You have $17,250 you want to invest for the next 22 years. You are offered an in

Question

You have $17,250 you want to invest for the next 22 years. You are offered an investment plan that will pay you 7 percent per year for the next 11 years and 11 percent per year for the last 11 years. Requirement 1: How much will you have at the end of the 22 years? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).) Amount $ Requirement 2: If the investment plan pays you 11 percent per year for the first 11 years and 7 percent per year for the next 11 years, how much will you have at the end of the 22 years? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).) Amount $

Explanation / Answer

Ans 1:

Amount after 22 years = 17250*(1.07)^11*(1.11)^11 =

Ans 2:

Amount after 22 years = 17250*(1.07)^11*(1.11)^11 = $114,436.198

Related Questions

Navigate

• Browse (All)
• Browse Y
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.