Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

How do you get the interest rate for this Calculate the annual rate of interest Oriole needs to earn on the cash invested in order

How do you get the interest rate for this

image text in transcribedimage text in transcribed

Calculate the annual rate of interest Oriole needs to earn on the cash invested in order to reach its goal of $342,000 to replace the conveyor four years from today. (For calculation purposes, use 5 decimal places as displayed in the factor table provided answer to 2 decimal places, e.g. 52.75\%.) Click here to view Table A.2 - PRESENT VALUE OF 1 - (PRESENT VALUE OF A SINGLE SUM) Click here to view Table A.4 - PRESENT VALUE OF AN ORDINARY ANNUITY OF 1 Annual rate of interest % eTextbook and Media Oriole Inc. needs to set aside cash for the replacement of a conveyor in its assembly line. Oriole can afford to set aside $19,900 at the end of each quarter and will need $342,000 to replace the conveyor at the end of four years. What annual rate interest oriole need to earn on the cash invested to reach its goal $342,000 ? (a) Your answer is correct. Of the variables listed, choose the variable being calculated? eTextbook and Media

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

The Practical Guide To Wall Street Equities And Derivatives

Authors: Matthew Tagliani

1st Edition

0470383720, 978-0470383728

More Books

Students also viewed these Finance questions