Free «Investment option» Essay Sample

Choose the car you would like to purchase in 5 years 

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184Y of 1967 Corvette Convertible with two tops, 427-435 hp and 4 speed and there numbers match. It is painted with rally red paint; its stingers are black in color, its interior is coated with red leather, with its top softened with color. The colors that have been combined for this kind of car are very rare and appear to be actually real. The factory producing the body is well tagged. In 2009, it had been completely restored and was in the conditions of the show. Transmission, engine and rear end were some of the thing a driver should actually have concepts. In addition, clutch, engine and pressure plate were rebuilt and, in July2009, Bloomington was certified and lost nearly 20 points in the body and about 25 points to the interior parts and also in September of 2009NCRS Top Flight at Regional.

Another alternative was opted for which had a power steering, transistorized ignition leather, vinyl auxiliary hardtop painted black, with positions M-21, 4.11,  a special heavy duty suspension of F-41, AM/FM radio, SS brakes, windshield was tinted, trio-power and redline tires and  bolt-on aluinum wheels. Spare parts and other components such as spare, jack, jack tools, owners manual, seat belts, washer system, clear floor mats, , shifter, shielding, braided wires, air cleaner, tar top battery, sales brochure, and T-3 headlights that is documented with the tank sticker, restoration receipts and restoration photos all neatly organized in a large 3 ring binder. Moreover, it has the NCRS and Bloomington certificates and judging sheets. Production date of February 7th, 1967 and delivered new by Wilkinson Motors of Rayville, LA per the official NCRS/GM shipping data records. Look, runs, and drives very nice (Graham, 2005). 

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Investment to make

Building an apartment that will cost $625000 for it to be complete.

Calculate the required yearly savings.

Interest rate is 0.84 and the amount to be saved in the next five years in order for the investment to move ahead is $625000.


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Based on the answer from above, what does this say about your feelings of the time value of money?

As per the results above the value for money drops with time. it was suppose to be $625000 but reduced to $525000.

How much money could be made using the same interest rate with the amount of yearly cash flows which would have been saved for the investment if these amounts had been invested instead?

It will be 652000-525000

$100000 per year

Then for five years will be

$100000*5= $500000



Is this a good use of the funds? Explain your answer

This is actually a good idea as the money will be generating more money instead of being left to lie (O'Neil, 1999).

What are the associated opportunity costs with this type of investment? Explain your answer.

Health issues, education and basics needs

Money left to lie idle for a period of five years will be forced to use incase of education health and basic needs scarcity at one time.

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