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this is one question. thank you (Related to Checkpoint 5.6) (Solving for i ) You are considering investing in a security that will pay you

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(Related to Checkpoint 5.6) (Solving for i ) You are considering investing in a security that will pay you $4,000 in 32 years. a. If the appropriate discount rate is 9 percent, what is the present value of this investment? b. Assume these investments sell for $1,529 in return for which you receive $4,000 in 32 years. What is the rate of return investors earn on this investment if they buy it for $1,529 ? a. If the appropriate discount rate is 9 percent, the present value of this investment is \$ (Round to the nearest cent) (Related to Checkpoint 5.6) (Solving for i ) Kirk Van Houten, who has been married for 22 years, would like to buy his wife an expensive diamond ring with a platinum setting on their 30 -year wedding anniversary. Assume that the cost of the ring will be $13,000 in 8 years. Kirk currently has $4,578 to invest. What annual rate of return must Kirk earn on his investment to accumulate enough money to pay for the ring? The annual rate of return Kirk must earn on his investment to accumulate enough money to pay for the ring is %. (Round to two decimal places.) (Related to Checkpoint 5.4) (Present value) What is the present value of $900 to be received 15 years from now discounted back to the present at 11 percent? The present value of $900 to be received 15 years from now discounted back to the present at 11 percent is $ (Round to the nearest cent.) (Related to Checkpoint 5.6) (Solving for i ) At what annual interest rate, compounded annually, would $490 have to be invested for it to grow to $1,901.56 in 14 years? The annual interest rate, compounded annually, at which $490 must be invested for it to grow to $1,901.56 in 14 years is \%. (Round to two decimal places.)

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