What if you wait ten years before contributing

Assignment Help Financial Management
Reference no: EM131975792

You have just made your first $4,500 contribution to your individual retirement account. Assume you earn an annual return 10.7 percent and make no additional contributions. What will your account be worth when you retire in 41 years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Account value $ What if you wait 10 years before contributing? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Account value $

Reference no: EM131975792

Questions Cloud

What is the present value of liability : If the relevant discount rate is 6 percent, what is the present value of this liability?
How much would you have for down payment at the end of year : Your expected annual return is 5%. How much would you have for a down payment at the end of Year 3?
Continuous compounding-compute the future value : Continuous compounding: compute the future value of $1625 continously compounded for a) five years at an annual percentage rate of 14%
Take for you to buy the laptop in your shopping list : How many year will it take for you to buy the laptop in your shopping list?
What if you wait ten years before contributing : What if you wait 10 years before contributing?
What is the most expensive car you could afford : What is the most expensive car you could afford if you finance it for 48 months?
Interest rate risk increases with : Interest rate risk increases with:
What are the pre-tax profits from sales of the shelters : What are the pre-tax profits from sales of the shelters?
Compute the monthly contribution to reach that goal : How much money does she need to contribute per month to reach her goal? compute the monthly contribution to reach that goal.

Reviews

Write a Review

Financial Management Questions & Answers

  Calculate the annual return on the mutual funds

Suppose an individual invests $34,000 in a load mutual fund for two years. The load fee entails an up-front commission charge of 3.8 percent of the amount invested and is deducted from the original funds invested. In addition, annual fund operating e..

  Trucking company-capital budgeting analysis

Determine which tractor you would recommend that Steve purchase. Determine the cash flows associated with the different trucks for each year of the project.

  Most adverse market movement scenario

What is the DEAR (in $) under 5-percent most adverse market movement scenario?

  What will be your profit or loss if the stock price falls

what will be your profit or loss if the stock price falls to $ 60 by the exercise date in June?

  Expects non normal dividend growth over the next three years

Louis incorporated expects non normal dividend growth over the next three years; that is a 10% growth rate in the first year, then 20%, and then 25% followed by growth of 5% thereafter. If the last dividend paid was $.25 and the appropriate discount ..

  What is the stock expected price five years from today

If its required return is 12%, what is the stock's expected price 5 years from today?

  What are limitations of the internal rate of return method

What are some reasons that capital asset acquisition decisions receive particular attention? What are the limitations of the internal rate of return method and the problems with the payback method?

  What is cost of common equity and wacc

Palencia Paints Corporation has a target capital structure of 45% debt and 55% common equity, What is its cost of common equity and its WACC?

  What was wacc before selling the bonds

What was Ash's WACC before selling the bonds? What is its new WACC after selling the bonds and retiring the stock with the proceeds from the sale of the bonds?

  What is the current ratio and what is the quick ratio

SDJ, Inc., has net working capital of $3,490, current liabilities of $4,950, and inventory of $4,990. What is the current ratio? What is the quick ratio?

  Regarding non-compete agreements signed by employees

In the law of many states, which of the following is true regarding non-compete agreements signed by employees?

  Calculate the gross margin and operating margin

You are given the following information for Smashville, Inc. Cost of goods sold: $ 259,000 Investment income: $ 3,100 Net sales: $ 402,000 Operating expense: $ 94,000 Interest expense: $ 7,400 Dividends: $ 11,000 Tax rate: 30 % . Calculate the gross ..

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