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Doss [256]
2 years ago
12

Suppose you want to realize a future value of $150,000 in 30 years on an investment you make. The average annual rate of return

is 8.75%. What will be the present value of your investment? A. $163,125 B. $1,857,673 C. $12,112 D. $150,000
Business
1 answer:
tekilochka [14]2 years ago
4 0

Answer:

PV= $12,111.93 = $12,112

Explanation:

Giving the following information:

Future Value (FV)= $150,000

Interest rate (i)= 8.75% = 0.0875

Number of periods (n)= 30

<u>To calculate the present value (PV), we need to use the following formula:</u>

PV= FV/(1+i)^n

PV= 150,000 / (1.0875^30)

PV= $12,111.93

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PERT, but not CPM, has the ability to consider the precedence relationships in a project. True False
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When her manager asks Sally to demonstrate how fast she can accomplish her task on the production line, Sally finishes the task
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Hawthorne Effect

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7 0
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Prof. Business will have $1,600,000 saved up by retirement at age 65. The retired professor expects to live 20 more years after
Paul [167]

Answer:

$136348.618

Explanation:

Given:

Present value (PV) =$1,600,000

Number of year(n) = 20

Rate(r) = 6.5% = 6.5 / 100 = 0.065

Payment monthly (PMT) = ?

Calculation:

PMT = PV[\frac{r}{1-(1+r)^{-n}} ][\frac{1}{1+r} ]\\=1,600,000[\frac{0.065}{1-(1+0.065)^{-20}} ][\frac{1}{1+0.065} ]\\=1,600,000[\frac{0.065}{1-0.283797} ][0.93897 ]\\=1,600,000[\frac{0.065}{0.71620} ][0.93897 ]\\=1,600,000[0.0907567719 ][0.93897 ]\\=1,600,000[0.0852178861]\\=136,348.618

So, Payment per month = $136348.618

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3 years ago
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