Compute the return on the investment

Reference no: EM1312374

Pedro Martinez wants to invest $25,000 in a spa that his sister is starting. He will triple his investment in six years. What is the rate of return that Pedro is being promised? (Rounded to the nearest percent.)

a) 18%

b) 20%

c) 12%

d) 25%

Reference no: EM1312374

Questions Cloud

Compute the firm''s equity multiplier at given a debt ratio : Compute the firm's equity multiplier at given a debt ratio

Estimating median and first and third quartiles : Then use ogive to estimate median and first and third quartiles. Also utilize it to reply following question: What percent of 60 mutual fund loads are less than 75.

Determine the inventory balance at december : Determine the inventory balance at December 31, 2004 and evaluate the inventory balance at Decmber 31, 2004, without the reduction for LIFO reserve?

Calculate the focal length of the magnifying glass : Rare 1918 "Jenny" stamp, depicting a misprinted, upside-down Curtiss JN-4 "Jenny" airplane, was sold at auction for $525,000. A collector uses a simple magnifiying glass to examine the "Jenny," obtaining a linear magnification of 2.4 when the stam..

Compute the return on the investment : Compute the return on the investment and What is the rate of return that Pedro is being promised

Determine the projects initial outlay : Determine the projects initial outlay and are the projects annual after tax cash flows for years 1-9?

Estimate marginal and conditional probabilities : What is the probability that a cereal would both high calorie and high fiber? In other words, what is P (high calorie and high fiber)?

Defining the lower and upper limits of interval : What proportion of time will it take clean-up crew 56 or more hours for cleaning plant? Define the lower and upper limits of interval.

Determining if peanut butter is carcinogenic : Explain the experiments, their expected results, and your conclusions. You may suppose that you have an unlimited budget and an Institutional Review Board with very strict guidelines for research in humans.

User Account

All Pages