An investment will pay you $86, 000 in three years. Assume the appropriate discount rate is 7.5 percent compounded daily. What is the present value? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. Use 365 days in a year.

Q: If an investment of $5,000 is made in an account returning 2% p.a. then how long will it take for…

A: Using excel NPER function

Q: An investment promises two payments of $610, on dates four and eight months from today. If the…

A: Lets understand the basics.Value of investment is calculated by discounting payments receivable at…

Q: Suppose an investment earns 2.5% interest compounded continuously. Find the future value of a $3400…

A: Present value is an estimate of the present value of future cash values ​​that may be received at a…

Q: a. A'(P) = (Type an exact answer in terms of e.) b. A'(4000) = (Round to the nearest cent as…

A: The amount invested by an investor in the bank is known as amount invested in an account. An…

Q: If $5,000 is invested at an annual rate of 6.5% compounded continuously, the future value S at any…

A: Information Provided; Principal = $5000 Annual rate = 6.5% compounded continously

Q: Suppose that you now have $4,000. How much will you have after 10 years if you leave it invested at…

A: Future value (FV) refers to the value of an investment or an asset at a specified point in the…

Q: The following investment requires a table factor for a period beyond the table. Calculate the new…

A: Time value of money plays an important role in making the financial decision. As per time value of…

Q: An investment will pay you $96,000 in six years. Assume the appropriate discount rate is 7.5 percent…

A: Compound = Daily = 365 daysFuture Value = fv = $96,000Time = t = 6 * 365 = 2190 daysDiscount rate =…

Q: Imagine that you have $8,000 to invest for 19 years. How much more interest will you earn if you…

A: Interest is the cost of borrowing or lending money.

Q: If $27,800 is invested in an account that earns interest at an annual rate of 2.8%, compounded…

A: We need to use future value continuous compounding formula below to calculate number of years.A =…

Q: If you have $4500 to invest now, and will need a total of $25,000 -- 10 years from now, determine…

A: Amount available now (PV) = $4500 Period = 10 Years Monthly period (n) = 10*12 = 120 Interest rate =…

Q: Suppose an investment offers to triple your money in 12 months (don't believe it). What rate of…

A: ParticularAmountFuture Value (FV)3Present Value (PV)1No. of Quarters (NPER)4

Q: Use logarithms to solve the problem. How long will it take an investment of $7000 to triple if the…

A: Future Value = Present Value (1 + g)n

Q: Currently, you have $30,000 that you would like to grow to $97,000 within the next 6 years. Assuming…

A: The concept of TVM refers to the interest-earning capacity of money which makes money earned earlier…

Q: How much interest will be earned if $5,000.00 is invested for 3 years at 10% compounded semi-annual?…

A: Future value is computed by following formula-FV = A × (1+r)nwhere,FV = Future value A = Amount…

Q: Assume that an investment of $9000 earns an APR of 6% compounded monthly for 30 months. How much…

A: Data given: P=Principal=$9000 r=APR=6% (compounded monthly) n=30 months=2.5 year   Required: Amount…

Q: If P1,000 becomes P1,811.36 after 5 years when invested at an unknown rate of interest compounded…

A: Introduction The term "nominal interest rate" refers to the interest rate prior accounting for…

Q: You need to accumulate $10,000. To do so, you plan to make deposits of $1,500 per year with the…

A: Amount to be accumulated = $10,000Annual deposits = $1,500Interest rate = 7%To find: Number of years…

Q: How much money would you have at the end of 15 years if you initially invested $7,500 at a nominal…

A: Concept. A = P (1 + r)n  Where A = amount including compound interest. P = principal amount R = rate…

Q: An investment will pay you $83,000 in five years. Assume the appropriate discount rate is 6.75…

A: The concept of time value of money will be used to solve this question.   We need to find the…

Q: Imagine that you have $8,000 to invest for 19 years. How much more interest will you earn if you…

A: When we are investing into particular security, the value of it increases over the period of time.…

Q: Consider an investment which pays 1.05 times your original payment (which is not returned) after two…

A: The return on any investment is given by  R = (F - P)/P  * 12/n Where P = value invested F = value…

Q: Assume that an investment of $9000 earns an APR of 6% compounded monthly for 16 months. How much…

A: Data given:P=Principal=$9000r=APR=6% (compounded monthly)n=16 monthsRequired: Amount in the account…

Q: With an interest rate of 8%, how long does it take for an investment of $10, 400 to grow to $20,…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: (Solving for n with non-annual periods) Approximately how many years would it take for an investment…

A: Future value is the estimated value of an investment or asset at a specific point in time in the…

Q: An investment will pay you $36,000 in 12 years. If the appropriate discount rate is 6.3 percent…

A: Present value is calculated using following equation Present value = Future value 1+r/mn×m Where, n…

Q: nk will lend you $4,000 for 45 days at a cost of $50 interest. What is your effective rate of…

A: Effective interest rate is the interest rate after considering the impact of compounding on interest…

Q: An investment will pay you $40,000 in 11 years. If the appropriate discount rate is 6.7 percent…

A: Present value is calculated by discounting the future cash flow using the appropriate discount rate.…

Q: You invest $10,000 into a money market account that pays interest on a semi-annual basis (e.g.,…

A: We use NPER function in excel by taking present value as 10000 and future value as 20000 and…

Q: ن فن d. b. C. write al vestment as a ne, in years. Determine the value of the investment to the…

A: The concept of time value of money will be used and applied here. As per the concept of time value…

Q: Find the time required for an investment of 5000 dollars to grow to 7100 dollars at an interest rate…

A: Initial amount= P= 5000Final amount=A=7100Interest rate = 7.5%=0.075 Number of times compounded in a…

Q: Suppose you want deposit $200 each month into an account earning 3.5% APR compounded monthly. a)…

A: Annuity is a fixed periodic payment made over a period of time, leading to the accrual of a definite…

Q: Suppose you invested $1000 every 3 months over a 15 year period. If money earns an annual rate of…

A: Compound = quarterly = 4Payment = p = $1000Time = t = 15 * 4 = 60Interest rate = r = 6.5 / 4 =…

Q: What is the present value of an investment that pays you $21.96 per month for 11 months if the first…

A: To calculate the present value of an investment with monthly payments, you can use the formula for…

Q: An investment offers to triple your money in 28 months. What rate in percent for three months are…

A: This is based on the concept of compounding. A sum of money invested today grows in future due to…

Q: Which of these three options is the better investment? Use the same Pandt value throughout. a. An…

A: Given data; 1) 8.2% compounded semiannually      Interest rate = 8.2%      compounding frequency = 2…

Q: Currently, you have $29,000 that you would like to grow to $91,500 within the next 7 years. Assuming…

A: The concept of TVM refers to the interest-earning capacity of money which makes money earned earlier…

Q: How long does it take for an investment earning interest at a rate of 18% compounded daily (i.e.,…

A: Time value of money is a concept that states the value of money appreciates with the passage of time…

Q: When an initial amount of è dollars is invested at r% annual interest compounded n times per year,…

A: The Initial amount of P Dollars is invested at r% annual interest , compounded n times per year ,…