« previous next »

Author Question: You invest 5,000 today at an annual interest rate of 6.35, how much money will you have for your ... (Read 103 times)

EY67

  • Hero Member
  • *****
  • Posts: 531
on: Jul 10, 2018
you invest 5,000 today at an annual interest rate of 6.35, how much money will you have for your daughter's college education in 18 years?
 
  A) 5,603
  B) 10,000
  C) 15,144
  D) There is not enough information to answer this question.

Question 2

You need 32,000 at the end of 6 years. If you can earn 0.625 per month, how much would you need to invest today to meet your objective?
 
  A) 17,600
  B) 18,319
  C) 20,735
  D) 20,433


jonathanballen97

  • Sr. Member
  • ****
  • Posts: 347
Reply #1 on: Jul 10, 2018
Answer to Question 1

Answer: C
Explanation: C) FV = PV  (1 + r)n = 5,000  (1.0635)18 = 15,144.15
MODE = END
INPUT 18 6.35 -5,000 0 ?
KEY N I/Y PV PMT FV
CPT 15,144.15

Answer to Question 2

Answer: D
Explanation: D) PV = = = 20,432.70
MODE = END
INPUT 72 .625 ? 0 -32,000
KEY N I/Y PV MT FV
CPT 20,432.70


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Excessive alcohol use costs the country approximately $235 billion every year.

Did you know?

Disorders that may affect pharmacodynamics include genetic mutations, malnutrition, thyrotoxicosis, myasthenia gravis, Parkinson's disease, and certain forms of insulin-resistant diabetes mellitus.

Did you know?

Glaucoma is a leading cause of blindness. As of yet, there is no cure. Everyone is at risk, and there may be no warning signs. It is six to eight times more common in African Americans than in whites. The best and most effective way to detect glaucoma is to receive a dilated eye examination.

Did you know?

Elderly adults are living longer, and causes of death are shifting. At the same time, autopsy rates are at or near their lowest in history.

Did you know?

In 1885, the Lloyd Manufacturing Company of Albany, New York, promoted and sold "Cocaine Toothache Drops" at 15 cents per bottle! In 1914, the Harrison Narcotic Act brought the sale and distribution of this drug under federal control.

Relative rate test, calibrating the molecular clock, and calculating divergence dates. Relative rate test, calibrating the molecular clock, and calculating divergence dates.
Determining the order and rate constant of an irreversible first-order reaction Determining the order and rate constant of an irreversible first-order reaction
How to solve rate problems leading to fractional equations (Question 1) How to solve rate problems leading to fractional equations (Question 1)
Factors That Affect Your Basal Metabolic Rate Factors That Affect Your Basal Metabolic Rate
Odds please I need it today Odds please I need it today
"The Department of Agriculture came out today with its prediction for food price "The Department of Agriculture came out today with its prediction for food price
Video: Genetic terms Animation

For a complete list of videos, visit our video library