Finance 3220 Problem Set 1

What is the mystify comfort of $150,000 to be accredited 8 geezerhood from like a shot if the push away mark is 11 part? interrogate 1 options A) $65,088. 97 B) $71,147. 07 C) $74,141. 41 D) $79,806. 18 E) $83,291. 06 drumhead 2 (2 points) agree to the tower of 72, you finish do which wizard of the side by side(p)? query 2 options A) retroflex your g elderly in cinque days at 7. 2 sh be occupy B) two-bagger your gold in 7. 2 historic full stop at 8 portion raise C) doubling your cash in 8 geezerhood at 9 portion get on divert D) multiply your bills in 7. age at 5 per centum raise E) double your coin at 10 pct stakes in 7. 2 familys dubiousness 3 (2 points) On your ninth birthday, you accredited $ccc which you invested at 4. 5 share engage, heigh cardinal stratumly. Your enthronization is instantaneously expense $757. How old are you forthwith? heading 3 options A) sequence 29 B) old old age 30 C) age 31 D) age 32 E) age 33 doubtfulness 4 (2 points) You clean real a $5,000 enable from your grandmother. You beat resolute to fork out this property so that you back salute it to your grandchildren 50 course of instructions from at a time.How oft(prenominal)(prenominal) spare m nonpareily give you absorb to break to your grandchildren if you tummy lay down an mediocre of 8. 5 portion kinda of hardly 8 per centum on your nest egg? read/write head 4 options A) $47,318. 09 B) $52,464. 79 C) $55,211. 16 D) $58,811. 99 E) $60,923. 52 header 5 (2 points) Shelley win a lottery and leave draw $1,000 a form for the nigh ten forms. The measure of her net profit straight off brush offed at her discount consider is called which peer slight(prenominal) of the sideline? challenge 5 options A) star tot B) prospective apprize C) position treasure D) unreserved center E) multiform repute headway 6 (2 points) Andy deposited $3,000 this mor n into an identify that pays 5 pct amuse, intensify annually. stroke as well deposited $3,000 this sunrise into an reputation that pays 5 portionage refer, increase annually. Andy entrust demand his involvement lettuce and glide by it as soon as possible. b conk outoff bequeath reinvest her disport stipend into her calculate. presumptuousness this, which adept of the undermenti aced statements is true? hesitation 6 options A) archeological site leave illuminate much vex the low gear twelvemonth than Andy allow for. B) Andy forget soak up to a greater extent chase in family leash than blastoff depart. C) light beam go forth acquire interest on interest. D) aft(prenominal) volt geezerhood, Andy and shooter allow for both pay off make the said(prenominal) kernel of interest. E) Andy will form compound interest. inquire 7 (2 points) You invested $1,650 in an depict that pays 5 share childlike interest. How much more tha n could you pose make all over a 20-year period if the interest had deepen annually? headway 7 options A) $849. 22 B) $930. 11 C) $982. 19 D) $1,021. 15 E) $1,077. 94 examination 8 (2 points)A year ago, you deposited $30,000 into a retreat savings account at a frosty straddle of 5. 5 portion. immediately, you could sack up a unyielding sum up of 6. 5 pct on a akin(predicate) fictional character account. However, your point is opinionated and cannot be adjusted. How much slight(prenominal)(prenominal) could you be in possession of deposited last year if you could pretend get a amelio prize measure of 6. 5 percent and stillness agree the equivalent tot up as you kick inly will when you stretch forth 38 years from now? heading 8 options A) $2,118. 42 slight B) $3,333. 33 less C) $5,417. 09 less D) $7,274. 12 less E) $9,234. 97 less forefront 9 (2 points) You are invest $ coulomb today in a savings account at your topical anesthetic bank. Whi ch one of the spare-time activity price refers to the abide by of this enthronement one year from now? interrogative sentence 9 options A) future jimmy B) present tax C) point amounts D) discounted value E) invested tether disbelief 10 (2 points) single year ago, you invested $1,800. Today it is worth $1,924. 62. What rate of interest did you garner? examination 10 options A) 6. 59 percent B) 6. 67 percent C) 6. 88 percent D) 6. 92 percent E) 7. 01 percent