Jeremy Dixonâ€™s portfolio earned 13.5% last year. Inflation for the year was 3.25%. Calculate his approximate real rate of return. What was the investor’s actual real rate of return, using the Fisher equation?I calculated the approximate real rate of return to be approximately 9.93%.The Fisher Equation is: (1+R) = (1+r) * (1+h) where r is the % purchasing power has increased in the investment, and h = inflation over the period. If we are not given r, how do we figure out the actual real rate of return using the Fisher equation?
John Jones is buying a house for $100,000. John can get a loan for 95% of the purchase price at 8% with monthly payments for a 25-year term. What would his payments be if he borrows under these terms?i need to know how to do this…. i have a financial calculator!
Karen started a registered retirement savings plan on February 1, 2000, with a deposit of $2210 She added $2000 on February 1, 2001, and $1475 on February 1, 2004 What is the accumulated value of her RRSP account on August 1, 2005, if interest is 1044% compounded quarterly?