15. You deposit $8,000 in a bank account today. You make another deposit of $14,000 into the account in year one and you make a third deposit of $10,000 in year two. The bank pays interest at 8 percent compounded annually. How much will you have in your account at the end of year 3? * O a) $37,207 O b) $35,207 c) $39,207 O d) $40,502 e) None of the above

Q: First City Bank pays 8 percent simple interest on its savings account balances, whereas Second City…

A: Compound interest is the additional interest earned on the reinvested amount. It is interest on…

Q: You deposited $8,000 six years ago into a bank account.  Two years ago, you deposited an additional…

A: Here, Initial deposit = $8,000 Total future value = $89,187.52 Interest rate = 14% Time period for…

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: If you deposit $10,000 dollars into a savings account, what interest would you need to be earning to…

A: Working note:

Q: A bank is offering 10% compounded quarterly. If you put $200 in an account, how much will you have…

A: Step 1 The worth of a series of periodic payments at a future date, assuming a specific rate of…

Q: Suppose that the household, with the same P10,000 per month earnings, decides to deposit P3,333.33…

A: Bonds are interest-paying securities that are issued by a corporation or the government to raise…

Q: 2. You have $42,180.53 in a brokerage account, and you plan to deposit an additional $5,000 at the…

A: We will make use of the excel function NPER to get this answer. This function returns the number of…

Q: You deposit $4,000 today in a bank that promises to pay an annual interest of 8%? a. What is future…

A: (1) (a.) FV =PV*(1+r)^n =4000*(1+8%)^12 =10072.68 (b.) If rate =8% with monthly compounding FV…

Q: You put $280 in the bank for 5 years at 8%. A. If interest is added at the end of the year, how…

A: Future value is directly proportional to the interest rate. If the interest rate is higher the…

Q: You deposit $3,000 in a bank account that pays 12% interest annually. How much will be in your…

A:

Q: You have $14,000 in the bank today.  How much would you need to save each year in order to…

A: Current amount (C) = $14000 Let the annual saving = A r = 10% n = 30 years Accumulated value = $3…

Q: You put 280,000 dollars in a bank which gives you 0.75% interest compounded daily. If you leave that…

A: The amount of interest earned can be computed with the help of future value function

Q: 2. Jenny is planning to deposit P17,000 Quezon Metropolitan Bank is offering 7.5% compounded…

A: Time value of money- It is based on the concept that money earned today is worth more than similar…

Q: 14: Ali deposits $ 1000 in a savings account at the end of each year. If the bank pays interest rate…

A: The correct answer is 5638.09$ Future value = Amount (1+r)^n  = 1000(1.06)^4 + 1000(1.06)^3 +…

Q: Your goal is to have $15,000 in your bank account by the end of eight years. If the interest rate…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: First City Bank pays 8 percent simple interest on its savings account balances, whereas Second City…

A: Simple interest = Principal * Rate * time

Q: Your bank pays 8.50 percent annual interest compounded semiannually on your savings account. You…

A: Future Value = Present Value * (1+rate)^ n Where, Present Value = $2,500 Rate = 8.5%/2 =4.25%…

Q: Find the equivalent present worth of the cash receipts in the accompanying diagram, where i = 8%…

A: We know that the formula to calculate the present value is I/(1+i)n, where I is the cash flow that…

Q: a. How much interest will you earn in the first year? b. How much interest will you earn in the…

A: Given, Deposit Amount (P)= $1,000 Interest Rate (r) = 8.25%   Interest Amount = P(1+r)n-P Where,  P…

Q: Alfredo wants to know how much he must put in a bank account today to have within 14 years an amount…

A: As per the information provided: Future value of the invested amount = $20,000 Time = 14 years…

Q: Suppose you decide to deposit $11,000 in a savings account that pays a nominal rate of 6%, but…

A: The interest rate that did not take inflation, any fees on the loans, and compounding of the…

Q: Suppose $1,000 is deposited in a bank account today (time 0), followed by $1,000 deposits in years…

A: Given amount of deposit = $1,000 Rate of interest = 6%

Q: t is now January 1, 2x16, and you will need P100,000 on January 1, 2x20. Your bank compounds…

A: The value of money would possibly change with time. The money that is received at present will have…

Q: A person wishes to get 800$ at the end of second year and 900$ at the end of fifth year, if rate of…

A: The question is based on the concept of calculating the present value of expected future cash flows…

Q: Find the equivalent present worth of the cash receipts in the accompanying diagram, where i = 8%…

A: Present Value refers to the value of cash flows today which is to be received at some future time…

Q: You need to have $50,000 in a bank account 28 years from today. Assume APR is 12% and monthly…

A: The present value is computed by multiplying the future value with the present value factor. If a…

Q: If you want to have $22,327 in fifteen years, how much do you need to deposit in a bank account…

A: The deposit required today is calculated as the present value.

Q: Banco Filipino is offering 0.8 percent compounded daily on its savings accounts. If you deposit…

A:

Q: Browns Bank pays 8 percent simple interest on its savings account balances, whereas Raiders Bank…

A: 1) Browns bank interest rate (r) = 8% simple interest Raiders bank interest rate (i) = 8% compound…

Q: 1. Simple Interest versus Compound Interest First City Bank pays 7 percent simple interest on its…

A: First city bank simple interest rate (i) = 7% Second city bank compound interest (r) = 7% Deposit…

Q: If you deposit $700 in a bank account that earns 5 percent per year, how much total interest will…

A: Interest Amount = Principal * ( 1 + r )n - Principal

Q: You deposit $296 today into a bank account that earns 12% annually.  How much will be in your…

A:

Q: 15. You deposit $8,000 in a bank account today. You make another deposit of $14,000 into the account…

A: Today's deposit = $8,000 Deposit in year 1 = $14,000 Deposit in year 2 = $10,000 Interest rate = 8%…

Q: A person wishes to get 400$ at the end of third year and 600$ at the end of fifth year, if rate of…

A: Given:End of year 3=F1=$400End of year 5=F2=$600Interest=12%To compute:Amount deposit today=P

Q: Alfredo wants to know how much he must put in a bank account today to have within 14 years an amount…

A: Here, To Find: Conversion rate to the current dollar and the present value of an investment with…

Q: You wish to have $20,000 in an account 8 years from now. How much moneymust be deposited in the…

A: Computation:

Q: 17. You deposit $8,000 in a bank account today. You make another deposit of $14,000 into the account…

A: Bank deposit today = $8,000 Deposit on first year = $14,000 Deposit on second year = $10,000…

Q: If you are expecting to get OMR 10240 at the end of 3 years. Calculate its present value if the…

A: Present value is the sum of money that must be invested in order to achieve a specific future goal.…

Q: It is now January 1, 2x16, and you will need P100,000 on January 1, 2x20. Your bank compounds…

A: In this question, we are required to find the accumulated value of funds deposited todayz which is…

Q: Jenny  is  planning  to  deposit  ₱17,000.00 Quezon  Metropolitan  Bank  is  offering 7.5%…

A: Compound interest is also called as interest on the amount of interest. In other words this is the…

Q: Suppose you receive $190 at the end of each year for the next three years. a. If the interest rate…

A: Present Value of annuity refers to the current value of all the series of payments or income at…

Q: It is now January 1, 20x8. Today you will deposit P100,000 into a savings account that pays 8%. a.…

A: As the compounding periods increase the interest amount increases thereby increasing the amount…

Q: You have $20,000 that you put on deposit on your 30th birthday at 5% compounded annually. On your…

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

Q: You deposit $1,000 in a bank account at the beginning of Year 1. How much will be in the account…

A: Solution-1   Deposit at the beginning of year 1 $1,000 Furture value of $1 at 4% for 12 period…

Q: You put $190 in the bank for 5 years at 15%. A. If interest is added at the end of the year, how…

A: Lets understand the basics. Future value is value of any amount in the future. It is used to know…

Q: 3 A bank account pays 5 % annual interest compounded semiannually. How much money should be…

A: Following is the answer to the question

Q: If you deposit $100 monthly into a bank account that earns 4% interest per year compounded annually,…

A: Time Value of Money :— This concept says that value of money in present day is more than the value…

Q: 1. Simple Interest versus Compound Interest. First City Bank pays 8 percent simple interest on its…

A: Interest is an additional amount which is earn by investor by investing his money. Interest is…

Q: Find the equivalent present worth of the cash receipts in the accompanyingdiagram, where i = 8%…

A: given r=8% year cashflow 1 -1000.00 2 600.00 3 600.00 4 600.00 5 800.00