How much should his initial investment be

Assignment Help Econometrics

Reference no: EM131222749

A young man has decided to go into business at age 40. He wishes to accumulate BD 200,000 at that age. On his twenty fifth birthday he deposited a certain amount and will increase the deposit by 10% each year until the fortieth year. If the funds can be invested at 9.6% compounded annually, how much should his initial investment be?

Reference no: EM131222749

Questions Cloud

Payments for services rendered : Suppose you are a local dry cleaner. Historically you have accepted cash and checks as payments for services rendered. However, over the years you realize you have lost a lot of money on "bad check" How could you obtain insurance against credit r..

What is the equilibrium relative price of apples : Now suppose world relative demand takes the following form: Demand for apples/ demand for bananas = price of bananas/price of apples

How all five senses impact perception : Eight slides (one title slide, six content slides, and one reference slide). How all five senses impact perception. The role of perception in critical thinking. Speaker notes that elaborate on the bulleted content on your slides

What is the current-year cpi : The market basket consists of 10A and 20B. The prices of A and B in the current year are $2 and $4, respectively. The prices of A and B in the base year are $1 and $2.50, respectively. What is the current-year CPI?

How much should his initial investment be : A young man has decided to go into business at age 40. He wishes to accumulate BD 200,000 at that age. On his twenty fifth birthday he deposited a certain amount and will increase the deposit by 10% each year until the fortieth year. If the funds ..

Describe in detail all guidelines about traits for managers : Explain the personality syndrome narcissism and describe some of positive and negative aspects in relation to leadership. Describe in detail the all the guidelines about traits and skills for managers.

Describe how the bls determines whether an individual : Describe how the BLS determines whether an individual is "employed," "unemployed," or "not in the labor force."

How planning develop young childrens thinking skills : How Planning and Reflection Develop Young Children's Thinking Skills. Let's SQUiNK about It! A Metacognitive Approach to Exploring Text in a Second Grade Classroom.

Consumer budget constraint and indifference curve : Draw the consumer's budget constraint and indifference curve to illustrate this condition. Is the consumer maximizing his utility? If so, explain why. If not, explain why not, explain how the consumer should adjust his purchases, and illustrate t..

User Account

All Pages