In August 2013, E-TRADE Financial indexed fund was tumbling by 1.5% (per annum). Given that the...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
In August 2013, E-TRADE Financial indexed fund was tumbling by 1.5% (per annum). Given that the interest is compounded monthly: a) Determine the associated exponential model for the value of a $5,000 deposit after t years. (5 points) b) Assuming that this rate of return continued for 3 years, how much would a deposit of $5,000 in August 2013 be worth in August 2016? (Answer to the nearest dollar) (5 points) c) How many months will it take before the initial investment drops by a tenth should the falling trend last much longer? (Answer to the nearest month) (5 points) In August 2013, E-TRADE Financial indexed fund was tumbling by 1.5% (per annum). Given that the interest is compounded monthly: a) Determine the associated exponential model for the value of a $5,000 deposit after t years. (5 points) b) Assuming that this rate of return continued for 3 years, how much would a deposit of $5,000 in August 2013 be worth in August 2016? (Answer to the nearest dollar) (5 points) c) How many months will it take before the initial investment drops by a tenth should the falling trend last much longer? (Answer to the nearest month) (5 points)
Expert Answer:
Related Book For
Posted Date:
Students also viewed these accounting questions
-
The Crazy Eddie fraud may appear smaller and gentler than the massive billion-dollar frauds exposed in recent times, such as Bernie Madoffs Ponzi scheme, frauds in the subprime mortgage market, the...
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
Read the case study "Southwest Airlines," found in Part 2 of your textbook. Review the "Guide to Case Analysis" found on pp. CA1 - CA11 of your textbook. (This guide follows the last case in the...
-
Through the use of strategic alternatives, companies may compete in a marketplace, achieve its vision, or if no vision has been articulated, decide where it might go and what it might achieve....
-
In hand-pumped railcar races, a speed of 32 km/h has been achieved by teams of four. A car of mass 350 kg is moving at that speed toward a river when Carlos, the chief pumper, notices that the bridge...
-
The Economist annually publishes The Economist House Price Index. It attempts to assess which housing markets, by country, are the most overvalued or undervalued relative to fundamentals. Find the...
-
Presented below is financial data for two companies that are identical yma in every respect except that Company X uses the FIFO method to value its inventory and Company Z uses the LIFO method to...
-
Orchard Company completed its first year of operations on December 31, 2012. Its initial income statement showed that Orchard had revenues of $198,000 and operating expenses of $83,000. Accounts...
-
Suppose selected financial data of Target and Walmart for 2022 are as follows (in millions). Target Corporation Walmart, Inc. Income Statement Data for Year Net sales $65,357 $408,214 Cost of goods...
-
Analyze, Forecast, and Interpret Income Statement and Balance Sheet Following are the income statement and balance sheet of ADP Inc. Note: Complete the entire question using the following Excel...
-
When John Buckingham moved across the country to take a new job, he didn't expect to run into much difficulty. He would be doing the same kind of work he was used to doing, just for a new company....
-
Sam is interested in two goods, X and Y. His indirect utility function is 0.6-1. U* = M px-0.6 py ( same as U* = M /(px 0.6 py1-0.6) ) where M is Sam's income, and px and py denote respectively the...
-
A-Tac Inc. has compiled the following information related to its three products. Costs of disposal are estimated to be 10% of selling price, and gross profit is estimated to be 20% of the selling...
-
You are given a 96-well plate with a seeding density of0.01x106. What respective volume of cells and complete medium wouldyou need to fill all 96 wells, if concentration of your cells inthe cell...
-
a) Factor completely the quadratic polynomial: 22-3x+10 b) Factor completely the quartic polynomial: 4-81
-
The managers of "Upscale' Promotions Ltd. need to decide regarding the venue to use for the launch of their existing new product line. They have developed a payoff table for three locations:...
-
Four full adders are employed to form a 4-bit circuit shown in the below figure. Interpret the function of control line C and the outputs R3-Ro & R4. Assume that A & B are unsigned integers and A>B....
-
Pappa's Appliances uses the periodic inventory system. Details regarding the inventory of appliances at January 1, purchases invoices during the year, and the inventory count at December 31 are...
-
The flow Q (m3/s) in a rectangular channel is given by the Manning's equation: where d is the depth of water (m), w is the width of the channel (m), S is the slope of the channel (m/m), n is the...
-
Molecules of a gas in a container are moving around at different speeds. Maxwell's speed distribution law gives the probability distribution P(v) as a function of temperature and speed: where M is...
-
Plot the polynomial y = 0.lx5 - 0.2x4 -x3 + 5x2 - 41.5x + 235 in the domain -6 < x < 6 . First create a vector for x, next use the polyval function to calculate y, and then use the plot function.
-
Why do bond issuers accept restrictive covenants?
-
What is the difference between a fixed-rate and a floating-rate bond?
-
What are high-yield bonds? What is their role in financing firms?
Study smarter with the SolutionInn App