- +1-530-264-8006
- info@tutorsglobe.com

Business management questions

Assignment:

QUESTION 1

Your older sister deposited $5,000 today at 8.5 percent interest for 5 years. You would like to have just as much money at the end of the next 5 years as your sister will have. However, you can only earn 7 percent interest. How much more money must you deposit today than your sister if you are to have the same amount at the end of the 5 years? (Do not include dollar signs in your answers)

QUESTION 2

You are choosing between banks. Bank A advertises 4.5% stated interest rate compounded quarterly on your savings account. Bank B offers 4.39% compounded weekly. Which bank offers the better deal??

A. Bank A: 4.5% APR compounded quarterly

B. Bank B: 4.39% APR compounded weekly?

??

QUESTION 3

You want to buy a $200,000 home. You have $30,000 as a down payment. If you take out a 30-year mortgage at 4.75%, what is your monthly payment? (Do not include dollar signs or commas in your answers)

QUESTION 4

You want to buy a $300,000 home. You have $30,000 as a down payment. Therefore, buying the house will require you to take out a $270,000 mortgage. If you pay $1,262.70 per month for 30 years, how much money do you pay in interest over the course of the 30-year mortgage? (Do not include dollar signs in your answers)

QUESTION 5

Cersei owes the Iron Bank $8 million. If the Iron Bank charges Cersei 4.5% annually on her loan, and Cersei can only afford to repay $400,000 per year. How many years will it take Cersei to repay her debts

QUESTION 6

When Dany retires, she wants to withdraw $15,000 every quarter from her savings for a period of 25 years. How much money must Dany have in the bank when she retires to be able to withdraw the desired amount? She earns 2 percent on his savings while retired (Do not include dollar signs in your answers)

QUESTION 7

If you deposit $25,000 today and Union Bank offers to pay you $50,000 at the end of 10 years. What is the annual interest rate?

. A. 7.01%

. B. 7.18%

. C. 6.52%

. D. 9.29%?

QUESTION 8

Your annual salary is $100,000. You are offered two options for a severance package. Option 1 pays you six months' salary now. Option 2 pays you and your heirs $6,000 per year forever (first payment at the end of this year). If your required return is 11%, what option should you choose? Assume you care about your family as much as you care about yourself?

. A. 50.000 now

. B. The perpetuity?

QUESTION 9

. Michael is considering his consumption habits, trying to figure out how to save money. He realizes he could save $2 every day by ordering regular coffee instead of latte at the local coffee house. Since he buys a cup of coffee every workday, this works out to $10 per week, which amounts to a saving of $520 per year. If Michael is 25 today and retires at age 65, how much money will he have accumulated from savings on coffee vs. latte? Assume that the annual interest rate is 4% and that the $520 savings occurs at the end of each year.?

QUESTION 10

. Suppose you have $20,000 in student loans earning an interest rate of 6.8% per year. Upon graduation, you get a job that offers a 100% match on employee retirement contributions up to 3% of salary. If, for example, you make $50,000 and contribute $1,500 (3% of your salary) then your employer will contribute an additional $1,500 (3%). However if you contribute $1,000 then your employer will only give you an additional $1,000; and if you contribute more than 3% (say, $2,000) your employer will still only give you $1,500 (3%). Assume that you will earn a guaranteed 4% return on your retirement savings. What percentage of your income should you contribute to your retirement account?

. A. 0%

. B. 3%

. C. 6%

. D. None of the above

Now Priced at $50 (50% Discount)

Recommended **(98%)**

18,76,764

Questions

Asked

21,311

Experts

9,67,568

Questions

Answered

Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!

Submit Assignment
## Q : Poor planning and organizing in organizations

An ancient Chinese proverb says, "In addition to the noble art of getting things done, there is the noble art of leaving things undone.