How much time will it take you to accumulate $625,000, assuming you invest $15,000 today and an additional $150 / month, and can earn a monthly return of 1%?  Part II.  How would your answer change if there was no upfront investment?

You hope to have $35,000 in your investment account in ten years. If you invest $25,000 today, what annual rate of return would your investment account need to generate if you make no future deposits? Group of answer choices 3.4% 3.8% 40.0% 1.7%

You are going to invest $5405 in 3 years and $7923 in 6 years.  If you expect to earn a return of 8.26%, how much will you have in 10 years?    Answer:

Many assets provide a series of cash inflows over time; and many obligations require a series of payments. When the payments are equal and are made at fixed intervals, the series is an annuity. There are three types of annuities: (1) Ordinary (deferred) annuity, (2) Annuity due, and (3) Growing annuity. One can find a annuity's future and present values, the interest rate built into annuity contracts, and the length of time it takes to reach a financial goal using an annuity. Growing annuities are often used in the area of financial planning. Their analysis is more complex and often easier solved using a financial spreadsheet, so we will limit our discussion here to the first two types of annuities. The future value of an ordinary annuity, FVAN, is the total amount one would have at the end of the annuity period if each payment (PMT) were invested at a given interest rate and held to the end of the annuity period. The equation is: Each payment of an annuity due is compounded for one…

You are offered an investment that requires you to put up $5,000 today in exchange for $12,000 10 years from now. What is the annual rate of return on this investment?

Question #4: Suppose you have just started 21st year of your life, you plan to retire at the end of age 65, and you expect to live until the end of 90 (working for 45 full years and being retired for 25 years). You currently have a constant earning of $50,000 per year (paid at the end of the year). The plan is to save 10% of your income each year to meet your retirement needs. Assume the valuation rate of 7%. Part A: If you want to keep a constant level of consumption during your retirement, how much you can consume per year when you are retired? Part B: Imagine you decide to save 20% of your salary. How many years earlier you can retire having the same level of consumption as Part A during your retirement?Hint: (1+?)?−90=(1+?)?−20(1+?)70=(1+?)?(1+?)90

If you invest $131,300 in a project which yields an annual return of $25,400, how many years will it take to recover your investment if the annual interest rate is 5.5%? a. 8 O b. 5 О с. 7 d. 6 е. 9

You are opening an investment account that will earn 11.5% compounded annually.  You will invest $1,000 today, $5,000 one year from today, $18000 two years from today, $8,000 three years from today, and $12,000 four years from today.  What will the value of your account be 4 years from today?   Question 2 options:   53,225   59,065   51,775   54,635   58,705

Future Value You invest $1,000 today and exect to sell the investment for $2,000 in 10 years.  a. Is this a good deal if the investment rate is 6%?  b. What if the interest rate is 10%? Why ? Show the calculations in Excel.

You are considering a safe investment opportunity that requires a $1,410 investment today, and will p $780 two years from now and another $830 five years from now. a. What is the IRR of this investment? b. If you are choosing between this investment and putting your money in a safe bank account that pa an EAR of 5% per year for any horizon, can you make the decision by simply comparing this EAR wit the IRR of the investment? Explain. a. What is the IRR of this investment? The IRR of this investment is %. (Round to two decimal places.)