Chapter 2 Homework

# Chapter 2 Homework - \$212,000 \$212,000 = \$9,824.8216 21.578...

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Kristen Porter 1/23/12 Chapter 2 # 8, 12 8. a. 8%: \$10,000 X 2.159 = \$21,590.00 5%: \$10,000 X 1.620 = \$16,290.00 b. \$25,000 X 5.5690 = \$139,225 c. \$210,000 X 1.629 = \$342, 090 d. \$70,000 X 2.079 = \$145,530 There will not be enough money to pay for my child’s four year education if I invest \$70,000 today for 15 years at 5%. I would have to save the following amount each year to meet my goal of
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Unformatted text preview: \$212,000: \$212,000 = \$9,824.8216 21.578 e. \$1,000,000 = \$11,071.9901 90.318 f. \$750,000 = \$70,257.6112 10.675 12. Amy can reasonably expect her investment to be worth \$73,560 in 20 years if she invests \$2,000 each year with a return of 6% per year. The following calculation demonstrates this: \$2,000 X 36.780 = \$73, 560...
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## This note was uploaded on 04/03/2012 for the course TAX 879 taught by Professor Small during the Spring '12 term at Suffolk.

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