sh to deposit an amount now that will accumulate to $200,000 in 25 years. How much more would you have to deposit if the rate of interest was 6.5% compounded annually versus quarterly? Multiple Choice
Q: A deposit of 120 000.00 Php is placed into a college fund at the beginning of every month for 10…
A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…
Q: client deposits $5 million in a savings account that pays 5 percent per year compounded quarterly.…
A: The given problem can be solved using FV function in excel. FV function computes amount value in…
Q: Assume you deposit $5,700 at the end of each year into an account paying 11. interest. a. How much…
A: Yearly Deposit are of $5,700 Interest rate is 11% Time period is 19 years for Part(A) and 38 Years…
Q: Suppose you want to have $2,000,000 in 45 years. Calculate how much you need to deposit per nonth in…
A: The present value is the value of the sum received at time 0. It is the current value of the sum…
Q: uppose an individual makes an initial investment of $1,200 in an account that earns 6%, compounded…
A: We will apply the concept of time value of money here. As per the concept of time value of money the…
Q: Determine the present value and total amount of an annuity with 6 payments of P120,000 each made at…
A: Annual payment (P) = P120,000 Interest rate (r) = 15% Number of annual payments (n) = 6
Q: Answer the following problems. Show your solutions. Annuity 1. How much money will you accumulate by…
A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: John already has $55,600 today in his savings account earning 5.5% compounded semiannually. The…
A: Here,
Q: You deposit $175,000 in a savings account. The APR (Annual Percentage Rate) is 6%. Calculate the…
A: Effective Annual Rate(EAR) shows net rate which an investment will yield after considering…
Q: If you need $40,000 five years from determine the minimum amount of money you need to deposit into…
A: Working note:
Q: You put $1, 000 into a savings account today that offers a 5% APR with semi-annual compounding…
A: Number of period is 4 (2 x 2).
Q: How much will you have saved at the end of 15 years.
A: Time value of money (TVM) means that the amount of money received in the present period will have…
Q: If you deposit RM25,000 in an account earning 16% with quarterly compounding, how much would you…
A: Amount of Deposit = RM 25,000 Interest Rate = 16% per annum Quartery interest Rate(r) = 16%/4 = 4%…
Q: If you deposit $500 in a savings account that offers3 percent interest, compounded annually, and…
A: A theory that helps to compute the present or future value of the cash flows is term as the TVM…
Q: If you deposit RM35,000 in an account earning 18% with monthly compounding, how much would you have…
A: Using the future value function
Q: If for the next 30 years you place OMR 3,610 in equal annual year-end-deposits into an account…
A: Future value of annual year end deposits is calculated by future value of ordinary annuity formula.…
Q: Answer the Situation below correctly show your complete solution. A deposit of 120 000.00 Php is…
A: C. Since the payment is made monthly and the interest is also compounded monthly, the number of…
Q: You have accumulated $1,793,836 for your retirement. How much money can you withdraw for the next 14…
A: Given that:Accumulated amount=$1793836Years=14Rate=9.90 % per year(Compounded annually)
Q: If you deposit $3,500 monthly into a savings account which earns 8.25% interest rate compounded…
A: Present Value is referred to as the current value of future sum of the funds or the cash flows…
Q: You plan on withdrawing monthly payments for the next ten years and have deposited $100,000 inan…
A: Let's assume that the value of the monthly withdrawals be an amount A.Interest rate = 8% per annum…
Q: You borrow $1,000,000 at 3% compounded semi-annually and will pay it off over bi-weekly (every two…
A: Installment is the amount of periodic payments a borrower has to make to its lender in order to pay…
Q: If you deposit RM15,000 in an account earning 20% with semi annually compounding, how much would you…
A: Compounding is a way to find the FV of a deposited amount by considering the appropriate rate for…
Q: If you wish to accumulate $205,000 in 6 years, how much must you deposit today in an account that…
A: Future value (FV) = $205,000 Interest rate = 15% Monthly interest rate (r) = 15%/12 = 1.25% Period =…
Q: Your bank pays 8% interest, compounded annually. Use the appropriate formula to find how much you…
A: Given, Interest rate (r) =8% Annuity payment (A) = $700 Time (n) = 8
Q: How much should you deposit at the end of each month into an investment account that pays 8.5%…
A: The interest amount is calculated as the future value of annuity minus the total deposits made over…
Q: Find the periodic payment R required to accumulate a sum of S dollars over t years with interest…
A: Accumulated sum is $190,000 Annual interest rate is 3.5% per year Time period 30 years Period per…
Q: b. You have a $20,000 note payable which is due in three years. How much money must you put into a…
A: Solution d: N = 1 PV (Future value of at the end of 3 years) = $20,000 Interest rate (I) = 3%
Q: Suppose you deposit $2,000 at the end of eachquarter for ten years at an interest rate of 9%…
A: Annuity refers to series of annual payment which is paid or received at start or ending of specific…
Q: Gary King will deposit $27500 into an account today that earns 13% per year compounded annually.…
A: Given information: Principle amount = $27,500 Rate of interest = 13% Period = 5 years
Q: How much will Bill Rodgers need to invest today so that he may withdraw $7,000 each year for the…
A: The question is based on the concept of Financial Management.
Q: You borrow $1,000,000 at 3% compounded semi-annually and will pay it off over bi-weekly (every two…
A: Installment is equal periodic payments a borrower pays in order to pay back his loan over a period…
Q: For someone who has $100,000 to save for 20 years, would a 4% Certificate of Deposit that compounds…
A: Certificate Of Deposits A certificate of deposit (CD) is a bank or credit union product that pays a…
Q: Suppose that you plan to retire in 40 years. You put 1000 dollars in a bank account which sa per…
A: Effective rate of interest is the interest rate that is actually earned or paid. Effective rate of…
Q: You plan to deposit $300 at the end of every year for 12 years starting at the end of year 1. Then…
A: Solution 3: The problem related to future value of annuity. Future value of an annuity is the future…
Q: You plan to prepare for retirement by making monthly contributions $1,500 to a savings account that…
A: Annuity means no. of finite payments which are same in size and made in equal intervals. Person gets…
Q: You want to receive $725 at the end of each year for 4 years. Interest is 7.9% compounded annually.…
A: The given problem can be solved using PV function in excel. PV function computes present worth or…
Q: You plan to withdraw the amounts given below over the next five years from a savings account that…
A: GIVEN, R=9% YEAR CASHFLOW 1 0 2 24000 3 14000 4 26000 5.00 42000
Q: Give me right solution according to the question options also given A person deposits $150 per…
A: The future amount is the accumulated value of the present value at a certain rate of interest. The…
Q: You deposit $175,000 in a savings account. The APR (Annual Percentage Rate) is 6%. Calculate the…
A: Initial deposit = $175,000 Annual percentage rate = 6% Time = 10 years So, Future value =Initial…
Q: Suppose I have the choice of investing $25000 in two different accounts: Acct 1: 4.5%…
A: Future value is the value of present cashflow compounded to future date at specified rate. formula:…
Q: Find the lump-sum deposit needed today that will produce payment of $4200 at the end of each year…
A: Time value of money refers to a concept stating that the value of money we posses today is not same…
You wish to deposit an amount now that will accumulate to $200,000 in 25 years. How much more would you have to deposit if the rate of interest was 6.5% compounded annually versus quarterly?
Show all calculation and formulas if necessary
Step by step
Solved in 3 steps with 2 images
- Choose the best answer Compute the future value in year 5 of a $2,000 deposit in year 1 and another $2,500 deposit at the end of year 3 using a 6% interest rate. a. $5,333.95 b. $5,653.99 c. $5,850.00 d. $6,022.02How much do you have to deposit today so that beginning 11 years from now you can withdraw $ 15,000 a year for the next 4 years (periods 11 through 14) plus an additional amount of $ 30,000 in the last year (period 14)? Assume an interest rate of 5 percent. Question content area bottom Part 1 The amount of money you have to deposit today is $ enter your response here . (Round to the nearest cent.)a. Use the appropriate formula to determine the periodic deposit. b. How much of the financial goal comes from deposits and how much comes from interest? Periodic Deposit $? at the end of each month Rate 7.75% compounded monthly Time Financial Goal $1,250,000 50 years Click the icon to view some finance formulas. a. The periodic deposit is S (Do not round until the final answer. Then round up to the nearest dollar as needed.) b. S of the $1,250,000 comes from deposits and $ comes from interest. (Use the answer from part (a) to find these answers. Round to the nearest dollar as needed.) Enter your answer in each of the answer boxes. Type here to search 199+ DELL Esc F1 F2 F3 F4 F5 F6 F7 F8 F9 F1C 近
- If you deposit $2 comma 7002,700 today into an account earning an annual rate of return of 1313 percent, what will your account be worth in 4040 years (assuming no further deposits)? In 5050 years? Question content area bottom Part 1 Click on the table icon to view the FVIF table: LOADING... . In 4040 years, your account will be worth $enter your response here. (Round to the nearest cent.)If you had deposited $1 in a bank account at an annual rate of 3.5% at the beginning of 1905, how much would you have in the account at the end of 2019, assuming the interest rate remained constant? Group of answer choices $28.57 $52.26 $1,464.47 $119.03You deposit $2,000 one year and $1000 next year starting year 1 until year 30 with an interest rate of 5% one year and 7% other year. How much money will you have at the end of year thirty if there are different interest rates after year 30 as shown in the diagram below? 0 1 2 3 5% 7% 5% 7% Select one: O a. 117724 O b. 18050 O c. 90000 O d. 106141 O e. 120408 4 2000 1000 2000 1000 wwww **** **** 26 27 28 29 30 5% 1000 2000 1000 2000 1000 7% 5% %7 F?
- 不 a. Use the appropriate formula to determine the periodic deposit. b. How much of the financial goal comes from deposits and how much comes from interest? Periodic Deposit Rate Time Financial Goal $? at the end of each year 3% compounded annually 15 years $130,000 Click the icon to view some finance formulas. a. The periodic deposit is $ (Do not round until the final answer. Then round up to the nearest dollar as needed.) this View an example Get more help 4 Clear all Checpls answer and show cash flow diagram I will invest $500 per quarter for my retirement at 7.3% compounding quarterly for 32 years. I have achoice of making that payment of $500 at the beginning or the end of the quarter (regular annuity orannuity due). In which account will I have more money and by how much? Which account will earn themost interest and by how much? Ans: Regular Annuity‐ $249981.20, Interest = $185981.20; Annuity Due‐ $254543.36, Interest =$190543.36If you were to put $1,000 in the bank each year for the next 10 years at 6% interest, which table would you use to find the ending balance in your account? Group of answer choices Future value of $1 Present value of an annuity of $1 Future value of an annuity of $1 Present value of $1
- EQuestion Help Use graphical approximation techniques or an equation solver to approximate the desired interest rate. A person makes annual payments of $1000 into an ordinary annuity. At the end of 5 years, the amount in the annuity is $5898.27. What annual nominal compounding rate has this annuity eamed? Type the interest rate: % (Round to 2 decimal places.) Enter your answer in the answer box and then click Check Answer. All parts showing Clear All Check Answer MacBook Air esc 80 888 DII F4 %23 $ & 2 3 4 6 8 9 Q E R Y A D G H K V B N MYou plan to depost $5.300 a paying 10.3 percent interest & How much money will you have in the account in 25 years? Do not round intermediate calculations and round your answer to 2 decimal places. 3216) & How much will you have if you make deposits for 50 years? Do not round intermediate calculations and round your answer to 2 decimal places g.1216) 50Question Help Acme Annuities recently offered an annuity that pays 4.2% compounded monthly. What equal monthly deposit should be made into this annuity in order to have $70,000 in 10 years? The amount of each deposit should be $. (Round to the nearest cent.) Enter your answer in the answer box and then click Check Answer. Clear All Check Answer All parts showing ר