Needs to invest at the beginning of each year in stock

Assignment Help Financial Management

Reference no: EM132050462

1. Muath has just received a trust fund from his father amounting to $2,450,000. He decides to put all of the money in a long term deposit for 10 years. Bank Jahal offers him an interest rate of 5 percent with annual compounding, while Bank Batil, offers him an interest rate of 4.8 percent with quarterly compounding.

How much will he have in his account at the maturity if he chose Bank Jahal?

a. $1,504,088

b. $3,990,792

c. $3,948,086

d. $4,587,099

e. $5,046,089

2. Hateem plans to invest in the Shariah compliance stock market at the end of each year?. In average he earns 10% per year on his stocks. What will be the amount Hateem needs to invest at the beginning of each year in the stock if he wishes to have $500,000 after 30 years?

a. $3,256.98

b. $2,960.89

c. $2,763.29

d. $3,039.62

e. $1,964.04

Reference no: EM132050462

Questions Cloud

What is the sales forecast for january : ABC Company has sales forecast for the following: February = $40,000; March = $65,000. What is the sales forecast for January

Recommendation document explaining the important facts : Prepare detailed recommendation document explaining the important facts

Purchasing homeowners insurance : Assume you are purchasing your first auto and home insurance policies. Consider the following questions:

How is it different from operational budgeting : What is capital budgeting and how is it different from operational budgeting?

Needs to invest at the beginning of each year in stock : What will be the amount Hateem needs to invest at the beginning of each year in the stock if he wishes to have $500,000 after 30 years?

What is the value of the investment to you now : What is the value of the investment to you now if the appropriate annual discount rate is 11.00%?

Determine the amount of manufacturing overhead : Ferdi Company uses a predetermined overhead rate of $23.40 per directed labor-hour. Determine the amount of manufacturing overhead

Explain the theories of transgenderism : In Week 4, you submitted your Final Project topic to your Instructor for approval. This week, you will submit an outline of your Final Project paper.

What conclusion should be drawn from these results : To determine whether this difference is significant, you collect data on the seating preferences for the students in your class. The data follow.

User Account

All Pages