Let’s think of it another way so that we can see the impact of compounding on this investment. For simplicity’s sake, we’ll assu
me that Adrian’s rate of return is effectively 5.7% annually (7% - 1.3% fee) and Clemens’s rate is effectively 6.8% annually (7% - 0.2% fee). Each man contributes an additional $100/month into their investment account. Use the compound interest calculator to answer these questions. You can round to the nearest whole dollar and assume the investment compounds annually.
1 answer:
Answer:
annex the questions of the questionnaire because it is incomplete and the answers are made below
Step-by-step explanation:
7. Value of adrian investment in 10 years =
$10000(1+0.057)^10 = $17,408
8. Value of Clemen's investment in 10 years =$10000(1+0.068)^10 = $19,306
9. Additional value of Clemen's investment
over Adrian's investment over 10 years time = $19306-$17408= $1,898
10. Value of Adrain investment in 20 years =$10000(1+0.057)^20= $30,303 Value of Clemen's investment in 20 years =$10000(1+0.068)^20= $37,275
Additional value of Clemen's investment
over Adrian's investment over 20 years time = $37275-$30303= $6,972
11. We can deduce that an actively managed fund charges more brokerage than a passively managed fund.
12. The best reason to choose an actively managed fund is that it has potential
of giving higher returns than index funds (passively managed funds)
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Answer: 0.002718
Step-by-step explanation:
Given : The population mean annual salary for environmental compliance specialists is about $62,000.
i.e.
Sample size : n= 32
Let x be the random variable that represents the annual salary for environmental compliance specialists.
Using formula , the z-value corresponds to x= 59000 will be :
Now, by using the standard normal z-table , the probability that the mean salary of the sample is less than $59,000 :-
Hence, the probability that the mean salary of the sample is less than $59,000= 0.002718