Question: Please answer all, thank you! Personal Finance Problem Misty needs to have $15,000 at the end of 5 years to fulfill her goal of purchasing

Please answer all, thank you!

Personal Finance Problem Misty needs to have $15,000 at the end of 5 years to fulfill her goal of purchasing a small sailboat. She is willing to invest a lump sum today and leave the money untouched for 5 years until it grows to $15,000, but she wonders what sort of investment return she will need to earn to reach her goal. Use your calculator or spreadsheet to figure out the annually compounded rate of return needed in each of these cases: Misty can invest $10,200 today. Misty can invest $8,150 today. Misty can invest $7,150 today. The annually compounded rate of return Misty needs to earn to reach her goal, if she invests $10,200 today, is %. (Round to two decimal places.) The annually compounded rate of return Misty needs to earn to reach her goal, if she invests $8,150 today, is %. (Round to two decimal places.) The annually compounded rate of return Misty needs to earn to reach her goal, if she invests $7,150 today, is %. (Round to two decimal places.)

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!

Homework Chapter 5 HW TV Per You thing anno The other Homework Chapter HW re Time Value Personal Finance Problem Misty needs to have 518 000 in 8 years to fulfill her goal of purchasing a small...

Time Value Personal Finance Problem Misty needs to have $ 1 5 comma 0 0 0 1 5 , 0 0 0 in 6 6 years to fulfill her goal of purchasing a small sailboat. She is willing to invest a lump sum today and...

Time ValuePersonal Finance Problem Misty needs to have $15 comma 00015,000 in 55 years to fulfill her goal of purchasing a small sailboat. She is willing to invest a lump sum today and leave the...

Time Value Personal Finance Problem Misty needs to have $15,000 at the end of 5 years to fulfill her goal of purchasing a small sailboat. She is willing to invest a lump sum today and leave the money...

Time Value Personal Finance Problem Misty needs to have $14,000 in 5 years to fulfill her goal of purchasing a small sailboat. She is willing to invest a lump sum today and leave the money untouched...

Time Value Personal Finance Problem Misty needs to have $15,000 in 8 years to fulfill her goal of purchasing a small sailboat. She is willing to invest a lump sum today and leave the money untouched...

Time Value Personal Finance Problem Misty needs to have $21,000 in 7 years to fulfill her goal of purchasing a small sailboat. She is willing to invest a lump sum today and leave the money untouched...

Please help. I can't figure out how to solve this. Thank you! Time Value Personal Finance Problem Misty needs to have $14,000 at the end of 7 years to fulfill her goal of purchasing a small sailboat....

FILL IN THE BOXES FOR THE QUESTIONS ABOVE.. THANK YOU! If Bob and Judy combine their savings of $1,000 and $800, respectively, and deposit this amount into an account that pays 9% annual interest,...

Points: 0 of 1 Value of a retirement annuity Personal Finance Problem. An insurance agent is trying to sell you an annuity, that will provide you with $ 8 , 3 0 0 at the end of each year for the next...

Bryant Co. uses a perpetual inventory system and both an accounts receivable and an accounts payable subsidiary ledger. Balances related to both the general ledger and the subsidiary ledger for...

An experiment was conducted with credit card holders who were at risk of defaulting on their cards due to late payments. In the control condition, participants received their statement with a late...

of 2 1 rance for Doubtful Accounts will have an a . unadjusted credit balance at the end of the period if the write - offs during the period were less than the beginning balance. . unadjusted debit...

9. (15 points) A company is considering a new project that requires an investment of \$5 million. The project is expected to generate cash flows of $2 million in year 1,$3 million in year 2, and $4...

Teamwork. Pair with a classmate and discuss why the indirect plan of communicating bad news usually has an advantage over the direct plan, even in low-context countries like the United States. Be...

Dr. Josephine Markline, a neurologist, is part of a research team with the local university conducting experimental trials of a new drug intended to alleviate tremors for people with Parkinsons...

Write an effective opening buffer for the following situations: (Objectives 3 and 4) a. Your teacher must indicate to a student that a question was answered incorrectly during a class discussion. b....