All categories

3 years ago

What is the interest rate for initial investment of $100,000 to grow $300,000 in 10 years

Business

2 answers:

igomit [66]3 years ago

7 0

The interest rate that increases from long-term investment for 10 years is 200%

The following calculations:

(Current investment - Initial investment) / Initial investment x 100% = Result

($ 300,000- $ 100,000) / $ 100,000 x 100% = 2 x 100% = 200%

<h2>Further Explanation </h2>

In investments, the capital you spend to finance the investment must be calculated in the calculation of investment returns.

Return on Investment can be described as the ratio of capital that you spend on investments in proportion to the benefits of the investment.

Calculating Return of Investment is very important because it determines your ability to develop the investment in the future, not just to run it (because investment requires additional capital if you want to develop it).

For some investors, short-term investments are chosen because they have the potential to provide faster returns.

Meanwhile, long-term investments are chosen to take advantage of the compounding effect, minimize risk, and to realize various financial goals in the long run.

Many investors who prefer to accelerate the velocity of money so that they prefer short-term investments so that the return in the form of the principal investment and interest can be obtained more quickly.

The compounding effect is actually very common in the world of investment and credit. It's just that, many investors have not maximized the benefits.

Learn More

Long-term investment brainly.com/question/13810885

investment interest brainly.com/question/13804061

Details

Grade: middle school

Subject: Business

Keyword: long-term, investment, interest

dybincka [34]3 years ago

6 0

Answer:

r=20% or 0.2 %

Calculation:

Solving equation:

r = (1/10)((300000/100000) - 1) = 0.2

r = 0.2

Converting r decimal to R a percentage

R = 0.2 * 100 = 20%/year

The interest rate required to get a total amount, principal plus interest, of $300,000.00 from simple interest on a principal of $100,000.00 over 10 years is 20% per year.

You might be interested in

On August 1, 2016, Rocket Retailers adopted a plan to discontinue its catalog sales division, which qualifies as a separate comp

Basile [38]

Answer:

A. $125,000

Explanation:

before tax loss on discontinued operations

= Operating loss Feb. 1, 2016 – Jan. 31, 2017 + Operating loss Feb. 1, 2016 – Jan. 31, 2017

= $115,000 + $10,000

= $125,000

Therefore, Rocket would report a before-tax loss on discontinued operations of $125,000.

4 0

3 years ago

For each of the following transactions that occur in their lives, identify whether it is included in the calculation of U.S. GDP

Bumek [7]

Answer:

Dina's father in Sweden orders a bottle of Vermont maple syrup from the producer's website. INCREASES EXPORTS (X) AND INCREASES THE GDP

Charles buys a sweater made in Guatemala. INCREASES IMPORTS (M) AND REDUCES THE GDP

Charles's employer upgrades all of its computer systems using U.S.-made parts. INCREASES INVESTMENT (I) AND INCREASES THE GDP

The state of Pennsylvania repaves highway PA 320, which goes through the center of Swarthmore. INCREASES GOVERNMENT EXPENSES (G) AND INCREASES THE GDP

Dina gets a new refrigerator made in the United States. INCREASES CONSUMPTION (C) AND INCREASES THE GDP

3 0

3 years ago

The following data relate to direct labor costs for the current period:

mr Goodwill [35]

Answer:$2,125 unfavorable

Explanation:

Given

Standard costs 9,000 hours at $5.50

Actual costs 8,500 hours at $5.75

we have two formulas to calculate for direct labor rate variance is:

1ST ----Direct Labor rate variance = (Actual Rate- Standard Rate ) x Actual hour

=( $5.75 -$5.50) x 8,500 = $2,125 unfavorable

2ND----Direct Labor Rate Variance=Actual Direct Labor Cost Incurred - Standard Direct Labor Cost Based on Actual Hours

=Actual Hours x Actual Rate -Actual Hours x Standard Rate

= ($5.75 x 8,500 hours)-($5.50 x 8,500 hours)

$48,875 - $46,750 = $2,125 unfavorable

when the actual rate is higher than the standard rate, the Direct Labor Rate Variance is unfavorable and if the actual rate is lower than standard rate, the variance is favorable.

3 0

3 years ago

A payday loan company charges 6.00 percent interest for a two-week period. What is the annual interest rate? (Do not round inter

Mashcka [7]

Answer:

The annual interest rate is 156 percent

Explanation:

If 6.00 percent interest for a two-week period then annual interest rate =

rate for a two-week period * (52 weeks/ 2 weeks) = 0,06 * 26 = 1,56

1,56 * 100 = 156 percent for a year period

Note: One year have 52 weeks

8 0

3 years ago

As part of their marketing strategy, companies will identify a _______, a group of similar people whose interest the company wan

Alina [70]

As part of their marketing strategy, companies will identify a target market, a group of similar people whose interest the company wants to gain.

<h3>What is a target market?</h3>

A target market is a group of customers which could be in the same area that have interest in a particular product.

They are usually identified as the most likely buyers of a product or service.

Therefore, as part of their marketing strategy, companies need to identify a target market, a group of similar people whose.

For more information on target market kindly check

brainly.com/question/24967768

5 0

2 years ago