You plan to pay $38,000 cash for the new truck you want to buy 5 years from now. You are a very astute investor; all your money earns at 20% per year. If you have already saved $9500, the amount your rich aunt has to give you 2 years from now (as a graduation present) in order for you to have the total amount of $38,000 is closest to: (a) <$7500 (b) $7654 (c) $8,310 (d) $9,880
You plan to pay $38,000 cash for the new truck you want to buy 5 years from now. You are a very astute investor; all your money earns at 20% per year. If you have already saved $9500, the amount your rich aunt has to give you 2 years from now (as a graduation present) in order for you to have the total amount of $38,000 is closest to: (a) <$7500 (b) $7654 (c) $8,310 (d) $9,880
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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You plan to pay $38,000 cash for the new truck
you want to buy 5 years from now. You are a
very astute investor; all your money earns at
20% per year. If you have already saved $9500,
the amount your rich aunt has to give you 2
years from now (as a graduation present) in
order for you to have the total amount of $38,000
is closest to:
(a) <$7500
(b) $7654
(c) $8,310
(d) $9,880
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