Reference no: EM132843751
Problem 1) What is the total future value six years from now of $50 received in one year, $200 received in two years, and $800 received in six years if the discount rate is 8%?
Problem 2) Thirty years ago, an average house cost $120,000 in Vancouver. Now the average house price is $950,000. Determine the annual rate of growth in Vancouver's housing prices
Problem 3) Moe and Joe are twins. Moe invested $1,000, earned 9% annually, and now has $1,992.56. Joe invested $1,000, earned 6.47%, and now has $1,992.97. Joe invested his money _____ years before Moe.
Problem 4) Six years ago, Marti invested $3,500 in an account. No other investments or withdrawals have been made. Today the account is worth $7,403.16. What rate of return has Marti earned thus far?
Problem 5) You need $2,000 to buy a new stereo for your car. If you have $800 to invest at 5% compounded annually, how long will you have to wait to buy the stereo?
Problem 6) An investor deposited $10,500 in an account. At the end of year four, the account had accumulated $5,728.88. Over the first four years, the account earned ________ compounded annually
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