What is the value of the fund today

Assignment Help Financial Management
Reference no: EM131495393

Please answer in Excel and show steps: Dennis has been dollar cost averaging in a mutual fund by investing $1,000 at the beginning of every quarter for the past 5 years. He has been earning an average annual compound rate of return of 11% compounded quarterly. What is the value of the fund today?

Reference no: EM131495393

Questions Cloud

Why is beta theoretically correct measure of a stock risk : Why is beta the theoretically correct measure of a stock’s risk?
What is the cash flow associated with the sale of used truck : If the Johnson Company of Problem 1 is subject to a marginal tax rate of 34%, what is the cash flow associated with the sale of the used truck?
How many years should the splitter be retained : A self-employed worker operates a firewood service. He purchased a commercial-grade wood splitter for $5800. how many years should the splitter be retained?
What is the present value of the stock : What is the present value of the stock if the effective annual interest rate is 20%?
What is the value of the fund today : He has been earning an average annual compound rate of return of 11% compounded quarterly. What is the value of the fund today?
Mezcoph is planning to put on ten week summer exercise camp : MEZCOPH is planning to put on a ten week summer exercise camp to introduce kids to the importance of exercise.
What will the price of this stock : What will the price of this stock be 4 years from today if the effective annual discount rate is 16%?
Find the monthly returns for the two stocks : Find the monthly returns for the two stocks. Find the annualized expected return for each stock.
Calculate the present value-annual interest rate : Calculate the present value of $10,000 to be received in exactly 10 years, assuming an annual interest rate of 9%.

Reviews

Write a Review

Financial Management Questions & Answers

  How much must they save each month to have the money

Tobin and Lauren want to save $9,000 so that they can take a belated honeymoon trip to Europe in 4 years and 2 months. How much must they save each month to have the money they need if they can get 12% annually on their savings?

  Targeted weighted average cost of capital

Central Systems, Inc. desires a weighted average cost of capital of 10 percent. The firm has an after-tax cost of debt of 6 percent and a cost of equity of 13 percent. What debt-equity ratio is needed for the firm to achieve its targeted weighted ave..

  The personal auto policy contains several coverages

The personal auto policy contains several coverages that meet the insurance needs of typical insured individuals. For each of the following coverages, briefly describe the type of coverage provided, and give an example of a loss that would be covered..

  What is the year zero project cash flow

You must evaluate a proposed spectrometer for the R&D department. The base price is $260,000, and it would cost another $65,000 to modify the equipment for special use by the firm.  What is the initial investment outlay for the spectrometer, that is,..

  What is the terminal value of the firms cash flows

River Walk Tours is expected to have an EBIT of $354,000 next year. Depreciation, the increase in net working capital, and capital spending are expected to be $24,000, $2,000, and $33,000, respectively. What is the terminal value of the firm’s cash f..

  What is the expected market value of a bond

What is the expected market value of a bond that has 5 years to maturity, a yield of 6.5% a coupon rate of 7.5%, a cost basis of 10354.18 and a fair market value of 10,000? The bond pays interest semi-annually.

  Determination of the market portfolio

How does this affect the central results of the CAPM and the determination of the market portfolio?

  Computer-based order entry system-what is irr for project

Your firm is contemplating the purchase of a new $530,000 computer-based order entry system. what is the IRR for this project?

  Which plan offers the higher net present value

The Landers Corporation needs to raise $2.00 million of debt on a 10-year issue. If it places the bonds privately, the interest rate will be 14 percent. Forty five thousand dollars in out-of-pocket costs will be incurred. For each plan, compare the n..

  Breakeven analysis-better care clinic historical financial

Better Care Clinic (Breakeven Analysis) Fairbanks Memorial Hospital, an acute care hospital with 300 beds and 160 staff physicians, is one of 75 hospitals owned and operated by Health Services of America, a for-profit, publicly owned company. Using t..

  Find after-tax return to corporation

Find the after-tax return to a corporation that buys a share of preferred stock at $32, sells it at year-end at $32, and receives a $4 year-end dividend. The firm is in the 30% tax bracket.

  What is your forecast for the current value of share

Pythagoras Jones is a prominent Wall Street analyst. Jones recently announced that he expects Right Triangle Design (RTD) to pay dividends of $5, $12, and $13 over the next 3 years. After that he forecasts 4% growth in perpetuity for RTD. If the appr..

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