You are doing a special project for the boss and he is going to give you a $5,000 bonus when it is completed in 3 years. In the meantime, you and your part having a baby this year. You intend to put your bonus into a 6% investment and let it accumulate until the baby is 18 years old when you will withdraw the amount for college expenses. How much will the fund be at the end of 18 years? O $11.983 O $116,380 $154.503

You are doing a special project for the boss and he is going to give you a $5,000 bonus when it is completed in 3 years. In the meantime, you and your part having a baby this year. You intend to put your bonus into a 6% investment and let it accumulate until the baby is 18 years old when you will withdraw the amount for college expenses. How much will the fund be at the end of 18 years? O $11.983 O $116,380 $154.503

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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Elizabeth and William want to begin saving for their child's college education. They estimate that they will need $119000 in twenty years. If they can earn 5% per annum, how much must be deposited at the end of each of the next twenty years to fund the education? O $9549 $9282 O $3599 O $3897
what amount of money will he have at the end of the 10th year?
Ann and Tom want to establish a fund for their grandson's college education. What lump sum must they deposit at a 10% annual interest rate, compounded quarterly, in order to have $30,000 in the fund at the end of 10 years? Question content area bottom Part 1 They should deposit $enter your response here. (Round up to the nearest cent.)
Michelle wants to set aside funds to take an around the world cruise in 7 years. Michelle expects that she will need $26500 for her dream vacation. If she is able to earn 8% per annum on an investment, how much will she have to set aside today so that she will have sufficient funds available? O $15462. O $14316. O $2970. O $45414.
Your parents are giving you $270 a month for 4 years while you are in college. At an annual interest rate of 7.32 percent, what are these payments worth to you when you first start college? $10,645.37 $11,004.00 $11,205.65 $15,004.18 $10,832.13
Rodriguez: Attempt 1 to have $120,000 in 15 years for their children's college education. How much should be paid. semiannually into an account paying 6.8% compounded semiannually? Problem: A newborn child receives a one time $20,000 gift toward college from her grandparents. How much will the $20,000 be worth in 17 years if it is invested at 7% compounded quarterly? Problem: If you buy a computer directly from the manufacturer for $2,500 and agree to repay it in 48 equal installments at 1.25% interest per month on the Q Search ly 1. A F 2. A=P 3. A- PA
You recently graduated and received a S5, 000 gift from your parents. Additionally, you secured a job with a monthly paycheck of S4, 000 after deductions. You decide to invest the gift and 10% of your monthly paycheck into an ETF that you expect to grow at a rate of 0.7% per month. What will be the balance of your investment account after 10 years assuming that your paycheck amount remains the same over these 10 years? Group of answer choicesS76, 392S86, 382S92, 133S87, 314
You would like to give your son $70,000 towards his college education 12 years from now. How much money must you set aside today for this purpose if you can earn 8% on your investments? B. $176.271.91 C. $27.797.96 A. $12.250.00 interest rate, you will triple your money in ately D. $3,688.65 E. $14.211.11
Program Mary Cooper, Sheldon's mother, who lives in east Texas, wants to help pay for her grandchild's education. How long will it take Mary to reach her goal of $180,000 if she invests $10,000 per year, earning 6 percent? Use Appendix A-3 or the Garman/Forgue companion website. Round your answer to the nearest half-year. years
Ethan is creating a college investment fund for his daughter. He will put in $21,000 per year for the next 17 years and expects to earn a 12% annual rate of return. How much money will his daughter have when she starts college? Use Appendix C to calculate the answer. Multiple Choice $1,014, 538 $1,015,551 $1,027,291 $1,026,564
A.)Your client has recently had a baby girl. He wants to set aside his annual bonus at the end of each year to pay her college costs in 18 years. He expects his bonus to be $5,000 per year and thinks he can earn 6% per year. How much will he have saved at the end of 18 years? B.) How much will he have saved at the end of 18 years if his bonus is received at the beginning of each year?

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