9. You are trying to buy a new $275,000 Ferrari. You have $50,000 today that can...

 

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9. You are trying to buy a new $275,000 Ferrari. You have $50,000 today that can be invested at your bank. The bank pays 4.8% annual interest on accounts. How long will it be before you have enough to buy the car? 10. Mendez Co. has identified an investment project with the following cash flow. If the discount rate is 10 percent, what is the present value if these cash flow? Year 1 2 3 4 Cash Flow $470 610 735 920 11. You are planning to make monthly deposits of $ 475 into the retirement account that pays 10% interest compounded monthly. If your first deposit will be made one month from now, how large will your retirement account be in 40 years? 9. You are trying to buy a new $275,000 Ferrari. You have $50,000 today that can be invested at your bank. The bank pays 4.8% annual interest on accounts. How long will it be before you have enough to buy the car? 10. Mendez Co. has identified an investment project with the following cash flow. If the discount rate is 10 percent, what is the present value if these cash flow? Year 1 2 3 4 Cash Flow $470 610 735 920 11. You are planning to make monthly deposits of $ 475 into the retirement account that pays 10% interest compounded monthly. If your first deposit will be made one month from now, how large will your retirement account be in 40 years?

Answer rating: 100% (QA)

Answer 9 Estimating with the Rule of 72 approximate method The Rule of 72 is a simplified approach to estimate how long it takes an investment to double at a given interest rate Heres the formula Numb... View the full answer