loader  Loading... Please wait...

Question(s) / Instruction(s):

A company is considering investing in a project that is expected to return $330,000 four years from now. How much is the company willing to pay for this investment if the company requires a 9% return?

a)            $228,372.

b)            $149,028.

c)            $233,772.

d)            $277,111.

e)            $330,000.

 

 

2. Sam has a loan that requires a single payment of $3,200 at the end of 4 years. The loan’s interest rate is 8%, compounded semiannually. How much did Sam borrow?

a)            $4,353.56

b)            $3,200.00

c)            $4,379.36

d)            $2,338.24

e)            $3,263.36

 

3. A company expects to invest $8,000 today at 9% annual interest and plans to receive $13,417 at the end of the investment period. How many years will elapse before the company accumulates the $13,417?

a)            .5963 years.

b)            4 years.

c)            3 years.

d)            6 years.

e)            1.6771 years.

 

 

4. Keisha has $3,100 now and plans on investing it in a fund that will pay her 10% interest compounded half-yearly. How much will Keisha have accumulated after 3 years?

a)            $4,154.31

b)            $3,100

c)            $4,126.10

d)            $4,276.10

e)            $3,720.00

 

 

5. How long will it take an investment of $18,000 at 8% compounded annually to accumulate to a total of $35,982.00?

a)            8 years.

b)            13 years.

c)            7 years.

d)            5 years.

e)            9 years.

 

 

6. What interest rate is required to accumulate $5,672.24 in three years from an investment of $4,900?

a)            7%.

b)            2%.

c)            5%.

d)            9%.

e)            12%.

 

 

7. Crowe Company has acquired a building with a loan that requires payments of $25,000 every six months for 4 years. The annual interest rate on the loan is 12%. What is the present value of the building (rounded)?

a)            $2,000

b)            $75,932

c)            $121,047

d)            $155,245

e)            $94,633

 

 

8. What amount can you borrow if you make four half-yearly payments of $4,800 at a 10 % annual rate of interest?

a)            $20,190.00.

b)            $48,000.00.

c)            $17,020.80.

d)            $26,401.00.

e)            $53,760.00.

 

 

9. An individual is planning to set-up an education fund for her children. She plans to invest $11,000 annually at the end of each year. She expects to withdraw money from the fund at the end of 10 years and expects to earn an annual return of 9%. What will be the total value of the fund at the end of 10 years?

a)            $110,000.

b)            $70,595.

c)            $46,464.

d)            $167,123.

e)            $26,041.

 

 

10. Chad is setting up a retirement fund, and he plans on depositing $6,600 per year in an investment that will pay 9% annual interest. How long will it take him to reach his retirement goal of $60,723?

a)            14 years

b)            9.2004

c)            4 years

d)            7 years

e)            .1087 years

 

 

Find Similar Answers by Subject


Student Reviews

Rate and review your solution! (Please rate on a Scale of 1 - 5. Top Rating is 5.)


Expert's Answer
Download Solution:
$2.50

This solution includes:

  • Plain text
  • Cited sources when necessary
  • Attached file(s)
  • Solution Document(s)



Reach Us

408-538-8534

20-3582-4059

39-008-4233

+1-408-904-6494