The Amount of an Endowment Heidi has an investment that generates an income of $35,000/year in perpetuity. Assuming that her income flows continually and her investment earns interest at the rate of 8%/year compounded continuously, what is the present value of her investment?

Atita plans to gift $150,000 to her daughters as a gift in the future. She thinks it will help her daughter fulfil her dreams when she reaches her age to marry. Assume her daughter is 3 years old and may get married in her 20s. Assume that Atita has $30,000 and wishes to invest that in a financial asset with a 9% rate of return per annum.   Required:   How would you define the amount of $30 000 and $150 000 in terms of the time value of money?                                                                                                                ANSWER a (i): (answer box will enlarge as you enter your response)   How long will she have to wait until she reaches the goal of $150 000?                                                                                                               ANSWER a (ii):   Mark will receive $13,500 from his parent at the end of each year for five years. He plans to invest them in a financial asset with an interest rate of 7.5%. How much money…

Ann and Tom want to establish a fund for their grandson's college education. What lump sum must they deposit at a 10% annual interest rate, compounded quarterly, in order to have $50,000 in the fund at the end of 15 years? They should deposit $

← A newborn child receives a $8,000 gift toward a college education from her grandparents. How much will the $8,000 be worth in 19 years if it is invested at 5.9% compounded quarterly? It will be worth $ (Round to the nearest cent.)