Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1) Using leverage, what is the ROI on a $100,000 investment purchased with a bank loan and a $20,000 down payment if you have used

1) Using leverage, what is the ROI on a $100,000 investment purchased with a bank loan and a $20,000 down payment if you have used sweat equity to improve its value by $10,000?

a)33%

b)10%

c) 65%

d) 130%

2) If you work for a company that will match $2 for every $2 you contribute to your retirement plan up to 6% of your salary of $44,000, what is the maximum amount of free money from the company that you can earn this year?

a) $5,000

b) $2,500

c) $2,000

d) $1,250

3) If your total liabilities are $1,800 and total assets are $1,350, what is your net worth?

a) $3,150

b) $3,150.00

c) $450

d) $450

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Foundations Of Financial Management

Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen

18th Edition

126409762X, 9781264097623

More Books

Students also viewed these Finance questions

Question

What committees does the person serve on?

Answered: 1 week ago