FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

If I will have a lump sum of $366,422 in 6 years, how do I calculate the present value of my investment, assuming it will

image text in transcribed
If I will have a lump sum of $366,422 in 6 years, how do I calculate the present value of my investment, assuming it will earn interest at the rate of 4.18 percent compounded annually? In other words, what is the equivalent today of $366,422 payable as a lump sum 6 years in the future? Round the answer to two decimal places

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

Fundamentals of Investment Management

Fundamentals of Investment Management

Authors: Geoffrey Hirt, Stanley Block

10th edition

0078034620, 978-0078034626

More Books

Students also viewed these Finance questions

Question

★★★★★
Prove Theorem 15.2. Theorem15.2 And Where Ti· is the total of the values obtained for the ith treatment and T.. is the grand total of all a n observations. The quantity Is called the...

Answered: 1 week ago

Question

★★★★★
Why should the purchasing professional be concerned with strategic planning?

Answered: 1 week ago

Question

★★★★★
4. Describe how consumers may dispose of something, why this process is more complex for meaningful objects, and what influences consumer recycling behavior.

Answered: 1 week ago

Question

★★★★★
Jason Bond Company operates two restaurants, one in Valencia and one in Saugus. The operations and cash flows of each of the two restaurants are clearly distinguishable. During 2011, Jason Bond...

Answered: 1 week ago

Question

★★★★★
If I will have a lump sum of $366,422 in 6 years, how do I calculate the present value of my investment, assuming it will earn interest at the rate of 4.18 percent compounded annually? In other...

Answered: 1 week ago

Question

★★★★★
What is the difference between logistics and Supply chain management

Answered: 1 week ago

Question

★★★★★
A sales budget for the first five months of 2021 is given on a certain product line manufactured by Boots Styles, Inc. January February March April May Sales budget in units 157,000 162,000 204,000...

Answered: 1 week ago

Question

★★★★★
1 Your employer is opening a new location, and the IT director has assigned you the task of calculating subnets for the new network. You've determined that you need 50 subnets for the class B network...

Answered: 1 week ago

Question

★★★★★
Five years ago, David borrowed $300,000 to purchase a house in Sandy Lake. At the time, the quoted rate on the mortgage was 8 percent, the amortization period was 25 years, the term was 5 years, and...

Answered: 1 week ago

Question

★★★★★
Great Nuggets finds that there is a clear gender difference in the demand for their chocolates. Men have very little price sensitivity and tend to buy whatever the sales clerk recommends. Women, on...

Answered: 1 week ago

Question

★★★★★
In problems 4 and 5, evaluate the integral using a table of integrals. Indicate which formula dx 1 4. .dx 5. x(x+16) you use.

Answered: 1 week ago

Question

★★★★★
=+ a. The men of Solovia stay at home performing household chores, while the women work in factories. If some of the men started working outside the home so that the labor force increased by 5...

Answered: 1 week ago

Question

★★★★★
=+ e. Using your graph, show the impact of an increase in u. (Hint: This change affects both curves.) Describe both the immediate and the steady-state effects.

Answered: 1 week ago

Question

★★★★★
=+ 7. Choose two countries that interest youone rich and one poor. What is the income per person in each country? Find some data on country characteristics that might help explain the difference in...

Answered: 1 week ago

Previous Question Next Question