Reference no: EM133238715
1. You plan to invest $10K every year for 18 years. You also plan to make 4 equal withdrawals in years 17, 18, 19, and 20. How large can your annual withdrawals be if the interest rate is 6%?"
"$84,089 "
"$71,203 "
"$79,380 "
"$73,927 "
"$82,310 "
2. An investment will generate $100 per month for 10 months starting 3 months from now. What is the value of the investment today if the interest rate is 5%?
$969
"$1,156 "
"$1,352 "
"$1,427 "
$933
3. An investment will generate 10 payments of $100 once in every 3 quarters starting 3 quarters from now. What is the value of the investment today if the interest rate is 5% compunded quarterly?
"$1,192.60 "
$947.00
$837.03
$819.35
$947.13
4. "Consider a loan requiring you to pay $1,000 per quarter for 12 quarters. The bank's quoted APR is 12% compounded monthly. What is the interest rate that should be used in the present value calculation?"
1.00%
12.00%
3.03%
12.68%
3.00%
5. An investment will generate $100 per month for 15 months starting today. What is the value of the investment today if the interest rate is 5%?
$981.53
"$1,185.25 "
"$2,395.39 "
"$1,457.21 "
$933.00
6. You currently have $50K in your account and expect to make additional $1,000 contributions to your account every year for 12 years followed by 1 additional payment of $2,000 in year 13. How much money will you have in your account at the end of year 13 if the interest rate is 6%?"
"$147,112 "
"$136,169 "
"$120,639 "
"$126,529 "
"$117,281 "