- What lump sum do parents need to deposit in an account earning 15%, compounded monthly, so that it will grow to $60,000 for their son's college fund in 16 years?
- Microsoft's stock price peaked at 6118% of its I.P.O. price more than 13 years after the I.P.O.† Suppose that $35,000 invested in Microsoft at its I.P.O. price had been worth $2,100,000 (6000% of the I.P.O. price) after exactly 13 years. What interest rate, compounded annually, does this represent?
- How long (in years) would $800 have to be invested at 11.2%, compounded continuously, to earn $600 interest?
- A couple needs $55,000 as a down payment for a home. If they invest the $40,000 they have at 4% compounded quarterly, how long will it take for the money to grow into $55,000?
- A house that 21 years ago was worth $170,000 has increased in value by 3% each year because of inflation. What is its worth today?
Note: Round your answer to the nearest cent.