How long will it take for his investment to grow

Assignment Help Microeconomics
Reference no: EM13876790

An investor has $45,000 to invest. A relatively safe investment offers 3.5 % interest compounded quarterly. A more risky investment offers 5.4 % compounded monthly. The investor allocates $22,500 to each investment. How long will it take for his investment to grow to $56,250?

Reference no: EM13876790

Questions Cloud

The new break even volume : Sundial, Inc., produces two models of sunglasses: AU and NZ. The sunglasses have the following characteristics:
What is the new transportation plan and what is the new cost : The company wishes to spread out the source for each of its markets to the maximum extent possible. To accomplish this, it will accept a 5% increase in its total transportation cost from part (a). What is the new transportation plan, and what is t..
Compute the total overhead spending variance : Compute (a) the total overhead spending variance, (b) the overhead efficiency variance, and (c) the total overhead flexible-budget variance for 2010.
What is her monthly payment if she wants to repay the loan : A student finishes her college after accumulating a $30,000 federally backed student loan over 4 years. The loan charges 3.5 % interest compounded monthly. What is her monthly payment if she wants to repay the loan (amortize) over the next 6 years..
How long will it take for his investment to grow : An investor has $45,000 to invest. A relatively safe investment offers 3.5 % interest compounded quarterly. A more risky investment offers 5.4 % compounded monthly. The investor allocates $22,500 to each investment. How long will it take for his i..
Total weight of a wheelbarrow : The total weight of a wheelbarrow filled with gravel is 120 lb. If the wheel barrow is held on an 18° incline in the position shown, determine the magnitude and direction of
Consider the business application item : Consider the Business Application item "Using Statistical Analysis to Improve Profitability.
Derive the modified formula for price of bond : Assuming that the account in the previous problem continues to receive the same interest rate, for how long can this individual withdraw $40,000 a year from the account?
What arguments can you make for and against such state laws : What arguments can you make for and against such state laws?

Reviews

Write a Review

Microeconomics Questions & Answers

  The free rider problem

Question: Explain why the free rider problem makes it difficult for perfectly competitive markets to provide the Pareto efficient level of a public good.

  Failure of the super committee is good thing for economy

Some commentators have argued that the failure of the “Super committee” is good thing for the economy?  Do you agree?

  Case study analysis about optimum resource allocation

Case study analysis about optimum resource allocation: -  Why might you suspect (even without evidence) that the economy might not be able to produce all the schools and clinics the Ministers want? What constraints are there on an economy's productio..

  Fixed cost and vairiable cost

Questions:  :   Which of the following are likely to be fixed costs and which variable costs for a chocolate factory over the course of a month?  Explain your choice.

  Problem - total cost, average cost, marginal cost

Problem - Total Cost, Average Cost, Marginal Cost: -  Complete the following table of costs for a firm.  (Note: enter the figures in the  MC   column  between  outputs of  0 and 1, 1 and 2, 2 and 3, etc.)

  Oligopoly and demand curve problem

Problem based on Oligopoly and demand curve,  Draw and explain the demand curve facing each firm, and given this demand curve, does this mean that firms in the jeans industry do or do not compete against one another?

  Impact of external costs on resource allocation

Explain the impact of external costs and external benefits on resource allocation;  Why are public goods not produced in sufficient quantities by private markets?  Which of the following are examples of public goods (or services)? Delete the incorrec..

  Shifts in demand and movements along the demand curve

Describe the differences between shifts in demand and movements along the demand curve. What are the main factors which can shift the demand curve? Explain why they cause the demand curve to shift. Use examples and draw graphs to support your discuss..

  Article review question

Article Review Question: Read the following excerpts from the article "Fruit, veg costs surge' by Todd, Dagwell, published in the Herald on January 25th 2011 and answer questions below:

  Long-term growth, international trade & globalization

Long-term Growth, International Trade & Globalization:- This question deals with concepts such as long-term growth, international trade and globalization. Questions related to trade deficit, trade surplus, gains from trade, an international trade sce..

  European monetary union (emu) in crisis

"Does the economic bailout of Spain and Greece spell the beginning of the end for the European Monetary Union (EMU)?"

  Development game “settlers of catan”

Read the rules of the game, the overview and the almanac for the Development Game "Settlers of Catan"

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd