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17. You start working at age 18 and you plan to deposit $4,000 in a savings account every year (end of year) for the next
17. You start working at age 18 and you plan to deposit $4,000 in a savings account every year (end of year) for the next 40 years. a. At the end of this time, how much money will you have if the interest rate is 6.2%? b. You decide that's not enough money. How much will you have to save every year if you wish to have $2,500,000 when you retire? 18. Babou Inc.'s stock is currently $90. The last dividend that they paid was $2.5. If dividends are expected to increase at a 5% annual rate, what is the firm's equity cost of capital? 19. A perfectly competitive firm has total revenue and total cost curves given by: TR = 300Q TC = 2,000 + 10Q +0.25 Q2 a. Find the profit-maximizing output for this firm. b. What profit does the firm make
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