Question: I need this within 1 hour. Kindly answer correctly. I will appreciate it. I will hit thumb up. Please show calculations, No excel Question 3

I need this within 1 hour. Kindly answer correctly. I will appreciate it. I will hit thumb up. Please show calculations, No excel

I need this within 1 hour. Kindly answer correctly. I will appreciate

Question 3 Time value of money 3.1 An investor is considering purchasing land which is estimated to be worth R1 500 000 in 5 years. Land in the area has increased in value at a rate of 8% during the past few years. How much should the investor pay for this land today, assuming that the land will continue to increase in value at 8% per annum? (2) 3.2 Suppose you make 12 equal deposits of R4 000 each into a bank account every year. The first deposit will be made one year from today. Calculate how much money can be withdrawn from this bank account immediately after the 12th deposit was made if the interest received is 7% per annum. (3)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!