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If you invest $2,000 for 4 years at a simple interest rate of 8%, how much interest will you earn? Need help!
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- If you invest $1,000 at an annual interest rate of 5% for 2 years, how much will you have at the end of the period with simple interest? Need help!What is the relationship between present value and future value? • Suppose you need $15,000 in 3 years. If you can earn 6% annually, how much do you need to invest today? • If you could invest the money at 8%, would you have to invest more or less than at 6%? How much?(Use Calulator or Formula Approach) You are saving for a new house, and you put $10,000 per year in an account paying 8% interest. The first payment is made today. How much will you have at the end of 3 years?
- If you invest $1,000 today at an annual interest rate of 5% for 3 years, what will the future value be? Need help(Use Calculator or Formula Approach) Suppose you need $15,000 in 3 years . If you can earn 6% annually, how much do you need to invest today? If you could invest the money at 8%, would you have to invest more or less than at 6%? How much?0USE EXCEL TO SOLVE THE PROBLEM AND SHOW THE EXCEL FORMULA AS WELL! You are hoping to buy a house in the future and recently received an inheritance of $20,000. You intend to use your inheritance as a down payment on your house. a. If you put your inheritance in an account that earns a 7 percent interest rate compounded annually, how many years will it be before your inheritance grows to $30,000? b. If you let your money grow for 10.25 years at 7 percent, how much will you have? c. How long will it take your money to grow to $30,000 if you move it into an account that pays 3 percent compounded annually? How long will it take your money to grow to $30,000 if you move it into an account that pays 11 percent? d. What does all of this tell you about the relationship among interest rates, time, and future sums?
- 3. You will require $700 in 5 years. If you earn 5% interest on your funds, how much will you need to invest today in order to reach your savings goal? (Round your answer to the nearest cent.)(Use Calculator or Formula Approach) Suppose you have $500 to invest and you believe that you can earn 8% per year over the next 15 years. How much would you have at the end of 15 years using compound interest?If you invest $2,000 for 4 years at a simple interest rate of 8%, how much interest will you earn? Rxpl
- (Use Calculator or Formula Approach) Suppose you need $15,000 in 3 years . If you can earn 6% annually, how much do you need to invest today? If you could invest the money at 8%, would you have to invest more or less than at 6%? How much?You have a chance to buy an annuity that pays $50,000 at the beginning of each year for 15 years. You could earn 10.0% on your money in other investments with equal risk. What is the most you should pay for the annuity? You are not required to show calculations. However to receive credit you must provide the inputs used (N, PMT, FV, I/Y, PV) to solve. If you utilize a template, you can copy and paste the section used in the submission. $418,334.37 $750,000.00 $380,303.98You know that you'll inherit $10,000 in 19 years. If you borrow $6,000 now and plan to pay it off with the money you'll inherit, what is the highest annual interest rate you can afford on the loan?
