Solve the problem.To save for retirement, you decide to deposit $1500 into an IRA at the end of each year for the next 40 years. If the interest rate is 7% per year compounded annually, find the value of the IRA after 40 years. Round to the nearest dollar.
A. $4,618,809
B. $278,460
C. $20,962
D. $299,453
Answer: D
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Provide an appropriate response.Suppose that you can invest $5000 in a business that guarantees you the following cash flows: $3000 at the end of 2 years, $2000 at the end of 4 years, and $1500 at the end of 6 years. Use a graphing calculator to graph the net present value as a function of the interest rate compounded annually. Determine the interest rate for which the investment is profitable.
Fill in the blank(s) with the appropriate word(s).
Answer the question.Which pair of values of x and y makes 6x + y equal 12?
A. x = 2 and y = 0 B. x = 0 and y = 2 C. x = 6 and y = 3 D. x = 3 and y = 6
Solve the problem.Find the interest if $2400 is borrowed at 9% (or 0.09) for 3 years. (I = PRT)
A. $2160 B. $216 C. $648 D. $3048
Provide an appropriate response.Revenues of a company are decreasing. One analyst says it is due to a decrease in price. Is this necessarily true? Explain.
What will be an ideal response?