More Info Irving just hit the jackpot in Las Vegas and won $40,000! if he invests it now at a 12% interest rate, how much will it be worth in 20 years? 1. 2. Alan would like to have $4,000,000 saved by the time he retires in 30 years. How much does he need to invest now at a 14% interest rate to fund his retirement goal? 3. Assume that Nancy accumulates savings of $1.5 million by the time she retires. If she invests this savings at 12%, how much money will she be able to withdraw at the end of 4. Faith plans to invest $5,500 at the end of each year for the next seven years. Assuming a 5. Assuming a 6% interest rate, how much would Sarah have to invest now to be able to 6. Ray is considering a capital investment that costs $510,000 and will provide the following each year for 15 years? 10% interest rate, what will her investment be worth seven years from now? withdraw $11,000 at the end of every year for the next ten years? net cash inflows: Year Net Cash Inflow 300,000 $196,000 $108,000 2. Using a hurdle rate of 10%, find the NPV of the investment. 7. What is the IRR of the capital investment described in Question 6? Print Done