All categories

3 years ago

How long will it take your money to triple if you receive 10% return on your money, compounded annually?

Business

1 answer:

vovangra [49]3 years ago

8 0

Answer:

11.6 years

Explanation:

When we are trying to determine how long will it take an investment to double using compound interest, the simplest way is to use the rule of 72. But the problem is that it doesn't work very well with odd numbers.

So we have to use math:

FV = PV (1 + r)ⁿ

PV = X and FV = 3X

3X = X(1 + 10%)ⁿ

3 = (1 + 0.1)ⁿ

log 3 = log 1.1ⁿ

log 3 = n x log 1.1

n = log 1.1 / log 3

n = 11.6 years

You might be interested in

In its most common usage, ______ refers to circumstances in which an insurance company tries to recoup expenses for a claim it p

worty [1.4K]

Answer:

Deductibles

Explanation:

In general usage, the term deductible may be used to describe one of several types of clauses that are used by insurance companies as a threshold for policy payments. Deductibles are typically used to deter the large number of claims that a consumer can be reasonably expected to bear the cost of, by restricting its coverage to events that are significant enough to incur large costs, the insurance firm expects to pay out slightly smaller amounts much less frequently, incurring much higher savings . Deductibles are a portion of the insured loss (in dollars) paid by the policy holder .Collision and comprehensive coverage are subject to a deductible that you, as the insured, would select. Other coverage that may be sold include towing, rental/reimbursement and mechanical breakdown. A deductible is a portion of a covered loss that is not paid by the insurer. The deductible is subtracted from the amount the insurer would otherwise be obligated to pay you as the insured. The deductible amount is selected by you. Generally, a higher premium is charged for a lower deductible and lower premium for a higher deductible.

5 0

4 years ago

Which of the following would be the most beneficial college course for an aspiring photojournalist to take?

Arte-miy333 [17]

Answer:

Explanation:

6 0

3 years ago

Read 2 more answers

You will receive $5,000 a year in real terms for the next 5 years. Each payment will be received at the end of the period with t

photoshop1234 [79]

Answer:

$20,229.5

Explanation:

Given:

Amount to be received = $5,000

Time period, n = 5 years

nominal discount rate = 10.725%

inflation rate = 3 percent

Now,

Using the Fischer's relation, we have

1 + Nominal rate = ( 1 + Real rate ) × ( 1 + Inflation )

on substituting the values, we get

( 1 + 10.725% ) = ( 1 + Real rate ) × ( 1 + 3% )

1.10725 = ( 1 + Real rate ) × 1.03

( 1 + Real rate ) = 1.075

Real rate = 1.075 - 1 = 0.075 or 7.5%

Thus,

Present Value of an ordinary annuity that makes $5000 every year payment for 5 years will be calculates as:

Present value = Monthly payment × $[\frac{(1-(1+r^{-n})}{r}]$

Present value = $5000\times[\frac{1 - (1 + 0.075)^{-5}}{0.075}]$

Present value = 5000 × 4.0459

Present value = $20,229.5

3 0

4 years ago

Revenue is properly recognized: Multiple Choice When the customer makes an order. Only if the transaction creates an account rec

Marianna [84]

Revenue in a business transaction is recognized When goods or services are provided to customers and at the amount expected to be received from the customer.

<h3>What is revenue?</h3>

Refers to the amount paid to a company for the provision of goods and services.
Can only be recognized when that good or service has been provided to the customer.

Until a good or service is provided to the customer who bought it, revenue should not be recognized because it has not been earned by a company.

In conclusion, option C is correct.

Find out more on revenue recognition at brainly.com/question/1380073.

3 0

2 years ago

Nursing faculty at Walnut Valley Community College must possess a master's degree in nursing from a regionally accredited colle

pantera1 [17]

Answer:

Job Specification

Explanation:

Based on the information provided within the question it can be said that these requirements would most likely be stated on the Job Specification. This is a form that specifies the requirements that an individual must have in order to be chosen as an option for the hiring company. These requirements may include educational qualifications, years of experience, health requirements, specific skills, etc.

I hope this answered your question. If you have any more questions feel free to ask away at Brainly.

7 0

3 years ago