Business Math, Business Economics

Assignment Help:
Scenario: A client comes to you for investment advice on his $500,000 winnings from the lottery. He has been offered the following options by three different financial institutions and requests assistance to help understand which option would be the best for his investment.

Option 1: 6% compounded interest quarterly for 5 years.
Option 2: 8% compounded interest annually for 5 years.
Option 3: 14.5% simple interest for 10 years.
Write a professional memo that covers the following information:
Explain to the client the main differences between simple interest versus compound interest.
Explain the results of the three different options by showing the client the step-by-step calculations.
Explain which investment option is better for your client and why.

Related Discussions:- Business Math

BIA Plan, Select an organization and discuss what type of information shoul...

Select an organization and discuss what type of information should be protected in a BIA plan. How would you ensure protection of the confidentiality of such information and preven

Calculate the price - earnings ratio, Yanni works for Woolworths Limited (W...

Yanni works for Woolworths Limited (WOW) and owns 5,000 Woolworths shares that he received in lieu of a bonus five years ago. Woolworths has reported an NPAT of $1.294 billion and

What are state approaches to developing, What are state approaches to devel...

What are state approaches to developing? The government supposes responsibility for economic planning to attain the best possible utilize of scarce resources. An economic plan

Why is the growth rate and significant for development, Why is the growth r...

Why is the growth rate and significant for development? The rate of economic development is the percentage increase within real GDP over twelve months. • The higher rate of

Explain the mixed economy system, Explain the mixed economy system. Mix...

Explain the mixed economy system. Mixed economy: Several resources are owned through the public sector (government) and several resources are owned through the private sector o

Calculate the weights for the long-term financing sources, Calculate the "w...

Calculate the "weights" for the long-term financing sources: Total Stockholder Equity, Long Term Debt, and Preferred Stock (if there is any of this).  Do this in two ways: (a

How a budget deficit of the government can cause inflation, QUESTION (a...

QUESTION (a) Use graphical methods to distinguish between cost push and demand pull inflation. (b) Explain how a budget deficit of the government can cause inflation. (c)

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd