3.Suppose that a $100 lump sum amount is invested for 10 years at a nominal interest rate of 6% compounded quarterly. How much is it worth at the end of tenth year?
Q: 2.5. What equal-payment series is required to repay the following present amounts? a. $10,000 in 4…
A: Disclaimer :- as you posted multipart questions we are supposed to solve the first 3 questions only…
Q: 1 You deposit $17,000 in a retirement account on your 25th birthday, and you plan to retire on your…
A: Here we calculate the following by using the given information , and conclude the answer so the…
Q: 3. How much money must be invested in a retirement plan each month to accumulate $500,000 in 20…
A: Answer: Given, Future value FV=$500,000n=20 yearsn1=20×12=240 monthsr=6%r1 interest rate compounded…
Q: What is the future value of $3,000 saved for 6 years at 4% interest
A: FV = PV ( 1 + r )^t FV = Future value PV = present value i = interest rate compounded annually t =…
Q: Suppose that a $100 lump-sum amount is invested for 10 years at a nominal interest rate of 6%…
A: Interest is the cost of capital. While borrowing money, borrowers have to pay an ‘interest’,…
Q: 3. A father wishes to provide his daughter the amount of P1M twelve years from now. How much should…
A: The value of deposit (X) from the second year can be calculated by using the following formula.
Q: 5. Find the present worth of a future payment of 100,000 to be made in 10 years with an interest of…
A: For the first 4 years interest at 12% , 12/4=3 then 3/2=1.5 To find the nominal interest rate…
Q: 7. How much is invested at the beginning of each year to accumulate a fund of P20,000.00 at 4%…
A: We are going to use Future worth to answer this question.
Q: a. What is the effective annual interest rate if the nominal annual interest rate is 10%, compounded…
A: a.The effective Annual interest Rate can be calculated with the help of the nominal annual interest…
Q: 1. Aurora wants to give her daughter Mara a financial gift on the latter's college graduation two…
A: P = F(1+rn)ntwhere P is present worthF is future worth n is compounded duration time t is time…
Q: 6. By the conditions of a willI, the sum of P25,000 is left to a girl to be held in trust by her…
A: Present value of fund = P25000 Future value of fund = P45000 Interest rate = 8%
Q: 2. How many years are required for your money to triple if it is invested at 9% compounded? a.…
A: Formula for compound interest F=P1+innt Where F is the future amount after time t, n is the…
Q: Problem 1: Tess wanted to have P100,000 on her bank account at the end of 8 years. She plans to…
A: The idea of saving a certain amount monthly in order to save a large sum of money for the future is…
Q: 3. A person invests 4,500 in the hopes of receiving a return in eight years. What amount, in pesos,…
A: Disclaimer: Since you have posted multiple questions, I am providing you with the answer to the…
Q: 5. What is the accumulated amount of five-year annuity paying P 10,000 at the end of each year, with…
A: Principal= P10,000 Interest rate= 6.5% Time= 5
Q: John-The-Smart-Investor plans to make uniform deposits every three months into a high yield savings…
A: YTM = 8% = 0.08 Coupon rate = 10% = 0.10 time to maturity of bond, n = 3 years coupon value, C =…
Q: 3. What is the value of an investment of P250,500 after 2 years if it earns 1.5% compounded…
A: Investment value = P250500 Time period = 2 years Interest = 1.5%
Q: 1. How many years will a deposit triple itself at an interest rate of 7% per annum compounded…
A: Hi! Thank you for the question, but as per the guidelines, we answer only one question at one time.…
Q: How much money must initially be deposited in a savings account paying 5% per year, compounded…
A: Answer: Given that: How much money must initially be deposited in a savings account paying 5% per…
Q: What deposit made at the beginning of each month will accumulate to $120,000 at 5% compounded…
A: In the question above, it is given that : Amount = $120,000 Rate of Interest = 5% = 0.05 Time = 10…
Q: 2. What is the future worth of #10,000 invested every month for five years at 8% interest rate…
A:
Q: 7. A nominal interest rate of 12% per annum compounded monthly is equal to what nominal interest…
A: Effective interest rate = (1+rm)m - 1where r is interest rate and m is time period.
Q: 5. For an interest rate of 8% compounded annually, find: How much will be required 5 years hence to…
A: here we calculate the payment value of loan after 5 year by using future value formula which are as…
Q: 7. Calculate the effective annual interest rate of the following: a. 12% compounded annually b. 12%…
A: Dear student, you have asked multiple sub-part questions in a single post.In such a case, as per the…
Q: Please answer completely and clearly. , year יויויויויי in millions whatis the future worth of these…
A: We have given the cash flow in which yearly payment is made but the rate of interest is compounded…
Q: 1. An engineer plans to borrow $25,000 to open his own consulting business. He must repay $500 a…
A: Answer 1:It is given that,Present Value (PV) of loan is $25, 000,Future Value (FV) of loan is $500 *…
Q: What is the balance in an account at the end of 10 years if $25,000 is deposited today and the…
A: Compound interest is computed on both the principal and the interest earned over a period of time.…
Q: 5) You want to have $2 million 40 years from now. How much must you deposit each year (starting at…
A: Each sum is communicated in the worth of the cash at that specific time, alluded to as future…
Q: 1. Accumulate P 3,000 for 9 years at 6 percent interest compounded quarterly. How much is the…
A: "Since you have asked multiple questions, we will solve first question for you .. If you want any…
Q: 2. How much must be deposited at the end of each 3 months at 8% interest compounded quarterly to…
A: Future value = 90000 $ Time = 7 years Interest rate = 8 % compounded quarterly Quarterly rate = 8 %…
Q: 3. If $46,000 is borrowed at 10% for 25 years, what equal end-of-year payments would be required to…
A: Economic equivalency uses a mix of interest rates and the time value of money to evaluate the…
Q: 4. A person want to have 500,000 dollars at the end of 12 years. To obtain that aim, this person…
A:
Q: 1. A man wishes his son to receive P200, 000 ten years from now. What amount should he invest if it…
A: If initial investment be M, then M x (1.10)5 x (1.12)5 = 200,000 M x 1.6105 x 1.7623 = 200,000 M =…
Q: 6. How much money can be withdrawn quarterly for 18 years from a retirement fund which earns 18% per…
A: Given: The present retirement amount is = $190,000 The rate of interest amount is = 18% compounded…
Q: 5. Find the present worth of all the cash disbursements using gradient interest formulas if money is…
A: Present value of year 1 cashflow = amount / (1 + rate %)^1 = 5000 / 1.15 = 4347.83 $ Present value…
Q: 4. Calculate the present value of $8,000 duc in 4 years if interest is compounded annually at 3%.
A: Present value states that an amount of money today is worth more than the same amount in the future.…
Q: How much money would you need to deposit today at 8% interest compounded quarterly to have $15,000…
A: In economics, interest refers to the amount paid in excess of the principal amount by the borrower…
Q: 2. Krystel paid P20,000 as a ten percent down payment for a condominium. She then agreed to pay the…
A: We are going to use Present value of mon ey approach to answer this question.
Q: 2-Given a nominal rate of a 30%, what is the effective annual interest rate if the interest is…
A: The Effective Annual Interest Rate is an important concept that describes the true interest rate…
Q: What interest rate compounded monthly is equivalent to 10% effective rate?
A: Effective rate = 10%
Q: 1.1 If you desire to withdraw the following amount in the schedule below from the savings account…
A: The deposit in year 0 can be calculated by using the following formula.
Q: How much do eight ₱ 69,058 quarterly payments amount at present, if the interest rate is 3…
A: Eight equal payment of 69058 quarterly for 8quarters. This is case of annuity where constant amount…
Q: What is the accumulated value of a $25 payment to be made at the beginning of each of the next three…
A: PMT = 25 n = 3 r = 9%
Q: 8. What is the nominal rate of interest compounded continuously for 10 years if the compound amount…
A: Given: The time period = 10 years The amount of compounded factor is = 1.34986 To Find: The nominal…
Q: What value of A makes the two annual cash flows shown in the following diagram equivalent at 12%…
A: Answer: The two annual cash flows will be equivalent if the present values of both are equal at a…
Q: 1. You want to start to save for a major purchase. You can invest P320 every three months for 3…
A: Que.1 Formula for investment with interest compounded semi-anually is: A=P(1+r/2)2n where A=Final…
Q: 2 Compute the future worth of the cash flows with the different interest rates specified. The cash…
A: The value of a venture or income after a timeframe is known as its future value. The most common way…
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A: Interest, is that the adding of interest to the corpus of a loan or deposit. it is the outcome of…
Q: What is the accumulated amount of a 7-year annuity paying ₱ 1,520 at the end of each year, with…
A: Given: Annuity=1520 Interest rate=2% Number of years=7 To find: Accumulated amount
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- 2. What is the balance in an account at the end of 10 years if $25,000 is deposited today and the account earns 4% interest, compounded annually? quarterly?5. Mr. Jo needs P 4,000,000 immediately to pay for a new home. Having insufficientfund for this, he borrows P 2,000,000 from an insurance company and repay the loanevery six months for 15 years, the first payment being at the end of 8 years from now.If the insurance company charged him 8% compounded semiannually, how much isthe amount of each payment?(6) A loan of $20,000 is to be repaid in uniform monthly payments over 3 years. If the interest in 9% per year compounded monthly, what is the amount of unpaid las principal after 24 monthly payments?
- 2. By the condition of a will, the sum of 25 000 pesos is left to a girl to be held in trust by her guardian until it amounts to 45,000 pesos. When will the girl receive the money if the fund is invested at 8% compounded quarterly? (Sketch the cash-flow diagram).SUBJECT: ENGINEERING ECONOMICS By condition of a will, the sum of P 2,000 is left to a girl to be held in trust fund by her guardian until it amounts to P 50,000. When will the girl received the money if the fund is invested at 8% compounded quarterly? When will the amount be tripled with an interest of 11.56%? A man borrowed P 1,000,000 at interest rate of 12% per annum compounded quarterly. What is the effective rate?17. What is the effective annual interest rate if the nominal interest rate is 6%, compounded monthly?
- 6. Alex invested a certain amount to a business and promised to pay him back with 1.8 times his original investment. They agreed to have it compounded monthly within 9 years. What is the nominal rate of interest r in percent?13. Given that the interest rate is 15%, what is the equivalent uniform annual cash flow of the following streams of cashflows? Year 0 - $100,000 Year 1 - $200.000 Year 2 - $50,000 Year 3 - $75,0006. A man bought an equipment costing P60,000 payable quarterly for 3 years, each installment payable at the beginning of each period. The rate of interest is 24% compounded quarterly, What is the amount of each payment?
- ! Pls answer !bartleby = 3 max questions 1. If the proceeds of P 2000 will be paid w/ P2400 at the end of 10 months, find the discount rate. 2. At certain interest rate compounded quarterly, an amount worth P8000 will be P20000 after 5 yrs. How much would it be at the end of 10 years? 3. For a deposit of $1023 at 7.8 % interest compounded continuously over 4 years, find the interest earned?27. How much do eight ₱ 64,055 quarterly payments amount at present, if the interest rate is 2 compounded quarterly?4. Eleanor makes year-end deposits of 500,000 the first year, 550,000 the second year, 605,000 thethird year, and so on increasing the next year’s deposit by 10% of the deposit in the preceding yearuntil the end of the 10th year. Ronald makes equal year-end deposits of 720,00,000 each year for 10years. A.) Is the gradient of Eleanor’s payments increasing or decreasing?B.) If interest on both funds is 12% compounded annually, who will be able to save more atthe end of 10 years.