Devin has an opportunity to put $1700 into an investment with an APR of 4.2%. How long will it take his investment to quadruple?Express your answer rounded to the nearest tenth.yearsIf you haven't answered the question correctly in 3 attempts, you can get a hint.

Quadruple means the value of investment to be four times the actual investment. In other words, the…

Answered: Devin has an opportunity to put $1700…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Ronald has an investment opportunity that promises to pay him $52,000 in three years. He could earn a 6% annual return investing his money elsewhere. What is the most he would be willing to invest today in this opportunity? (FV of $1, PV of $1, FVA of $1, and PVA of $1) (Use appropriate factor(s) from the tables provided. Round your answer to 2 decimal places.)
Your client is 29 years old. She wants to begin saving for retirement, with the first payment to come one year from now. She can save $15,000 per year, and you advise her to invest it in the stock market, which you expect to provide an average return of 8% in the future. a. If she follows your advice, how much money will she have at 65? Do not round Intermediate calculations. Round your answer to the nearest cent. $ b. How much will she have at 70? Do not round Intermediate calculations. Round your answer to the nearest cent. $ c. She expects to live for 20 years if she retires at 65 and for 15 years if she retires at 70. If her investments continue to earn the same rate, how much will she be able to withdraw at the end of each year after retirement at each retirement age? Do not round Intermediate calculations. Round your answers to the nearest cent. Annual withdrawals if she retires at 65: $ Annual withdrawals if she retires at 70: $
A simple formula can help you estimate the number of years required to double your money. It's called the Rule of 72. You simply divide 72 by the interest rate (without the percent sign). For example, with an interest rate of 4%, your money will double in 72/4, or 18 years. For your initial post 1. Select one of the following questions to answer: If I invest $1000 at 3% interest, how long will take for my money to double? If I invest $1000 at 6% interest, how long will take for my money to double? If I invest $1000 at 8% interest, how long will take for my money to double? If I invest $1000 at 12% interest, how long will take for my money to double? 2. Select one of the following questions to answer: If $120 doubles in approximately 13 years, what is the interest rate? If $120 doubles in approximately 19 years, what is the interest rate? If $120 doubles in approximately 23 years, what is the interest rate? Answer the two questions in the instructions. You must include calculations…
DJ has an investment that will pay him the following cash flows over the next 5 years: $2,250, $2,710, $3,070, $3,390, & $3,690 Typically his investments earn 6.20%, what is the future value of the investment's cash flows at the end of the 5 yrs? (Don't round factor values. Round Final Answer to 2 Decimal Places) Future value $_____
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Your client is 32 years old. She wants to begin saving for retirement, with the first payment to come one year from now. She can save $7,000 per year, and you advise her to invest it in the stock market, which you expect to provide an average return of 11% in the future. a. If she follows your advice, how much money will she have at 65? Do not round intermediate calculations. Round your answer to the nearest cent. $ b. How much will she have at 70? Do not round intermediate calculations, Round your answer to the nearest cent. 2$ c. She expects to live for 20 years if she retires at 65 and for 15 years if she retires at 70. If her investments continue to earn the same rate, how much will she be able to withdraw at the end of each year after retirement at each retirement age? Do not round intermediate calculations. Round your answers to the nearest cent. Annual withdrawals if she retires at 65: $ Annual withdrawals if she retires at 70: $
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Devin has an opportunity to put $1700 into an investment with an APR of 4.2%. How long will it take his investment to quadruple? Express your answer rounded to the nearest tenth. years If you haven't answered the question correctly in 3 attempts, you can get a hint.