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You have just made your first $5,000 contribution to your retirement account. Assuming you earn a return of 10 percent per year and make no
You have just made your first $5,000 contribution to your retirement account. Assuming you earn a return of 10 percent per year and make no additional contributions, what will your account be worth when you retire in 45 years? What if you wait 10 years before contributing? Complete the following analysis. Do not hard code values in your calculations. Your answer should be a positive value. At 7.3 percent interest, how long does it take to double your money? To quadruple it? Complete the following analysis. Do not hard code values in your calculations. For each of the following, compute the future value: Complete the following analysis. Do not hard code values in your calculations. All answers should be positive. \begin{tabular}{rrrrr} \multicolumn{2}{c}{ Present value } & \multicolumn{1}{c}{ Years } & Interest rate & Future value \\ \hline$ & 1,975 & 11 & 13% & \\ $ & 6,734 & 7 & 9% & \\ $ & 81,346 & 14 & 12% & \\ $ & 192,050 & 8 & 6% & \end{tabular} Although appealing to more refined tastes, art as a collectible has not always performed so profitably. During 2003, Sotheby's sold the Edgar Degas bronze sculpture Petite Danseuse de Quatorze Ans at auction for a price of $10,311,500. Unfortunately for the previous owner, he had purchased it in 1999 at a price of $12,377,500. What was his annual rate of return on this sculpture? You have just made your first $5,000 contribution to your retirement account. Assuming you earn a return of 10 percent per year and make no additional contributions, what will your account be worth when you retire in 45 years? What if you wait 10 years before contributing? Complete the following analysis. Do not hard code values in your calculations. Your answer should be a positive value. At 7.3 percent interest, how long does it take to double your money? To quadruple it? Complete the following analysis. Do not hard code values in your calculations. For each of the following, compute the future value: Complete the following analysis. Do not hard code values in your calculations. All answers should be positive. \begin{tabular}{rrrrr} \multicolumn{2}{c}{ Present value } & \multicolumn{1}{c}{ Years } & Interest rate & Future value \\ \hline$ & 1,975 & 11 & 13% & \\ $ & 6,734 & 7 & 9% & \\ $ & 81,346 & 14 & 12% & \\ $ & 192,050 & 8 & 6% & \end{tabular} Although appealing to more refined tastes, art as a collectible has not always performed so profitably. During 2003, Sotheby's sold the Edgar Degas bronze sculpture Petite Danseuse de Quatorze Ans at auction for a price of $10,311,500. Unfortunately for the previous owner, he had purchased it in 1999 at a price of $12,377,500. What was his annual rate of return on this sculpture
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