What will the present value of his portfolio

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Elliot makes $200,000 a year and pays 28% taxes on $150,000 and 25% on his remaining salary. His expenses are $140,000 (per year). He wants to invest a fixed amount EVERY day into an investment fund for 5 years and he hopes to get a 10% return. (20 PTS)

What is the maximum amount he can invest every day? (Find the annual investment amount and divide by 365).

What will be the worth of his portfolio after 5 years?

After 5 years, Kassidy’s income increases to $250,000. He wants to reinvest for another 5 year, but this time, his return will be 8% and his expenses have increased by 15%. What will be the worth of his portfolio after 5 years (total of 10 years)?

What will the Present Value of his portfolio, assuming a 9% discount rate and NPER is 10 years?

Reference no: EM131928579

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