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At an interest rate of 6%, how long will it take to 4x your money? PLEASE BREAK DOWN
I GOT 24 FOR YEARS AND IT WAS THE WRONG PLEASE HELP BREAK IT DOWN
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- K You have an investment account that started with $4,000 10 years ago and which now has grown to $10,000. a. What annual rate of return have you earned (you have made no additional contribution to the account)? b. If the savings bond earns 14% per year from now on, what will the account's value be 10 years from now? What annual rate of return have you earned (you have made no additional contributions to the account)?1. Find how long will it take for money to triple at {0.05, m = 2} The rule of 72 provides a fast computation in finding the number of years required to double an amount at a given interest rate, just divide the interest rate into 72. For example, if you want to know how long it will take to double your money at 6%, divide 72 by 6 and get 9 years. The rule of 72 is accurate, as long as the interest rate is less than 20%. If the unknown is the interest rate, run backward. Hence to double an amount in 8 years, just divide 72 by 9 to find that it will require an interest rate of about 8%.If you deposit money today in an account that pays 10.7 percent annual interest, how long will it take to double your money? a. 6.82 years b. 9.35 years c. 10.70 years d. 2.73 years e. The answer cannot be calculated without knowing how much money is initially deposited.
- 1. A consumer, who is initially a lender, remains a lender even after a decline in interest rates. Is this consumer better off or worse off after the change in interest rates? If the consumer becomes a borrower after the change is he better off or worse off? 2. What is the present value of $100 one year from now if the interest rate is 10%? What is the present value if the interest rate is 5%?suppose you have 100 dollars in a saving account and the bank adds 10 percent per year to the account. how much money would you have in the account after 5 years if you did not remove any money from the account? a. more than 150 b. exactly 150 c. less than 1504) You need to have $15,000 in 3 years to put as down-payment on the house. You currently have $8000. What interest rate (continuously compounded) you need to be offered by the bank to meet your goal? Le solve the equation FV = PV ert for r, where PV (present value) denotes the money you have now, and FV (future value) denotes the money you need in 3 years
- Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $2,500 over the next 4 years when the interest rate is 15%, how much do you need to deposit in the account? B. If you place $6,200 in a savings account, how much will you have at the end of 7 years with a 12% interest rate? C. You invest $8,000 per year for 10 years at 12% interest, how much will you have at the end of 10 years? D. You win the lottery and can either receive $750,000 as a lump sum or $50,000 per year for 20 years. Assuming you can earn 8% interest, which do you recommend and why?Do mot give excel answer, i need explained answer. You borrow $5000 today. The loan is due in 5 years, with interest at j1 = 7%. It is agreed that you can instead pay $1000 one year from now, $X two years from now and $2000 three years from now. If money is worth j4 = 8%, what is the value of X?4. If you receive $116 each month for 28 years and the discount rate is 0.08, what is the present value? (show the process and can use financial calculator)
- Hoe much money must you invest today in order to withdraw P1000 per month for 10 years if the interest rate is 12%. show solutionSuppose the interest rate is 3.6% b. Having $650 in one year is equivalent to having what amount today? c. Which would you prefer, $650 today or $650 in one year? Does your answer depend on when you need the money? Why or why not? **round to the nearest cent**4. The interest rate on a savings account is 3%. Youdeposit £100 today, then £100 at the end of the firstyear, and £100 each year until the end of year 10. Youwithdraw x at the end of year 11, and then x each yearuntil the end of year 15 when the final withdrawal ismade. What value of x will empty the account after thefinal withdrawal? A: 250 B: 260 C: 270 D: 280