Question: You currently have $ 5 0 , 0 0 0 in your bank account and you will need a total of $ 9 0 ,

You currently have $50,000 in your bank account and you will need a total of $90,000 in 6 years to pay for a down payment on a house. What interest rate do you need to earn in order to have $90,000 in your bank account 6 years from now? Enter your answer as a percentage rounded to 2 decimal places. Do not include the percentage sign in your answer.
You currently have $ 5 0 , 0 0 0 in your bank

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!

Q:

For the grid shown in Figure P5-48, determine the nodal displacements and the local element forces. Let E = 30 Ã 106 psi, G = 12 Ã 106 psi, I = 200 in.4, and J = 100 in.4 for both...

Q:

1.Consider a situation where the reserve ratio is 5%. If Lena deposits $100 into her bank account, then the total deposits in the banking system (including her $100) will be equal to: A. $10,000 B....

Q:

Please help me Find and Correct the errors in the journal ledger and trial balance!! I am so struggling! Thank you! The exercise below, involving a journal, ledger, and trial balance, has errors in...

Q:

2020 Federal income tax return ( Form 1040, Schedule 1, possibly Schedule A) Monica has one child, Mollie, who is 19 and lived at home all year. Mollie is currently working at Gino's Pizza and earned...

Q:

i A five-dollar bill issued by the Bank of Canada is: A liability of the Bank of Canada until it is spent Your liability if you hold that note An asset of the Bank of Canada A liability of the Bank...

Q:

Bruce, Robbie and Jeff each open up new bank accounts at time 0. Bruce deposits X into his bank account and his account earns a nominal interest rate of 8% compounded quarterly. Robbie deposits 1000...

Q:

Bruce, Robbie and Jeff each open up new bank accounts at time 0. Bruce deposits X into his bank account and his account earns a nominal interest rate of 8% compounded quarterly. Robbie deposits 1000...

Q:

STA 2190: INTRODUCTION TO ACTUARIAL SCIENCE CAT II 27TH NOVEMBER 2012 INSTRUCTIONS: Answer all questions 1. An amount X is deposited in an account that earns interest at an annual effective rate of...

Q:

Valid Cumulative Frequency Percent Percent Percent Valid Maybank 31 31.0 31.0 31.0 CIMB 30 30.0 30.0 61.0 RHB 5 5.0 5.0 66.0 Public Bank 29 29.0 29.0 95.0 HSBC 5 5.0 5.0 100.0 Total 100 100.0 100.0...

Q:

. 20.00 points Santana Rey receive the arch banker for Business or on Apr 11, 2012. The Man 31 bank wows and share of 07.200 Theedow Cather101 shows londing cash ane per books of 67808 of March 3 or...

Q:

4. A fund earns interest according the following scheduling: Year 1: Nominal interest rate of 6% compounded semiannually a. b. Year 2: Force of interest of 5% Year 3: Nominal rte of discount of 8%...

Q:

Use an indifference curve (Chapter) diagram (gift goods on one axis and all other goods on the other) to illustrate that a consumer is better off receiving cash rather than a gift. Relate your...

Q:

The figure shows a cross section of three long, straight, and parallel current- L. carrying wires. Notice we are using the common convention that crosses denote vectors pointing into the page and...

Q:

Which of the following is a cirteration for the classification of a liabilty as current? 1 . It is a debt that can be paid from existing current assets 2 . It is a debt that can be paid trough the...

Q:

At the beginning of Year 1, the adjusted cost base of Yossi's ETF is $25,000. According to the following, what is the increase in Yoss''s taxable income for the Year? Distributions $500 interest...