(1) calculate the future value if $6,000 is deposited initially at 11% annual interest for 5 years.

Q: Funds are deposited in a savings account at an interest rate of 8% per annum. What is the initial…

A: Annual interest rate = 8% Future value = P 10,000 Period = 10 Years

Q: what is the future value of $13000 received today and deposited 7 years in an account that pay 12%…

A: Future value can be referred to as the value of an underlying asset or security at a future date.…

Q: What is the future worth of a series of equal yearly deposits of $6,000 for 6 years in a savings…

A: A theory that helps to compute the present or future value of the cash flows is term as the TVM…

Q: Determine the future value of $10,000 under each of the following sets of assumptions:…

A: Future value: It is the value of money or asset for a specific period at a future date based on the…

Q: Using 12 percent simple interest per year, how much interest will be owed on aloan of $500 at the…

A: Interest Rate(R) = 12 Loan Amount(P)=$500 Years(T) = 2

Q: Find the future value if $2700 is invested for 7 years at an annual rate of 9% compounded quarterly.

A: If the money deposited in the account is left untouched it will end up growing into a larger balance…

Q: If a sum of $5000 is deposited now, $7500 is deposited 3 years from now, And $2000 per year in years…

A: A study that proves that the future worth of the money is lower than its current value due to…

Q: What is the future value of $2,500 deposited for one year earning a 14 percent interest rate…

A: In the given question we require to compute the future value of investment from following details:…

Q: Calculate the future value after 3 years if $1,000 is deposited at 1.2% interest compounded monthly.

A: Calculate the future value after 3 years if $1,000 is deposited at 1.2% interest compounded…

Q: nual, semiannual, and quarterly compunding periods, (1) calculate the future value if $5000 is…

A: Future value can be computed using FV function in excel. FV function computes interest rate for…

Q: Use the formula for computing future value using compound interest to determine the value of an…

A: Deposit amount (P) = $ 12000 Period = 5 Years Number of quarterly period (N) = 5*4 = 20 Annual…

Q: What is the future value in 12 years of $1,000 payments received at the beginning of each year for…

A: As a first step, let's gather all the information that question has to offer.Annuity investment = A…

Q: What is the present value of $5,500 received 9 years from now using a 12% interest or discount rate,…

A: Given details : Future value = $5500 Time period (n) = 9 years Interest rate (r) = 12% = 0.12…

Q: What is the future value of $800 deposited each year for six years, compounded annually at 10…

A: RATE  10% NPER (n)  6 PMT 800

Q: At the end of five years, how much is an initial $500 deposit followed by five year-end, annual $100…

A: Future value is the value of the current assets or some amount that is invested today and amount…

Q: The present sum needed to provide for an annual withdrawal of $2,000 for 20 years beginning 5 years…

A: Annual withdrawal = $2000 Number of annual withdrawal = 20 Years First withdrawal = beginning of 5th…

Q: What present amount of money must be deposited at 11% interest compounded annually to grow to…

A: Formula to calculate compound interest is: A = P(1+r/n)^nt Where A is the future value, P is the…

Q: 1. A sum of P1,000 is invested now and left for eight years, at which time the principal is…

A: Given, The initially invested amount = P 1,000 Rate of interest = 5% Time period of initial…

Q: How much money would be accumulated 15 years from now from deposits of $11,000 per year for 5…

A: Here, Amounted deposited for 5 consecutive years is $11,000 per year Interest Rate is 12% Total…

Q: What is the future value of $1,250 deposited at the end of each quarter year for 10 years earning 9%…

A: Given details are : Each quarter deposit = $1250 Time period = 10 years = 40 quarters Interest rate…

Q: A sum of $1,000 is deposited at 8% interest, compounded annually for 5 years. What is the future…

A: In this question we require to compute the future value of investment from the details given.

Q: Use the formula for computing future value using compound interest to determine the value of an…

A: The future value of the account can be computed by using the future value of a single deposit…

Q: the loan is allotted is 20 years. What sum of annuities still remains to be paid just after payment…

A: PV of A amount paid for first 8 years = A(1-(1+r)^-8)/r PV of 3A amount paid for the next 5 years =…

Q: Calculate the dollar amount that would be in a savings account at the end of 5 years, given an…

A: Initial investment (P) = 701 dollars Rate of interest (i) = 2.76% (Compounded monthly) Time period…

Q: The present sum needed to provide for an annual withdrawal of $2,000 for 20 years beginning 5 years…

A: Annuity is a series of payments or withdrawals made at periodic intervals. The way this withdrawal…

Q: please answer with details on how to do it. Thank you. If a one-time amount of $10,000 is invested…

A: Future amount in case of compounding can be calculated as: = Principal * ( 1 + rate) ^ number of…

Q: Use the formula for computing future value using compound interest to determine the value of an…

A: Principal =13000 interest rate =5% quarterly interest =1.25 Period 8 years =32 quarters

Q: Calculate the initial amount that would be in a savings account at the beginning of 6 years, given a…

A: Given  Interest rate =  3.14% Number of years = 6 Years Final amount received = 256 Future value is…

Q: What is the future value of $5,000 deposited for four years compounded atan annual rate of 10…

A: Annual Compounding       Interest rate  10.00%   Period (NPER)  4   Present Value 5000…

Q: calculate the principal sum which, if deposited at 9.5% compound interest, will grow to £400 after…

A: Interest rate (r) = 9.5% compounded Future value (A) = £400 Time (n) = 3 years Principal (P) = ?

Q: Find the amount necessary to fund the given withdrawals  yearly withdrawals of $1150 for 10 years;…

A: Present value of annuity: Annuity payment * Present Annuity Factor of $1 at i% for n years. Where, i…

Q: The amount of $10,000 is invested and will be worth $21,000 in nine years. What in the continuoushy…

A: Continuous Compounded Interest rate is the interest rate that is calculated on the principal amount…

Q: Calculate the future value of $15,000 received today and deposited for eight years in an account…

A: Future value is the accumulated value of an investment. It is the total of the initial deposit and…

Q: A sum of $5000 is invested for 5 years with annual interest rates of 9% the first, 8% the second,…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: what is the present value of $800 to be received at the end of eight years assuming an interest rate…

A: The present value of the cash flow is the current worth of a cash flow at a certain rate of interest…

Q: Find the compound interest if $2000 is invested for 12 years at 8% compounded quarterly.

A: Future value = Present value(1 + Rate)^Time where, Present value = $2000 Rate = 8% / 4 = 2% Time =…

Q: The future value of a $100 investment today at 8 percent annual interest compounded semiannually for…

A: Future Value It is the value of an investment after holding the same for specific amount of years…

Q: What is the future value of $1,500 invested today at 7% interest in 6 years with interest compounded…

A: In given question we need to compute the future value of $1500 invested today for 6 years at 7%…

Q: Use the formula for computing future value using compound interest to determine the value of an…

A: The future value of the cash flow is the future worth of a cash flow at a certain rate of interest…

Q: What sum must be invested now to provide an amount of OMR 18,000 at the end of 15 years if interest…

A: Present Value is the current value of the future stream of cash flows or sum of money at a specified…

Q: Find the present value of P1,200 due in 3 years and 9 months if money is worth 10%, compounded…

A: Present value of annuity is the current value of the future payments that are calculated using the…

Q: Use the formula for computing future value using compound interest to determine the value of an…

A: The future value of the account can be computed by using the future value of a single deposit…

Q: What is the future value of $1,100 invested today at 5% interest in 3 years with interest compounded…

A: In given question we need to compute the future value of $1100 invested today at 5% for 3 years.

Present Value

Present value (PV) is defined as the current or present value of all future sums of cash flow or money at a specified rate of return. This rate of return is known as the discounted rate, which is essentially the interest rate, discounted over some time. The expected cash flows are discounted at a discount rate to compute the present value. The higher the discount rate, the higher the future value (FV), but the lower the present value.