7. For total yearly payments of $5000 for 10 years, compare the compound amount accumulated at the end of 10 years if the payments are (a) end-of-year, (b) weekly, and (c) continuous. The effective (annual) interest is 20 percent and payments are uniform.

Q: If the single payment present worth factor for 10 years is 0.30656. Determine the interest rate…

A: The present factor is the present value of $1 that has to be received/paid in the future.

Q: 5. Assuming making four annual deposits of ($ 1000), and the first payment occurs at the end of the…

A: Annuity can be defined as a series of payments or receipts of equal amounts of money at equal…

Q: What is the present equivalent of a uniform series of quarterly payments of $4,500 each for four…

A: Quarterly Payment = 4500 Time Period = Number of quarterly payments = 16 quarters Quarterly Payment…

Q: Determine the present worth of a series of P10, 000 quarterly payments that extend over a period of…

A: Given: Particulars Amount Amount 10000 Interest rate 10% Years 8

Q: What is the present equivalent of a uniform series of quarterly payments of $4,500 each for four…

A: Annual interest rate = 8% Number of compounding per year = 6 Effective annual rate = (1+0.08/6)6-1…

Q: For 10 years with total payments of $ 10000 per year, calculate the total amount accumulated at the…

A: we will only answer the first three subparts . for the remaining subparts kindly resubmit the…

Q: 1. What is the accumulated value of the Php 25 payment be made at the beginning of each of the next…

A: The same amount is being paid annually over three years; this is an annuity. To find the future…

Q: If 2400 dollars is invested in an account for 10 years. Find the value of the investment at the end…

A: Amount invested is $2400 Time period is 10 years To Find:  4.2% compounded semiannually 4.2%…

Q: Assuming that four annual deposits of ($1000) are occurred but the first payment deposit at end of…

A: The annual payments are going to occur will be equivalent to the future value of annual payment that…

Q: Determine the interest rate per year, compounded quarterly, which is needed for a principal amount…

A: Given Present value (PV) = OMR 27000 Future value (FV) = OMR 43995.75 Period = 8 years  Interest…

Q: Same as $35,245 to be accumulated in 6 years; quarterly payments of $1300 ..... The interest rate…

A: Given information : Amount to be accumulated  $35,245 Time period (years) 6 Quarterly…

Q: Calculate the total amount accumulated at the end of the 10 years if the payments are at the end of…

A: In order to calculate the accumulated amount after 10 year, we will be using the FV function of…

Q: or total yearly payments of $10000 for 10 years, compare the compound amount accumulated at the end…

A: Given information: Annual payments : $10,000 Time periods : 10 years Nominal Rate of interest : 20%

Q: What is the amount of 10 equal annual deposits that can provide five annual withdrawals, when a…

A: Value of with drawls at end of 10 years  can be calculated by following function in excel…

Q: Determine the interest earned after 10 years if $200 is invested in each of the following accounts:…

A: Future Value = Present Value * (1+r)^n Where, r = rate of interest per period i.e. 5.40%/12 = 0.45%…

Q: Calculate the present worth of 11 uniform payments of $7,200 that begin 1 year from now at an…

A: The present value of the amount represents the current value of the future cash flows. The…

Q: find the present value of a stream of payments that begin in year one at $3000 and increase by 10%…

A: A series of fixed payments that are paid or received at an equal time interval is term as the…

Q: 8. A demand loan of $10000 is repaid by payments of $5000 in one year, $6000 in four years, and a…

A: The effective annual rate is the actual rate of interest after taking compounding into account. It…

Q: 7. An amount of 24,000php is borrowed for 15 years at a rate of 2%. Make an amortization schedule…

A: Using PMT function in excel  PMT (rate,nper,pv,[fv]) Amortization schedule

Q: Suppose that a $200 lump sum amount is invested for 10 years at a nominal interest rate of 5%…

A: Future value can be calculated using FV = PV* (1 + r / n)nt Where, PV = Present value FV = Future…

Q: If money is worth 12% compounded quarterly, determine the single payment at the end of the fourth…

A: The question is based on the annuity valuation. The outstanding value of every loan equals the…

Q: What is the equal-payment series for 10 years that is equivalent to a payment series starting with…

A: Given information: Initial amount is $10,000 Decreases by $1,000 over 10 years Interest rate is 7%

Q: What single amount at the end of the fifth year is equivalent to a uniform annual series of $3,000…

A: Therefore, the future value at the end of 5th year is $27,624.66.

Q: What is the present value of $250 annual payments received at the end of each of the next five…

A: Discounting is a technique to compute the present value (PV) of a future amount by using the…

Q: What is the present worth of the followingseries of payments?(a) $5,000 at the end of each six-month…

A: Periodic Payment = 5000 Semi Annual Compounding, Hence: Time Period = 12 years * 2 = 24 semi annual…

Q: At an effective annual interest rate i, the present value of S10 per year, payable at the beginning…

A: In finance, the time value of money rule states that the sum of money today has more purchasing…

Q: A one-time investment is made in the amount of $9,200 for 15 years at an APR of 6%. Compound…

A: given, principal = $9200 rate = 6%

Q: Do in excel What uniform annual amount should be deposited each year in order to accumulate…

A: solution future value $2,143.60 Number of period 8 present value  0 annual interest rate…

Q: A nominal interest of 3% compounded continuously is given on the account. What is the accumulated…

A: In Continuous compounding, compounding is done an infinite number of times.

Q: Find the present value of the following annuities: 100 starting at time 8 and increasing by 100…

A: Present value of a future amount With future value (FV), periodic interest rate (r) and period (n),…

Q: What is the value today of $500 received at the beginning of each period of six months for 12 years…

A: The following formula will be used to calculate today value as follow:

Q: 2. This graph shows interest earned by an annuity that pays $17 000 at the end of each year for time…

A: Present value of annuity Annuity is a series of equal periodic payments at equal interval over a…

Q: For 10 years with total payments of $ 10000 per year, calculate the total amount accumulated after…

A: Calculation of the total amount accumulated after 10 years:   Calculation with formulae:

Q: Suppose that $30,000 is invested at 9% interest. Find the amount of money in the account after 7…

A: Future value of money is amount being deposited and amount of compounded interest accumulated over…

Q: What is the equal payment series for 12 yearsthat is equivalent to a payment series of $25,000 atthe…

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

Q: For total yearly payments of $10000 for 10 years, compare the compound amount accumulated at the end…

A: An ordinary annuity is a series of equal payments made over a period of time.  It has been…

Q: If 5,000 shall accumulate for 10 years at 8% compounded quarterly, then what is the compound…

A: Given: Present value = 5000 Number of years = 10 The interest rate is: i'=in4=i44=0.084=0.02

Q: What quarterly compounded nominal interest rate is earned on payments of $215 paid at the beginning…

A: An annuity is a payment plan where a fixed recurring amount is paid in return for a lump sum amount.…

Q: What is the future worth of the following seriesof payments?(a) $75,000 at the end of each six-month…

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

Q: what is the present value of a stream of payments that begin in year one at $5000 and increase by…

A: Information Provided: Interest rate = 8% Year 1 payment = $5000 Increment in payment = $500

Q: Determine P & F for the diagram below: Immi For the first seven years, interest is 12% per year…

A: Here, Annual deposits for the first 7 years = 500 Interest rate = 12% compounded monthly Annual…

Q: Find the present value of the following annuities 800 starting at time 1, decreasing by 50 annually…

A: Annuity is a series of regular payments being made for a specified period. When the payments are at…

Q: Determine how much is in each account on the basis of the indicated compounding after the specified…

A: As per the guidelines we are allowed to solve the first three parts only The account value can be…

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.