Yield the highest results

Assignment Help Financial Management

Reference no: EM132005677

1. Damon wants to have $10,000 built up in savings in 18 years to give to his new nephew. If he were to put his money into a money market account earning 5% annually, how much would he have to save per year?

A - 355

B - 403

C - 508

D - 855

2. Which of the following would yield the highest results after 30 years?

A - invest $200,000 at 10% one time

B - invest $10,000 at 10% yearly

Reference no: EM132005677

Questions Cloud

The current account play regarding the capital account : What roles does the current account play regarding the capital account? In what way is the current account related to the national economy?

Company can maintain its current retention ratio : She believes that this company can maintain its current retention ratio and ROE on new investments in the long run?

Consider risky portfolio : Consider a risky portfolio. The end-of-year cash flow derived from the portfolio will be either $70,000 or $200,000 with equal probabilities of .5.

What is the net present value of project : What is the net present value of this project if the spot rate of the Australian dollar for the two years is forecasted to be $.55 and $.60, respectively?

Yield the highest results : Which of the following would yield the highest results after 30 years?

Determine the NPV under these conditions : Castro Co. is considering the acquisition of a unit from the French government. Determine the NPV under these conditions.

What is project payback period : An investment project provides cash inflows of $620 per year for 10 years. What is the project payback period if the initial cost is 3,100?

What is discounted payback period : What is the discounted payback period if the discount rate is 5 percent? What is the discounted payback period if the discount rate is 19 percent?

What is the break-even salvage value : All cash flows are remitted to the parent. What is the break-even salvage value?

User Account

All Pages