How much will be value of your investment after five years

Assignment Help Accounting Basics
Reference no: EM132846281

Questions -

Q1. Mae expects to receive $1,000 at the end of each of the next three years. She will deposit these payments into an account which pays 10%, compounded semi-annually. How much will be the future value of these payments, that is, the value at the end of the third year?

Q2. Madison is thinking of buying an investment from PEP. If she purchases the investment, Madison will receive $1,000 every 3 months for 2 years. The first $1,000 payment will be made as soon as she buys the investment. If the required rate of return of Madison is 16%, what amount should she be willing to pay for this investment?

Q3. Assuming that you can invest to earn a stated annual rate of return of 12%, but where interest is compounded semi-annually. If you make consecutive semi-annual deposits of $500 each, with the first deposit being made today, how much will be your balance at the end of fifth year?

Q4. If Dua invests $5,000 in a mutual fund extending a total annual return of 8% and you re-invest the proceeds each year, how much will be the value of your investment after 5 years?

Q5. How much money should you invest at 12% interest, compounding quarterly, in order to see your investment grow to $5,000 in the span of 27 months?

Reference no: EM132846281

Questions Cloud

How do geographically dispersed team collaborate effectively : Find at least three tools on the market that teams can use to collaborate on a geographically dispersed team. Please note the pros and cons of each tool.
Explain the differences in charismatic and transformational : Explain the differences in charismatic and transformational leadership and how both leadership styles impact organizational effectiveness.
Was manufacturing overhead under- or overapplied : For 2021, the estimated and actual labour-hours were 216,000 and 185,000 respectively, Was manufacturing overhead under- or overapplied
What is a project and what are project main attributes : Discuss the importance of top management commitment and the development of standards for successful project management. Provide examples
How much will be value of your investment after five years : If Dua invests $5,000 in a mutual fund extending a total annual return of 8%, how much will be the value of your investment after 5 years
What traditional and modern maps that are very valuable : What traditional and modern MAPs that are very valuable but yet being underutilized by SMEs? Discuss constraints of SMEs that contribute to the underutilization
Prepare the journal entry for issuance of the bonds on june : On June 1, 2018, Eiffel decided to retire 20% of the bonds. Prepare the journal entry for the issuance of the bonds on June 1, 2016
Should the moss hire an additional employee : As Miranda Hobson, prepare a letter to the Moss advising them on their laundry needs. What is your recommendation and why?
What is the amount of outstanding checks on July : Check for purchase of supplies was drawn for P300,000 but was recorded as P200,000. What is the amount of outstanding checks on July

Reviews

Write a Review

Accounting Basics Questions & Answers

  Determine the correct year-end amount of the total assets

Use the following schedule, determine the correct year-end amount of the (1) total assets (2) total liabilities, (3)owners' equity, and (4) net income.

  Prepare the journal entry to record the exercise of warrants

Assume Bradley-Link induced conversion by offering $150 cash for each bond converted. Prepare the journal entry to record (book value method) the conversion of 90% of the convertible bonds in January 2012.

  Prepare journal entries to record the cancellation

Prepare journal entries to record the acquisition and cancellation of the treasury shares on March 1 and the instalment (and default) on March 31.

  What amount should be reported in the december

What amount should be reported in the December 31, 20X8, consolidated balance sheet as inventory? Parent Corporation owns 90 percent of Subsidiary 1 Company

  Explain the role each department plays in the process

Identify two departmental units that play a role in developing and maintaining the accounting information system. Explain the role each department plays

  Compute a partial balance sheet

Allowance for Doubtful Accounts, $10,000; Merchandise Inventory, $20,00, Prepare a partial balance sheet

  How much is February total cost of production

Anticipated unit sales for January are 5,000; If units cost $8 each to produce, how much is February's total cost of production

  The accounts related to the ski park contract

At December 31, 2010, Roko Co. has two fixed price construction contracts in progress. Both contracts have monthly billings supported by certified surveys of work completed. The contracts are:

  Prepare a bank reconciliation for del gato clinic

Prepare a bank reconciliation for Del Gato Clinic using the above information

  Determine the ending balance that sandburg corporation

Determine the ending balance that Sandburg Co. should report as its investment in Yevette Corp. at the end of 2011.

  Calculate the margin of safety as a percentage

Noman, a friend of yours, has come to you for financial advice. Calculate the margin of safety as a percentage and briefly comment on your answer

  What is rover labor quantity variance

Rover Company, In producing 820 units, Rover used 4,300 hours of labor at a total cost of $39,000. What is Rover's labor quantity variance?

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