 + r)n - 1] / r}Drake is planning to invest $570 in a mutual fund at the end of each of the next eight years. If his opportunity cost rate is 6 percent compounded annually how much will his investment be worth after the last annuity payment is made. a. 5980 b. 5642 c. 6062 d. 6222 e. 5055
- Roy is going to receive a payment of $5,000 one year from today. He earns an average of 6% on his investments. What is the present value of this payment?Thomas Taylor plans to invest $24,300 a year at the end of each year for the next seven years in an investment that will pay him a rate of return of 9.1 percent. How much money will Thomas have at the end of seven years? (Round factor values to 4 decimal places, e.g. 1.2514 and final answer to 2 decimal places, e.g. 15.25.) Future value of investment $Alex Arnold has just turned 65. He has $100,000 to invest in a retirement annuity. One investment company has offered to pay Alex $10,000 per year for 15 years (payments to begin in one year) in exchange for an immediate $100,000 payment. If Alex accepts the offer from the investment company, what is his expected return on the $100,000 investment (assume a return that is compounded annually)? Present value tables or a financial calculator are required. Select one: a. between 5 and 6 percent b. between 7 and 8 percent c. between 8 and 9 percent d. between 6 and 7 percent
- Sally Medavoy will invest $8,000 a year for 20 years in a fund that will earn 6% annual interest. If the first payment into the fund occurs today, what amount will be in the fund in 20 years? If the first payment occurs at year-end, what amount will be in the fund in 20 years?Pedro Gonzalez will invest $5,000 at the end of each year for the next 9 years. The interest rate is 8 percent. What is the future value?Tran Lee plans to set aside $1, 800 a year for the next six years, earning 4 percent. What would be the future value of this savings amount?
- Roger decides to start an investment account by depositing $5,000 today. In one year he will invest $500. He plans to make annual investments that increase by $100 each year ($600 in year two, $700 in year three, etc.). If he earns 9% on his investment, what will his account be worth 6 years from today, assuming he compounds annuallyWilliam Jack and Sophia Rose are planning on their first child education. If they expect that college will cost RM150,000 per year in 18 years, calculate how much should the couple begin depositing annually at the end of each of the next 18 years to accumulate enough funds to pay one year of tuition 18 years from now. Assume they can earn a 6% annual rate of returm on their investment.William Jack and Sophia Rose are planning on their first child education. If they expect that college will cost RM150,000 per year in 18 years, calculate how much should the couple begin depositing annually at the end of each of the next 18 years to accumulate enough funds to pay one year of tuition 18 years from now. Assume they can earn a 6% annual rate of return on their investment.