Question 1) 니01K 12.t where m= 1+7 B(t)=d(m-1 %3D a) Mutual fund is earning an APR of 9%.(r=.09). What monthly deposit d is necded for a balance 'of 2million dollars in 40uears? Show work. b) Assume your mutual fund is eamnina an APR of 107. (r=10). What montnly deposit d is needed for a balance of 2million dollars in 4Ouears? C) Assume your mutual find is earning an APR of 11%(F=.11). What monthly deposit is needed fora balance of 2million dollars in 40uears
Question 1) 니01K 12.t where m= 1+7 B(t)=d(m-1 %3D a) Mutual fund is earning an APR of 9%.(r=.09). What monthly deposit d is necded for a balance 'of 2million dollars in 40uears? Show work. b) Assume your mutual fund is eamnina an APR of 107. (r=10). What montnly deposit d is needed for a balance of 2million dollars in 4Ouears? C) Assume your mutual find is earning an APR of 11%(F=.11). What monthly deposit is needed fora balance of 2million dollars in 40uears
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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Transcribed Image Text:Question 1)
401K
where m= | +
BCE) =d (),
12.t
m-1
la) Mutual fund is earning an APR of
9%. (r=.09).
What monthly deposit d is needed
for a balance 'of 2million dollars
in 40years? Show work.
b) Assume uour mutual fund is eaning
an APR of 107. (r=10).
What monthly deposit d is needed
for a balance of 2million dollars in
4Ouears?
C) Assume your mutual fund is earning
an APR of 11% (F=.l1).
What monthly deposit is needed for a
balance of 2million dollars in 40uears?
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