Increased your contributions

Assignment Help Financial Management
Reference no: EM131452487

You open an account that earns 18% interest and start saving $1000 at the end of this year. You have the option increase your saving by 8% each year, or keep your contribution constant each year. If you do not increase your savings by 8%, how much less will you have in your account after 19 years than if you increased your contributions? Round your answer to the nearest dollar.

Reference no: EM131452487

Questions Cloud

Describe the problem at that company : Identify the name and description of the selected company - Describe the problem at that company and Identify one research variable from that problem.
Determine the factory overhead rate for each plant : Costs have been compiled for a certain manufacturing company for the most recent year. The summary is shown in the table below.
Write paper on role of genetics in fisheries management : Paper is on the role of genetics in fisheries management. What role for genomics in fisheries management and aquaculture
Which of the following is an example of ageism? : Saying, "That is a very interesting haircut" instead of saying you don't like it is an example of what kind of lie?
Increased your contributions : how much less will you have in your account after 19 years than if you increased your contributions?
Determine the value of q that maximizes the annual profit : Theoretically, any given production plant has an optimum output level. Suppose a certain production plant has annual fixed costs PC = $2.000,000.
Identify and define the stages of team development : Identify and describe the stages of team development. How might stronger team skills benefit you? How might you use teamwork skills in your job?
Ability to meet financial obligations when due : Which of the following motives for holding cash concerns managers’ ability to meet financial obligations when due?
What is the financial and cash break-even quantity : What is the financial break-even quantity? What is the cash break-even quantity?

Reviews

Write a Review

Financial Management Questions & Answers

  Appropriate discount rate-what is the present value

An investment will pay you $90,000 in three years. Assume the appropriate discount rate is 6.00 percent compounded daily. What is the present value?

  Your company is considering using the payback period for

your company is considering using the payback period for capital-budgeting. discuss the advantages and disadvantages of

  What is arbitrage

What is arbitrage? Explain the arbitrage opportunity when the price of a dually listed mining company stock is $50 on the New York Stock Exchange and $52 CAD on the Toronto Stock Exchange. Assume that the exchange rate is such that 1 USD equals 1.01 ..

  Convertible into shares of the firms common stock

The bonds of a company are convertible into shares of the firm's common stock at $40 per share. The current price of the common stock is $35 per share. The bonds have a $1,000 par value and currently sell for $900 apiece. When the bonds were issued, ..

  What was return on investment in percent

Ashley invested $4,500 in the stock of target. She received $226.00 in dividends from stock and sold it one year later for $4,100. What was Asley's return on investment in percent?

  Compute net profit margin and return on assets

Compute the Net profit margin, Return on assets, Total asset turnover, DuPont analysis, Operating income margin, Return on operating assets, Operating asset turnover for 2011, 2010, and 2009:

  Firms net income-total dollar return to investors and roe

Your firm, General Hospital currently uses zero debt financing. Its operating income (EBIT) is $1 million and it pays taxes at a 40 percent rate. It has $5 million in assets and, because it is all-equity financed, $5 million in equity. Suppose the fi..

  Voting rights to management group running general electric

Jacques Smith holds 1,000 shares of General Electric’s (GE) common stock. The annual stockholder meeting is being held soon, but as a minor shareholder, Jacques doesn’t plan to attend. Jacques did not sell his shares but gave his voting rights to the..

  What is the current market price of the bond

A 5.5 percent $1,000 bond matures in 7 years, pays interest semi-annually, and has a yield to maturity of 6.23 percent. What is the current market price of the bond?

  What growth rate could supported with no outside financing

You’ve collected the following information about Odyssey, Inc.: Sales $ 205,000 Net income $ 14,200 Dividends $ 9,100 Total debt $ 82,000 Total equity $ 63,000 sustainable growth rate= .0880962789(8.81%)If it does grow at this rate, how much new borr..

  Convertible bonds with a conversion ratio

City Tire has issued 100 convertible bonds with a conversion ratio of 20. Currently the bonds have not been converted and City Tire has 3,000 shares of common stock outstanding. What is the lowest stock price at which a convertible bondholder would f..

  Asset-liability-revenue-expense-equity or nothing

Determine whether each of the following is an asset, liability, revenue, expense, equity, or nothing. If more than one account is affected, analyze the impact on all accounts. Assume a year-end of December 31st. Justify your answer with appropriate "..

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