How much must you deposit at the end of each year in an account that pays a

Question:

How much must you deposit at the end of each year in an account that pays a nominal annual rate of 20 percent, if at the end of five years you want $10,000 in the account?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Contemporary Financial Management

ISBN: 9780324289114

10th Edition

Authors: James R Mcguigan, R Charles Moyer, William J Kretlow

See More Books

Question Posted: Jul 17, 2012 02:17 AM

See More Questions

How much must you deposit at the end of each quarter in an account that pays a nominal interest rate of 20 percent, compounded quarterly, if at the end of five years you want $10,000 in the account?...
You deposit the following at the end of each year into a growth mutual fund that earns 11 percent per year. Year Deposit 1 $4,000 2 3,500 3 2,500 4 2,000 5 1,700 $13,700 a. How much should the fund...
How much must be deposited at the end of each quarter for nine years to accumulate to $11 000 if interest is 4% compounded quarterly?
The graph of f is given. (a) Why is f one-to-one? f is one-to-one because it passes the ---Select--- ? (b) What are the domain and range of f ? ?1 ?(Enter your answers in interval notation.) domain ?...
The Black Hills Uranium Company is deciding whether or not it should open a strip mine, the net cost of which is $2 million. Net cash inflows are expected to be $13 million, all coming at the end of...
Dayne Company identifies the following items for possible inclusion in the taking of a physical inventory. Indicate whether each item should be included or excluded from the inventory taking. (a)...
Sleep and Recognition of Facial Expressions. The ability to recognize and interpret facial expressions is key to successful human interaction. Could this ability be compromised by sleep deprivation?...
On July 1, 2012, Ryhn Co. pays $12,400 to Craig Insurance Co. for a 2-year insurance contract. Both companies have fiscal years ending December 31. For Ryhn Co., journalize and post the entry on July...
Evaluate the sum. 14 4) (24-4n) n = 1 Write a formula for the nth term of the geometric sequence. 64 5), 8, 5, 25 8
The chapter distinguished between full service and specialized agencies. Using Figure 2-1 as a guide for different agency names based in Canada, examine the websites of different types of marketing...
The Mutual Assurance and Life Company is offering an insurance policy under either of the following two terms: a. Make a series of twelve $1,200 payments at the beginning of each of the next 12 years...
A leading broker has advertised money multiplier certificates that will triple your money in nine years; that is, if you buy one for $333.33 today, it will pay you $1,000 at the end of nine years....
Go to www.surveysystem.com/sscalc.htm and take a look at their sample size, sampling error, level of confidence calculator. a. If you have a problem where the population size is approximately 1...
What is the primary function of the auditor? In your own words, describe what an audit opinion says.
What types of accounts are closed at the end of the accounting year? What are the three major steps in the closing process?
Describe a decision that requires financial statement information, other than a stock investment decision. How is financial statement information useful in making this decision?
Corporate governance has received considerable attention since the collapse of Enron and other accounting-related scandals. What is meant by corporate governance? What are the primary means by which...
Financial statements are used by several interested stakeholders. List three or more potential external users of financial statements. Explain how each constituent on your list might use financial...
Consider the experiment of selecting two items (without replacement) from a sample space of 100 , of which 5 items are defective. Let $A_{1}=\{$ first item selected is defective $\}$ and...
Why is the national security argument for tariffs questionable?
Find a constant C such that p(x, y) = (C(4x-y + 3) if 0x 2 and 0 y 3 0 otherwise is a probability distribution and calculate P(X 1; Y 2).
Axel Telecommunications has a target capital structure that consists of 70 percent debt and 30 percent equity. The company anticipates that its capital budget for the upcoming year will be...
Gamma Medicals stock trades at $90 a share. The company is contemplating a 3-for-2 stock split. Assuming that the stock split will have no effect on the total market value of its equity, what will be...
Northern Pacific Heating and Cooling Inc. has a 6-month backlog of orders for its patented solar heating system. To meet this demand, management plans to expand production capacity by 40 percent with...
It is possible to form an atom out of a muon (like and electron, but with mass approximately given by 105.7 MeV/c 2 ). What would the muonic Bohr radius be? Give a numerical value, and make sure your...
Suppose you drop little balls of mass m on to a target marked on the floor. According to the uncertainty principle, the balls should not necessarily fall straight down even if you attempt to hold...
First , explain what Social Exchange Theory is and how it functions in Interpersonal Relationships. Second , describe a situation (real or hypothetical) where Social Exchange Theory is a factor in a...

How much must you deposit at the end of each year in an account that pays a

Question:

Step by Step Answer:

FVAN 5 100...View the full answer

Contemporary Financial Management

Students also viewed these Corporate Finance questions