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

Question

1 Approved Answer

Kim wants to buy a new Italian sports car in three years. The vehicle is expected to cost $80,000 at that time. If Kim should

Kim wants to buy a new Italian sports car in three years. The vehicle is expected to cost $80,000 at that time. If Kim should be so lucky as to find an investment yielding 12% over that three-year period, how much would he have to invest now in order to accumulate $80,000 at the end of the three years?

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_2

Step: 3

blur-text-image_3

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

Managing Cash Flow An Operational Focus

Managing Cash Flow An Operational Focus

Authors: Rob Reider, Peter B. Heyler

1st Edition

0471228095, 9780471228097

More Books

Students also viewed these Finance questions

Question

★★★★★
Determine the net effect on Tamara's adjusted gross income with regard to these capital asset transactions that occurred this year. Sold ABCCo stock, acquired 2 years ago, for a $1,500 loss. Sold...

Answered: 1 week ago

Question

★★★★★
in a right tailed test the critical value is 1.65 and the test value is 2.20 the correct decision is to

Answered: 1 week ago

Question

★★★★★
5 Some have argued that the survival-based strategic route is over-pessimistic in its approach. Do you agree?

Answered: 1 week ago

Question

★★★★★
At December 31, 2012, the trading securities for Oglesbee, Inc. are as follows. Instructions(a) Prepare the adjusting entry at December 31, 2012, to report the securities at fair value.(b) Show the...

Answered: 1 week ago

Question

★★★★★
Kim wants to buy a new Italian sports car in three years. The vehicle is expected to cost $80,000 at that time. If Kim should be so lucky as to find an investment yielding 12% over that three-year...

Answered: 1 week ago

Question

★★★★★
A user's hard disk is close to running out of space and has only 1 0 0 M B of free space remaining which is preventing a local database from growing any larger and causes their accounting application...

Answered: 1 week ago

Question

★★★★★
Beginning inventory is $ 2 1 0 , 0 0 0 , purchases are $ 2 5 5 , 0 0 0 and sales total $ 4 2 0 , 0 0 0 . The normal gross profit percentage is 4 0 % . Estimate ending inventory using the gross profit...

Answered: 1 week ago

Question

★★★★★
Question 2 (2 points) Saved What is the purpose of a speech that invites audience members to do something they have not done before? A) discontinuance B) adoption C) continuance D) reinforcement B

Answered: 1 week ago

Question

★★★★★
Janet has applied for coverage under an assigned risk plan. Without knowing anything about Janet other than this fact, what can you conclude about her driving history? She may be snow

Answered: 1 week ago

Question

★★★★★
You must write a small application in JAVA that can assist a shopper by calculating the total price of the items that he or she wants to buy and displaying a tillslip-like list of the products, their...

Answered: 1 week ago

Question

★★★★★
Is the pow function overloaded? How do you know? How many arguments does the pow function require?

Answered: 1 week ago

Previous Question Next Question