Edward wants to take a long trip around Europe 7 years from now. He estimates that he will need $12,000 to finance the trip. Edward has found a stock portfolio that generates a 8% yearly rate of return. How much does Edward need to invest today to afford the trip? Round to the nearest dollar, do not enter a dollar sign.
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- Let's say that you invest $8000 at 3.1 percent annual interest for 6 years. What will its value be? Carefully follow all numeric directions. Round intermediate steps to four decimal places and final answers to two.When investing or saving money for retirement, which type of interest would benefit the most from? Fixed Variable Simple CompoundWhat is the compounding process?
- A company has an investment project that would cost $10 million today and yield a payoff of $15 million in 4 years. What would be the break-even interest rate?How long does it take for your money to double if you can earn 7% on your investment? Triple? Quadruple?John plans to invest an equal amount of $2.000 in equity fund every year-end beginning with this year. The expected annual rate of return is 15%. She plans to invest for 20 years. The expected annual rate of return is 15%. She plans to invest in 20 years. How much could she expect to have at the end of 20 years?
- Ron invest $2000 in a savings account that gives him a simple interest rate of 6% for 3 years. A. how much interest the investment earns and B. how much money he has after 3 years?QUESTION S What is the price of a three-year zero-coupon bond with a face value of $3000 when the interest rate is 5%?Question 1 Due to health reasons, Dave is considering early retirement. He currently has $700,000 in a self- managed retirement fund. He thinks he will need S40,000 per year during retirement. He intends to invest his retirement in a low-risk mutual fund which return 1.5% per year. How many years can he live off this retirement fund without the need to look for a job?