Which investment should he make and why

Assignment Help Finance Basics

Reference no: EM13255731

Rishi Singht has $1500 to invest. His investment counselor suggests an investment that pays no stated interest but will return $200 at the end of 3 years.

a. What annual rate of return will Rishi earn with this investment?

b. Rishi is considering another investment, of equal risk, that earns an annual return of 8%. Which investment should he make, and why?

Reference no: EM13255731

Questions Cloud

What is the focal length of the second lens : Two converging lenses are placed 88.0 cm apart. An object is placed 1.100 m to the left of the first lens, which has a focal length of 27.0 cm. What is the focal length of the second lens

Calculate the total magnetic flux through the cylinder : A long, straight wire carrying a current of 5.00 A is placed along the axis of a cylinder of radius 0.500 m and a length of 5.00 m

How to use to make 850.0ml of a 0.300m hno3 solution : How much of a 15.0M HNO3 solution should you use to make 850.0mL of a 0.300M HNO3 solution

Find the values of l and c and the cutoff frequencies : Design a series resonant circuit to have a bandwidth of 400 Hz using a coil with a Ql of 20 and a resistance of 2. Find the values of L and C and the cutoff frequencies.

Which investment should he make and why : Rishi is considering another investment, of equal risk, that earns an annual return of 8%. Which investment should he make, and why?

Design a circuit that will turn the oven on : Assume that an oven has an electronic thermometer attached to circuitry with two outputs: one (H) is asserted when the temperature is above h, and the other (L) is asserted when the temperature is below l. Design a circuit that will turn the oven

What is the maximum current passing through the resistor : A function generator with output V(t) = 12cos(500t)V is connected with a resistor R = b15?, What is the maximum current passing through the resistor

Explain conducted the experiment using an unknown : Fe(NO3)3, 5 drops of 0.1 M KCNS why are ions present when you mix those solutions? I also conducted the experiment using an unknown and got the same results for both.

Calculate line crurrent if the motor is operated at vac rms : consider a running motor with Z = 6 + j7 ohm A) calculate the line crurrent if the motor is operated at 120 VAC RMS B) calculate the required paralell capacitor value to reduce the line current to a minimum

User Account

All Pages