If the investment amounting to 45,000 earned an interest of 3,500 how much will be the maturity value?
Q: An investment is represented by the equation A(t)=10,250(1+ 0.04/12)120 How many years has the…
A: According to the TIME value of money: Future value =present value×1+rmm×n where, r= rate m=…
Q: which of the following investments that pay will $5000 in 12 years have a higher price today?
A: Present Value: It is the present worth of the future amount and the present value is computed by…
Q: Calculate the future value if present value (PV) = $1,020, interest rate (r) = 11.9% and number of…
A: Given: Present value (PV)= $1,020 Interest rate(Rate)(r) = 11.9% Years (Number of periods) (NPER)(t)…
Q: 2. If the investment amounting to 45,000 earned an interest of 3,500 how much will be the maturity…
A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: What interest rate compounded continuosly did a $15000 investment earn if it accumulated to $18000…
A: Given: Accrued Amount (A) = $18000 Principal Amount (P) = $15000 Time (t) = 5 years
Q: Determine the present value P that must be invested to have the future value A at simple interest…
A: The PV of an investment refers to the collective worth of the future cash flows after they have been…
Q: n investment will pay $150 at the end of each of the next 3 years, $300 at the end of Year 4, $600…
A: The value of money at present is known as the present worth of the money while the value of money…
Q: What is the present value of a 15 year investment amounting to Ᵽ 45,670 if the prevailing interest…
A: As per the time value of money, a dollar is worth more today than the same dollar in the future.…
Q: The future value of an investment will be $14,500 in 5 years. It is currently worth $11,000. What is…
A: To find the interest rate earned on an investment, we can use the formula for future value: FV = PV…
Q: makes deposit to a shor Inve n 1% !), what will the account balance be af
A: Simple Interest = Principal (initial deposit) * Interest Rate * TimeWhere:Principal = initial…
Q: What is the internal rate of return (IRR) of an investment that requires an initial investmen of…
A: Internal Rate of return is the rate at which the Net Present Value of the investment is zero. It can…
Q: If a particular investment will pay $500, 5 months from now, and an additional $500, 9 months from…
A: Present value of future amount is computed as follows:-PV= wherePV= present valueFV = future valuer=…
Q: If money is invested at 6% per year, after approximately how many years will the interest earned be…
A: The time value of money is the concept that money available today is worth more than the same amount…
Q: What long will it take a $100 investment to double to $200 if the interest rate is 6%?
A: As per the concept of time value of money the worth of money changes with passage of time as money…
Q: An investment will pay $10,000 eighteen months from now. What purchase price will provide a rate of…
A: Maturity amount (MV) = $10,000 Interest rate (r) = 7% Period (m) = 18 months
Q: Determine the present value P that must be invested to have the future value A at simple interest…
A: Given: Future value (A) =$5000.00 Rate (r) = 15% = 0.15 Time t=312=0.25
Q: You are looking at an investment that will pay R1 800 in 8 years if you invest R900 today. What is…
A: Rate of interest The amount that the lender charges the borrower over and beyond the principal…
Q: What is the value of today of an investment that will pay $100 per year for 5 years. Assume first…
A: Present value of annuity is the present value of recurring cash flows with regular intervals at a…
Q: Compute the present value if future value (FV) = $4892, interest rate (r) = 14.0%, and number of…
A: The PV of an investment refers to the worth of the cash flows of the investment discounted to the…
Q: How long will it take for $7000 to have a maturity value of $12000 if it is invested at 15%…
A: Introduction Simple interest is the price of borrowing money which does not take accumulating into…
Q: What is the future value of an investment that pays P2,500 at the beginning of each period with an…
A: In this we have to find out the future values of payments.
Q: What is effevtive interest rate per year for an investment of $50 at an interest rate of $5 per…
A: Following is the effective interest rate per year
Q: An investor deposits $1000. How long will it take them to double the initial deposit if the…
A: A method of computing interest amounts in which the compounding effect was not considered by the…
Q: If an investment of $2,000 grew to $2,520 in three periods, what is the interest rate at which the…
A:
Q: What is the interest rate if the PV of $50,000 to be delivered in 3 years is $43,000?
A: Calculation of interest rate: Answer: Interest rate is 5.16%.
Q: What is the value of an investment today, if it pays P250 interest forever and the appropriate…
A: Annual forever interest payment = P 250 Annual interest rate = 5%
Q: What is the future value of an investment that pays P2,500 at the end of each period with an…
A: future value of an investment that pays P2,500 at the end of each period with an interest rate of…
Q: An investment becomes P 4,500,000 four years from now and becomes P 5,250,000 thirteen years from…
A: Let the initial investment = X Future value (F) after 4 years = P 4500000 Future value (F) after 13…
Q: What happens if we calculate the NPW of the loan transaction at its rate ofreturn (10% )?
A: Net present worth is the worth of an investment or a loan in today’s terms. It helps to make…
Q: What is the present value of an investment that will pay $1,000 in one year's time, and $1,000 every…
A: Calculation of Present value of perpetuity:Answer:The present value of the investment is $12,500
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- For the following cash flow, if the reinvestment rate is equal to MARR, which is 16%, and the financing rate is 10%, Investment 2 3 4 -2000 200 3000 -1500 800 1000 What is the IRR? What is the MIRR? What is the RIC? 8. 9. 10.Can I have an answer and solution for this one, please?What is the value of assets if: Liabilities = R50,000 and Capital = R10,000
- What is the internal rate of return of an investment that requires a 10 percent minimum rate of return and has the following projected cash flows: Yr0 = -100, Yr1 = 25, Yr2 = 35, Yr3 = 45, Yr4 = 35, and Yr5 = 30? a. 19.33 percent b. 21.35 percent c. 20.05 percent d. 22.24 percentHow should the $70,000 be allocated to each alternative to maximize annual return? What is the annual return?What is the net present value of an investment that requires a 10 percent minimum rate of return and has the following projected cash flows: Yr0 = -100, Yr1 = 25, Yr2 = 35, Yr3 = 45, Yr4 = 35, and Yr5 = 30? a. 41 b. 28 c. 34 d. 35
- 16. You are considering an investment with the following cash flows: Year Cash Flow 0 -$50,000 1 $ 7,000 2 $ 4,000 3 $9,000 4 $61,000 What is the internal rate of return (IRR) for this investment? SHOW WORK13. Consider the following possible returns over the next year on an asset Return probability –£40 0.5 £40 0.5 What is the expected monetary return of this asset over the next year?a) The initial outlay of the investment is €125,000. The income stream is €30,000 in year 1, €55,000 in year 2, €60,000 in year 3 and €70,000 in year 4. What is the net present value of the investment at 18% discount rate? b) What is the IRR of the aforementioned investment? c) Using the DCF approach requires some forecasting of the future – How can this. be done?
- 3.1 Determine the values K, L, M, and N in the table. 3.2 Calculate the total present value of the net cash flows of the investment opportunity. 3.3 If the Net Present Value of the investment opportunity is an unfavourable R99 290, what is the initial outlay?a) The initial outlay of the investment is €125,000. The income stream is €30,000 in year 1, €55,000 in year 2, €60,000 in year 3 and €70,000 in year 4. What is the net present value of the investment at 18% discount rate? b) What is the IRR of the aforementioned investment? c) Using the DCF approach requires some forecasting of the future – How canthis. be done?What is the returnon an investment that costs $1,000 and is soldafter 1 year for $1,060?
