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Category > Business & Finance Posted 29 Apr 2017 My Price 2.00

Value of Investment

8. Value of Investment. Floyd wants to invest the

$15,000 he received from his grandfather’s estate. He wants to use the money to finance his educa- tion when he pursues his doctorate in five years. What amount will he have in five years if he earns

a 9% return? If he receives a 10% return? A 12% return?

 

Answers

Alpha Geek
(8)
Status NEW Posted 29 Apr 2017 08:04 AM My Price 2.00

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file 1493453120-Answer.docx preview (64 words )
V-----------alu-----------e o-----------f I-----------nve-----------stm-----------ent-----------. -----------Flo-----------yd -----------wan-----------ts -----------to -----------inv-----------est----------- th-----------e -----------$15-----------,00-----------0 h-----------e r-----------ece-----------ive-----------d f-----------rom----------- hi-----------s g-----------ran-----------dfa-----------the-----------râ€-----------™s -----------est-----------ate-----------. H-----------e w-----------ant-----------s t-----------o u-----------se -----------the----------- mo-----------ney----------- to----------- fi-----------nan-----------ce -----------his----------- ed-----------uca------------ t-----------ion----------- wh-----------en -----------he -----------pur-----------sue-----------s h-----------is -----------doc-----------tor-----------ate----------- in----------- fi-----------ve -----------yea-----------rs.----------- Wh-----------at -----------amo-----------unt----------- wi-----------ll -----------he -----------hav-----------e i-----------n f-----------ive----------- ye-----------ars----------- if----------- he----------- ea-----------rns----------- a----------- 9%----------- re-----------tur-----------n? -----------If -----------he -----------rec-----------eiv-----------es -----------a 1-----------0% -----------ret-----------urn-----------? A----------- 12-----------% r-----------etu-----------rn?----------- A-----------nsw-----------er ----------- FV-----------=A*-----------(1+-----------r)^-----------n ,----------- wh-----------ere----------- A=-----------Amo-----------unt----------- De-----------pos-----------ite-----------d,n-----------=Pe-----------rio-----------d,r-----------=In-----------ter-----------est----------- Ra-----------te -----------Whe-----------n r-----------=9%----------- , -----------FV=-----------150-----------00*-----------(1.-----------09^-----------5) -----------230-----------79 ----------- -----------
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