Assume no inter period compounding

Assignment Help Financial Management

Reference no: EM131821495

How much would your parents have to deposit each month into an account that grows at a rate of7% per year compounded bi-monthly if they want to have $68,000 at the end of year 4 to cover part of your college expenses? Assume no interperiod compounding.

Reference no: EM131821495

Questions Cloud

Bondholders expected rate of return : (?Bondholders' expected rate of return?) You purchased a bond for $925. The bond has a coupon rate of 12 percent, which is paid semiannually.

Usually results in the lowest value for the target firm : Which of the valuation methods usually results in the lowest value for the target firm?

Invest the money in stock with beta : Assume that you receive another $500,000. If you invest the money in a stock with a beta of 0 75, what will be required return on your $5 5 million portfolio.

About the retirement goal : How much must she should deposit every year to meet her retirement goal?

Assume no inter period compounding : if they want to have $68,000 at the end of year 4 to cover part of your college expenses? Assume no inter period compounding.

Which loan should michael? take : Michael is shopping for a special automobile. He finds the exact car he? wants, a 1966 dark blue Pontiac GTO. Which loan should Michael? take?

What is your holding period return for the one-year period : What is your holding period return for the one-year period? What can you conclude about how you earn a return on a zero-coupon bond over time?

Solving the monthly payments for the mortgage loan : What is the rate per period to use in solving the monthly payments for the mortgage loan

Firm cash flow for the next four? years : What impact will the cost of the purchase have on the? firm's cash flow for the next four? years?

User Account

All Pages