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We return to Denise, our hopeful millionaire from Chapter 4 (Example 4.3) and this chapter (Example 5.2). In Chapter 4, Denise was putting away $5,000 per year at the end of each year at 6% interest, with the expectation that in forty-four years she would be a millionaire. If Denise switches to a monthly savings plan and puts one-twelfth of the $5,000 away each month ($416.66), how much will she have in forty-four years at the 6% APR?
Why is it more than the $1,000,000 goal? In this chapter, Denise was putting away $546.23 for thirty years at 9% to become a millionaire.
Why does it take more per month when she is putting money away at 9% than when she was earning a lower rate of 6% over the forty-four years?
If you have set aside RM5,000,000 to subscribe the shares in Astro as a retail investor and assuming the Final Retail Price is RM3.00, state the number of shares you will be allotted and the percentage of your shareholdings in the company.
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what is the additional dollar amount he will be required to make assuming he can purchase the new shares from the company at a 5% discount?
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