Step 2: During the next few years, this person invests more money in the stock market....
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Step 2: During the next few years, this person invests more money in the stock market. In total, the following investments are made, and all investments are made one year apart. Initial investment = 1400 1400 3rd investment = 4th investment = Value of investments five years after initial investment = Set up the appropriate equation to solve and use technology such as Desmos or Wolfram Alpha to solve it and help find the average annual yield. (Round as directed in Hawkes.) EQUATION: Technology Used: 1900 2nd investment = 1900 5th investment = 8400 Average Annual Yield = 2200 % Neatly, completely, and clearly communicate your solution processes on these pages. Your work should be easy to follow for any competent College Algebra student. Application #1: Measuring Performance of Multiple Investments Stock markets fluctuate every day. Some stocks increase in value, some decrease, and portfolios increase and decrease in value based on the owner's investments. To determine how well a portfolio is doing, the average rate of return (a.k.a. average annual yield) needs to be accurately calculated. This value is often miscalculated (intentionally or unintentionally). misleading investors of the actual performance of their portfolios. In this problem, you will be accurately calculating the average annual yield of a person's investments. Step 1: A person made the following investments in the stock market, and wants to know the true average annual yield of these investments. The two investments were made exactly one year apart. Initial investment = $1400 Value of investments two years after initial investment = Use algebra to set up and solve the appropriate equation to find the average annual yield of these investments. (Round as directed in Hawkes.) 2nd investment $1400 $2604 Step 2: During the next few years, this person invests more money in the stock market. In total, the following investments are made, and all investments are made one year apart. Initial investment = 1400 1400 3rd investment = 4th investment = Value of investments five years after initial investment = Set up the appropriate equation to solve and use technology such as Desmos or Wolfram Alpha to solve it and help find the average annual yield. (Round as directed in Hawkes.) EQUATION: Technology Used: 1900 2nd investment = 1900 5th investment = 8400 Average Annual Yield = 2200 % Neatly, completely, and clearly communicate your solution processes on these pages. Your work should be easy to follow for any competent College Algebra student. Application #1: Measuring Performance of Multiple Investments Stock markets fluctuate every day. Some stocks increase in value, some decrease, and portfolios increase and decrease in value based on the owner's investments. To determine how well a portfolio is doing, the average rate of return (a.k.a. average annual yield) needs to be accurately calculated. This value is often miscalculated (intentionally or unintentionally). misleading investors of the actual performance of their portfolios. In this problem, you will be accurately calculating the average annual yield of a person's investments. Step 1: A person made the following investments in the stock market, and wants to know the true average annual yield of these investments. The two investments were made exactly one year apart. Initial investment = $1400 Value of investments two years after initial investment = Use algebra to set up and solve the appropriate equation to find the average annual yield of these investments. (Round as directed in Hawkes.) 2nd investment $1400 $2604
Expert Answer:
Answer rating: 100% (QA)
An investor has 10000 to invest and wants to know the average annual yield of a fiveyear investment ... View the full answer
Related Book For
Introduction to Operations Research
ISBN: 978-1259162985
10th edition
Authors: Frederick S. Hillier, Gerald J. Lieberman
Posted Date:
Students also viewed these accounting questions
-
During the next few days, watch for signs of nonverbal leakage of deception on television.
-
During the next few days, observe how people around you use the personal space communication zones detailed in the text. If these zones are not utilized according to what is predicted in the text,...
-
red 1.00 stion 20 A scaled-down prototype of an axially loaded beam is desired in order to perform tests to determine its structural properties. Assuming the beam operates within the elastic region,...
-
When is inflation an important issue in conducting case analysis? Why bother?
-
What is an unadjusted trial balance? An adjusted trial balance?
-
Draw an inheritance hierarchy for students at a university similar to the hierarchy shown in Fig. 9.2. Use Student as the superclass of the hierarchy, then extend Student with classes Undergraduate...
-
Calculate the times-interest-earned ratio for Evans \& Sons, Inc., for 2018 and 2019, and comment on the company's ability to pay its current interest payments. Did the company's ability to pay its...
-
The standard heat of reaction for the combustion of liquid n-nonane to form CO2 and liquid water at 25C and 1 atm is H = 6124 kJ/mol. (a) Briefly explain what that means. Your explanation may take...
-
Value of a mixed stream For the mixed stream of cash flows shown in the following table,, determine the future value at the end of the final year if deposits are made into an account paying annual...
-
Bobby's Bistro, a 24 hour, 7 days per week operation, specializes in a Super Deal Meal selling for a price in dollars and cents equal to twice the first two digits of your AUID divided by 10 (for...
-
1- Read the below articles and explain each of the seven (7) available treatment options. 7 Types of Risk Treatment - Simplicable Risk Management 2025 and Beyond (pwc.com.au)
-
Exercise 8-24 (Algorithmic) (LO. 5) The Parent consolidated group reports the following results for the tax year. Entity Income or Loss $13,600 Parent Sub1 (1,360) Sub2 Sub3 5,440 2,720 Do not round...
-
Based on the graph below, notice there are cost lines and four different price levels. Answer the following A- D questions: $ ATC AVC P-MR-D P-MR-D Quantity (A)Which point (a-g) on the graph is the...
-
The negative charge q3 exerts an attractive force F 13 on the positive charge q. The distance between these two charges is r13 = 0.100 m, so we have F13 = Ke Submit = 1911931 2 = 13 (8.99 x 109 N...
-
Skylair Airways is intending to secure a light business airplane for flying class customers at a speculation of $ 50,00,000. The normal income after charge for the following three years is as...
-
1. construct an income statement for year 2022. 2. construct a starement of cash flows for year 2022. 3. show the increase in retained earnings in the balance sheet is consistsnt with q1 answer? show...
-
Mohawk Industries builds transmissions for a large automobile manufacturer. One of its transmission assemblies requires part #HD 2 3 4 , purchased from a supplier within the same industrial park....
-
Differentiate the following terms/concepts: a. Personality types and money attitudes b. Planners and avoiders c. Moderating and adapting to biases d. "Perfectible judges" and "incorrigible judges"
-
Refer to the financial risk analysis example presented in Sec. 28.4, including its results shown in Fig. 28.15. Think-Big management is quite concerned about the risk profile for the proposal. Two...
-
Reboot, Inc. is a manufacturer of hiking boots. Demand for boots is highly seasonal. In particular, the demand in the next year is expected to be 3,000, 4,000, 8,000, and 7,000 pairs of boots in...
-
Consider the following problem. Maximize Z = 3x 1 + 7x 2 + 2x 3 , Subject to And x 1 0, x 2 0, x 3 0. You are given the fact that the basic variables in the optimal solution are x 1 and x 3 . (a)...
-
Consider a publicly-held company whose products you are familiar with. Some examples might include: Access the companys public website and search for its most recent annual report. (Note: Some...
-
The 2014 financial statements of LVMH Moet Hennessey-Louis Vuitton S.A. are presented in Appendix C of this book. LVMH is a Paris-based holding company and one of the worlds largest and best-known...
-
San Francisco Sea Salt's controller prepared the following statements of cash flow (in thousands of dollars) for the past two years, the current year (2020), and the upcoming year (2021): After...
Study smarter with the SolutionInn App