User Account

All Pages

Increasing cost of education in singapore

Assignment Help Finance Basics
Reference no: EM133114910

After graduating from JCU, David has been working in a local company as a finance manager for 2 years. He is currently earning $4,000 per month. Over the last 2 years, he has successfully saved $20,000 in his bank account. However, David is considering to invest his savings to fund for his children's education expenses. He feels that based on the increasing cost of education in Singapore, he will need $200,000 in 6 years to pay off his children overall education fees throughout their primary school period. Assuming David's salary stays constant throughout 6 years from now.

a. Based on the past performance of S&P 500 index, David expects an average return of 12% p.a. on his investment. If he decides to invest all his savings in the bank only, how much will he get in 6 years? Will David have $200,000 he needs in 6 years? If not, how much more money will he need today? PV=FV/(1+r)t ; FV=PV(1+r)t

b. What financial advices you could give David to achieve his goal in 6 years' time?

Reference no: EM133114910

Questions Cloud

Company financial position : Provide a summary of the impact that the new loan repayments will have on the company's financial position after debt servicing. Assume a projected increase of
Yield converted to a periodicity : You own a four-year, 7.0% semiannual coupon corporate bond that has a current annual yield-to-maturity on a semiannual basis of 6.58%. What is this yield conver
Measures the risk per unit of return : 1.) An investment was made for $35,000 and and income of $3,000. The ending value of the investment was $34,000. The percentage return on the investment is clo
Prepare proposed schedules of liquidation on january : Prepare proposed schedules of liquidation on January 31, February 28, and March 31 to determine the safe payments made to the partners
Increasing cost of education in singapore : After graduating from JCU, David has been working in a local company as a finance manager for 2 years. He is currently earning $4,000 per month. Over the last 2
Determine the interest rate implicit in the lease agreement : Accordingly, at inception of the lease, Southwest recorded a $4,611,018 lease liability. Determine the interest rate implicit in the lease agreement
Should david code and bill for the audiometry screening : Today, Dr. Salpega performs a bilateral tympanostomy for a more permanent treatment of the condition. Should David code and bill for the audiometry screening
Project internal rate of return : What is the project's internal rate of return? Calculate to two decimal places.
Discuss how can you achieve the objectives : You have wealth that was inherited from your own parents and grandparents. You want to help people with the wealth. At the same time, you also want to acquire p

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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