What is the present value of the payments

Assignment Help Business Economics
Reference no: EM131514104

1. If you invest $10,000 into a savings account at an interest rate of 1%, compounded annually, how much will you have in the savings account after 14 years?

Enter your response below rounded to 2 decimal places.

2. Suppose you take out a car loan that requires you to pay $6,000 now, $4,000 at the end of year 1, and $7,000 at the end of year 2. The interest rate is 1% now and increases to 7% in the next year. What is the present value of the payments?

Enter your response below rounded to 2 decimal places.

3. If you invest $1,000 into a savings account at an annual interest rate of 5% (APR), compounded semi-annually, how much will you have in the savings account after 10 years?

Enter your response below (rounded to 2 decimal places).

4. Assume the total cost of a university education will be $230,000 when your child enters university in 6 years. You presently have $200,000 to invest. What annual rate of interest (APR) must you earn, if the interest is compounded quarterly? Enter your answer as a percentage. Do not include the percentage sign in your answer.

Enter your response below rounded to two decimal places.

5. Suppose you will receive payments of $9,000, $1,000, and $1,000 in 3, 6, and 7 year(s) from now, respectively. What is the total future value of all payments 10 years from now if the interest rate is 4%?

Enter your response below rounded to 2 decimal places.

Reference no: EM131514104

Questions Cloud

What is economics in general : What's Economics in general? What does this definition means to you with respect to your individual life/daily events and decision making and to work?
What is your favorite aspect of the paper and why : What is your favorite aspect of this paper and why? Examine the structure of the newsletter, including its layout, use of font, and visual appeal.
How you will measure successful completion of the goal : How you will measure successful completion of the goal. Identification of actions or resources needed to attain the goal. The relevance of the goal.
What are the annual loan payments : The terms of the loan are 10 years with an interest rate of 14%. What are the annual loan payments at the end of the year to the bank?
What is the present value of the payments : The interest rate is 1% now and increases to 7% in the next year. What is the present value of the payments?
Investigate the effectiveness of an experimental drug : Construct a 95% confidence interval for the difference in proportions of women who deliver preterm - Confidence interval for the proportion of all patients
Production process and costs : In competitive markets, individual businesses operate as small sellers in the market. Suppose eBay e-books $4 per unit in a highly competitive market.
What was your experience like using the given technology : What was your experience like using the given technology? What would you do differently? How could you use a given project in your classrooms?
Present the annual inflation rates : A) What is inflation? Research and present the annual inflation rates in the U.S. for the years 2011 - 2016.

Reviews

Write a Review

Business Economics Questions & Answers

  Economics assignment

This document contains various important questions and their appropriate answers in the subject field of Economics.

  Demand and supply curves

Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.

  Long-run perfectly competitive equilibrium for the firm

Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..

  Supply and demand diagrams

Explain each of the following using supply and demand diagrams,  With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.

  Case study: fisher-price toys

The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.

  Draw the production possibility curve

Draw the production possibility curve and a. Define consumer surplus and producer surplus.

  Tax revenue

The Australian government administers two programs that affect the market for cigarettes

  Maximize total welfare

How many tickets to sell to maximize total welfare.

  Difference between the cv and the ev

The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled

  Depict von neumann-morgenstern utility index u in a diagram

Depict the von Neumann-Morgenstern utility index u in a diagram

  What is the market solution

What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution

  Calculate gross national product and net national product

Calculate gross national product and net national product

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