An investment of $100, 000 was made 2 years ago and expected to earn a fixed annual

Question:

An investment of $100, 000 was made 2 years ago and expected to earn a fixed annual rate of interest. If the accumulated value is now $345, 340, calculate the interest rate.

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

Step by Step Answer:

Related Book For answer-question

Introduction To Actuarial And Financial Mathematical Methods

ISBN: 9780128001561

1st Edition

Authors: Stephen Garrett

See More Books

Question Posted: Dec 04, 2023 08:09 AM

See More Questions

Alias, Inc. is a maker of plastic containers for the food and beverage industry. Bruce Atkinson, Alias director of operations, is looking at upgrading the firms manufacturing capacity in an effort to...
The principal plus interest at 10% compounded quarterly on a $15,000 loan made 2 years ago is due in two years. The debtor is proposing to settle the debt by a payment of $5000 today and a second...
On a late November morning in 2012, a boutique investment bank in Japan approached Mr. Takuya Saito, founder and CEO of Saito Solar, about his interest in selling the rm. Even though selling the rm...
Use (4.1), for a perfectly conducting fluid, and the nonlinear equation of continuity (1.1), to show that the change of B with time in a fluid element is related to changes of density according to...
Harmsen Maintenance Corporation was organized in early 2012 with 60,000 shares of no-par common stock authorized. During 2012, the following transactions occurred: a. Issued 31,000 shares of stock at...
1. Do you believe that many companies use an isolated information technology infrastructure such as the Cincinnati Zoo? How does this structure hinder efficient operations? Why would businesses...
Nationwide Insurance developed a program to recruit new insurance agents by offering planning, training, and start-up financing to build self-sustaining agencies. These new agents would be...
R. Herbert of Crestview Manufacturing Co. is paid at the rate of $20 an hour for an eight-hour day, with time-and-a-half for overtime and double-time for Sundays and holidays. Regular employment is...
Display Oracle database employee last_name and salary for employee_ids between 100and 102. Include a third column that divides each salary by 1.55 and rounds the result two decimal places.
Calculate the present value of the following liabilities under an interest rate of i = 7% per annum. a. 1m due in 6.5 years. b. 3.50 due in 4 months. c. 10,000 due in 30 years.
State a function that gives the accumulated value of $5.6m after 5 years under a compounding rate of i% per annum. State and interpret the domain and range of this function.
Is it a pub? Is it a restaurant? Or is it theatre? The operators of T.G.I. Fridays would hope that their customers see it as all three. For diners who tire of the scripted industrialized service...
Briefly Explain and Indicate the type of ruling or decision that has been made by the Commissioner and the extent to which it is binding on the taxpayers involved.? The following tax rulings were...
How much is the deductible pension contributions for 2021? How much is Jiho Corporation's income tax payable? Consider the following information regarding a corporation's pension contributions: ...
What recent news should I refer to when I try to teach inflation such as measurement, cause (demand-pull inflation and cost-push inflation), expected inflation? Could you give me some suggestions?
Explain the different stakeholders within the financial markets and their priorities, highlighting where they are incompatible? How do the goals and methods which the FCA employ help to make...
1. A real property was transferred to a revocable trust with Carding as the beneficiary. The property earned a total of 900,000 gross rentals during the taxable period. The expenses attributable to...
Congress passed the Americans with Disabilities Act requiring, among other provisions, that places of public accommodation remove architectural barriers to access where such removal is "readily...
Chao, Louis, and Mari, unrelated individuals, own all of the shares of Cerise Corporation. All three shareholders have been active in the management of Cerise since its inception. In the current...
Consider the following substitution reaction: a) Determine whether this reaction proceeds via an S N 1 or S N 2 process. b) Draw the mechanism of this reaction. c) What is the rate equation of this...
Consider the structures of 2-nitrophenol and 3-nitrophenol. These compounds have very different pKa values. Predict which one has the lower pK a , and explain why. (In order to solve this problem,...
Draw a Lewis structure for each of the compounds below: a) CH 2 = CHOCH 2 CH(CH 3 ) 2 b) (CH 3 CH 2 ) 2 CHCH 2 CH 2 OH c) (CH 3 CH 2 ) 3 COH d) (CH 3 ) 2 C = CHCH 2 CH 3 e) CH 2 = CHCH 2 OCH 2 CH(CH...
Company ASDF has 10 million of common shares outstanding, traded at $70 per share. Market beta of those shares is 0.8. Expected market return is 6% and risk-free rate is 1%. The company also has 1...
03. Prove that there are no nonzero solutions of a +62 3c2, where a, b, and c are integers. Hint: It suffices to show that there are no primitive triples (a, b, c) satisfying this equation. Work...
You want to start an Coverdell Education Savings Account for your child. Suppose that you contribute $500 each year to this account for 18 years, starting when he or she is born. If you can earn 8%...

An investment of $100, 000 was made 2 years ago and expected to earn a fixed annual

Question:

Step by Step Answer:

In money units of 000s and time units of years the relevant expression is We are therefore requir...View the full answer

Introduction To Actuarial And Financial Mathematical Methods

Students also viewed these Sciences questions