Question
You have $18,000 you want to invest for the next 36 years. You are offered an investment plan that will pay you 8 percent per
| You have $18,000 you want to invest for the next 36 years. You are offered an investment plan that will pay you 8 percent per year for the next 18 years and 12 percent per year for the last 18 years. |
| a. | How much will you have at the end of the 36 years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) |
| b. | If the investment plan pays you 12 percent per year for the first 18 years and 8 percent per year for the next 18 years, how much will you have at the end of the 36 years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) |
a. account value ______
b. account value _______
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Fundamentals of Financial Management
Authors: Eugene F. Brigham
Concise 9th Edition
1305635937, 1305635930, 978-1305635937
