ii.iii.Calculate the equivalent level effective rate of return over the four year-period.If RM7500 is invested in the year 2016, under the same interest environment, calculatethe return of investment in the year 2020. Consider the return of investment as given in the following table:Year20162017201820192020Amount (RM)500051755394.945705.156047.46

Year Balance Return 2016 5000.00 2017 5175.00 3.5% 2018 5394.94 4.25% 2019 5705.15…

Answered: ii. iii. Calculate the equivalent level…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Calculate, to the nearest cent, the future value FV (in dollars) of an investment of $10,000 at the stated interest rate after the stated amount of time. 2% per year, compounded annually, after 13 years FV = $
NEED FULLY CORRECT HANDWRITTEN SOLUTION FOR THIS....ASAP PLEASE BE FAST AND I'LL RATE POSITIVE FOR SURE.
am. 116.
An investment, which is worth $57,023.00 and has an expected return of 17.00 percent, is expected to pay fixed annual cash flows forever with the next annual cash flow expected in 1 year. What is the present value of the annual cash flow that is expected in 3 years from today? O $9,693.91 (plus or minus 3 dollars) O $35,603.48 (plus or minus 3 dollars) O $6,052.59 (plus or minus 3 dollars) O $8,285.39 (plus or minus 3 dollars) O none of the answers are within 3 dollars of the correct answer
Justin Lieberman must earn a minimum rate of return of 16.79% as compensation for the risk of the following investment a. Use present value techniques to estimate the IRR on this investment. b. On the basis of your finding in part a, should Justin make the proposed investment? a. The yield on this investment is %. (Round to two decimal places.) Data table Initial Investment End of Year 1 2345 $15,119 Income $3,957 $4,879 $5,900 $3,601 $2,000 - X C
What is the rate of return (the interest rate) on an investment today of $30,626.24 if the company expects to receive $45,000 in 5 years? а. 9% O b. 8% С. 6% d. 7%
What is the future value of ordinary annunity of RM1000 per year for 7 year compounded at 10% ? What would be future value if it were innunity due?
8. Determine the future value at the end of two years of an investment of OMR3,000 made now and an additional OMR3,000 made one year from now if the compound annual interest rate is 4 percent.
3
Find the effective rate of interest for an investment that earns 27 1/7% per year, compounded continuously
If $43,000 is invested now, which of the following value is closest to the equivalent future dollars 6 years from now to earn a real interest rate of 3% per year when the inflation rate is 6% per year? Select one: а. 51,344 b. 72,833 c. 66,709 d. 79,519 е. 60,996
4. Find the future worth in year 10 of an investment that starts at P8000 in year 1. The interest rate is 10% per year.

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ii. iii. Calculate the equivalent level effective rate of return over the four year-period. If RM7500 is invested in the year 2016, under the same interest environment, calculate the return of investment in the year 2020.