Ask a New Question

Question

A financial analyst tells you that investing in stocks will allow you to triple your money in 15 years. What annual rate of return is the analyst assuming you can earn?
14 years ago

Answers

Reiny
(1+i)^15 = 3
log both sides
log((1+i)^15) = log3
15 log (1+i) = log3

log 1+i = log3/15
1+i = 1.07598

i = .07598
You would have to earn about 7.6 % a year to triple your money in 15 years
14 years ago

Related Questions

You are a share analyst for an investment firm and are investigating the return on shares in the Eas... You are a share analyst for an investment firm and are investigating the return on shares in the Mea... As the financial analyst for a corporation, you are evaluating various types of bonds. The firm is g... Jim is a financial analyst with many large investment clients. Each year Jim identifies ten differen... Callie is a financial analyst who works for a large stockbroker and to better perform her job, she o... You are a financial analyst at Global Tech Industries, a multinational corporation with operations i... You are a financial analyst for a certain company. The director of capital budgeting has asked you... Uses financial advisor tells him that he has made a great budget. Why was he MOST likely successful... You are an analyst in the IT department of a software development company that supports a remote wor... A cybersecurity analyst who works for a large corporation has been analyzing a recent cyber attack t...
Ask a New Question
Archives Contact Us Privacy Policy Terms of Use