If you want to accumulate $500,000 in 20 years
Question # 00491223
Posted By:
Updated on: 02/27/2017 12:08 AM Due on: 02/27/2017
1. If you want to accumulate $500,000 in 20 years, how much do you need to deposit today that pays an interest rate of 15%?
- 2. What is the future value if you plan to invest $200,000 for 5 years and the interest rate is 5%?
- 3,. What is the interest rate for an initial investment of $100,000 to grow to $300,000 in 10 years?
- 4. If your company purchases an annuity that will pay $50,000/year for 10 years at a 11% discount rate, what is the value of the annuity on the purchase date if the first annuity payment is made on the date of purchase?
- 5. What is the rate of return required to accumulate $400,000 if you invest $10,000 per year for 20 years. Assume all payments are made at the end of the period.
-
Rating:
/5
Solution: If you want to accumulate $500,000 in 20 years