Your parents have accumulated a $120,000 nest egg. They have been planning to use this money to pay college costs to be incurred by you and your sister, Courtney. However, Courtney has decided to forgo college and start a nail salon. Your parents are giving Courtney $15,000 to help her get started, and they have decided to take year-end vacations costing $10,000 per year for the next four years. How much money will your parents have at the end of four years to help you with graduate school? You plan to work on a master’s and perhaps a PhD. If graduate school costs $26,353 per year, approximately how long will you be able to stay in school based on these funds? Use 9 percent as the appropriate interest rate throughout this problem. Round all values to whole numbers Flag question: Question 6 Question 64.5 pts What are the funds available after the Nail Salon? Group of answer choices $100,000 $105,000 $72,000 $98,500 Flag question: Question 7 Question 74.5 pts What is the Present Value of the vacations? Group of answer choices $32,397 $37, 900 $45,000 $24,643 Flag question: Question 8 Question 84.5 pts What are the funds available after vacations? Group of answer choices $46,000 $83,750 $75,002 $72,603 Flag question: Question 9 Question 94.5 pts Future Value: What are the funds available for graduate school? Group of answer choices $102,485 $100,450 $92,000 $108,489 Flag question: Question 10 Question 104.5 pts How many years of graduate school can be funded with your financial management? Hint: Refer to Appendix D for the formula to calculate the available funds after graduate school. Group of answer choices N=5 N=8 N=6 N=2
Your parents have accumulated a $120,000 nest egg. They have been planning to use this money to pay college costs to be incurred by you and your sister, Courtney. However, Courtney has decided to forgo college and start a nail salon. Your parents are giving Courtney $15,000 to help her get started, and they have decided to take year-end vacations costing $10,000 per year for the next four years. How much money will your parents have at the end of four years to help you with graduate school? You plan to work on a master’s and perhaps a PhD. If graduate school costs $26,353 per year, approximately how long will you be able to stay in school based on these funds? Use 9 percent as the appropriate interest rate throughout this problem. Round all values to whole numbers Flag question: Question 6 Question 64.5 pts What are the funds available after the Nail Salon? Group of answer choices $100,000 $105,000 $72,000 $98,500 Flag question: Question 7 Question 74.5 pts What is the Present Value of the vacations? Group of answer choices $32,397 $37, 900 $45,000 $24,643 Flag question: Question 8 Question 84.5 pts What are the funds available after vacations? Group of answer choices $46,000 $83,750 $75,002 $72,603 Flag question: Question 9 Question 94.5 pts Future Value: What are the funds available for graduate school? Group of answer choices $102,485 $100,450 $92,000 $108,489 Flag question: Question 10 Question 104.5 pts How many years of graduate school can be funded with your financial management? Hint: Refer to Appendix D for the formula to calculate the available funds after graduate school. Group of answer choices N=5 N=8 N=6 N=2
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
Related questions
Question
Your parents have accumulated a $120,000 nest egg. They have been planning to use this money to pay college costs to be incurred by you and your sister, Courtney. However, Courtney has decided to forgo college and start a nail salon. Your parents are giving Courtney $15,000 to help her get started, and they have decided to take year-end vacations costing $10,000 per year for the next four years.
How much money will your parents have at the end of four years to help you with graduate school? You plan to work on a master’s and perhaps a PhD. If graduate school costs $26,353 per year, approximately how long will you be able to stay in school based on these funds?
Use 9 percent as the appropriate interest rate throughout this problem. Round all values to whole numbers
Flag question: Question 6
Question 64.5 pts
What are the funds available after the Nail Salon?
Group of answer choices
$100,000
$105,000
$72,000
$98,500
Flag question: Question 7
Question 74.5 pts
What is the Present Value of the vacations?
Group of answer choices
$32,397
$37, 900
$45,000
$24,643
Flag question: Question 8
Question 84.5 pts
What are the funds available after vacations?
Group of answer choices
$46,000
$83,750
$75,002
$72,603
Flag question: Question 9
Future Value : What are the funds available for graduate school?
Question 94.5 pts
Group of answer choices
$102,485
$100,450
$92,000
$108,489
Flag question: Question 10
Question 104.5 pts
How many years of graduate school can be funded with your financial management ? Hint: Refer to Appendix D for the formula to calculate the available funds after graduate school.
Group of answer choices
N=5
N=8
N=6
N=2
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