A local Dunkin’ Donuts franchise must buy a new piece of equipment in 4 years that will cost $81,000. The company is setting up a sinking fund to finance the purchase. What will the quarterly deposit be if the fund earns 16% interest?

Q: A state lotto has a prize that pays $600 each week for 40 years.   Find the total value of the…

A: State lotto is a kind of lottery program that engages people into a game of luck and probability…

Q: To save money for a new house, you want to begin contributing money to a brokerage account.  Your…

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Q: Recent sales of some real estate and record profits make it possible for a manufacturer to set aside…

A: When the annuity withdrawal is at beginning of period, it is knows as annuity due and when annuity…

Q: Fifteen years ago, you deposited $12,500 into an investment fund. Five years ago, you added an…

A: An effective annual rate is the modified interest rate from the nominal rate that represents the…

Q: McCarthy Construction is trying to bring the company-funded portion of its employee retirement fund…

A: Formula for calculating present worth:P=A11-1+g1+ini-gwhere,A1 is initial cashflown=no. of…

Q: A technology company deposited $93,900 into an account for quarterly scholarships to be awarded to…

A: The present value method is used to measure the profitability of a project by adding up discounted…

Q: Victoria Industries (VI) plans to accumulate funds for the purchase of a larger manufacturing…

A: Here, Monthly Contribution is $10,000 Time Period is 7 years Interest Rate is 4.5% Compounding…

Q: A company plans to buy new equipment in 6 years. They will start by saving $3,091 at the end of this…

A: The given answer is correct

Q: A corporation creates a sinking fund in order to have $630,000 to replace some machinery in 8 years.…

A: Monthly Loan Payments: These are periodic payments made by the borrower for taking the loan from…

Q: Jane decides to make 5 end-of-year deposits of $10,000 into a fund starting one year from now. 6)…

A: Calculate the amount at the end of 5 years as below: Resultant Table: Hence, amount at the end of…

Q: You are the finance manager for a particular company. The company plans to purchase $2,000,000 in…

A: Hello. Since your question has multiple sub-parts, we will solve first three sub-parts for you. If…

Q: Fifteen years ago, you deposited $12,500 into an investment fund. Five years ago, you added an…

A: Present value refers to the current valuation for a future sum. Investors determine the present…

Q: Fifteen years ago, you deposited $12,500 into an investment fund. Five years ago, you added an…

A: “Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: interest dues on it. Three years from this withdrawal you start taking Php 20,000 per year out of…

A: Solution:- Calculation of Schedule of Investment fund ( Amount in Php) Year Opening balance…

Q: To benefit the ISU College of Business, Bill Vickers would like to establish a “perpetual”…

A: Future Value (FV)= $210,000 per year Time period (n)= 13 years  Annual return (i)= 4.1 percent…

Q: 6. A company wishes to spend P40,000 for a new office copier and decides to set up a sinking fund to…

A: Money Required (Future Value) = 40,000 Present Value (value at start) = 0 N = 3 years Quarterly…

Q: A business man must fund an account for him to pay the maintenance of the building after it shut…

A:

Q: If ₱17,000 is deposited at the end of each year for 16 years in a bank that give 7% interest per…

A: Future Value: The future value is the amount that will be received at the end of a certain period.…

Q: Grand Opening Bank is offering a​ one-time investment opportunity for its new customers. A customer…

A: The future value is the amount that will be received at the end of a certain period. In simple…

Q: A local retail franchise must buy a new piece of equipment in 6 years that will cost $89,000. The…

A: Payment per period can be calculated using PMT function in excel.   PMT(rate, nper, pv, [fv],…

Q: In five years, ₱1.8M will be needed to pay for a building renovation. In order to generate this sum,…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: You are the finance manager for Olympia Industries. The company plans to purchase $1,000,000 in new…

A: Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first…

Q: Twelve years ago, you deposited $25,500 into an investment fund. Five years ago, you added an…

A: Given information: Deposited an amount of $25,500 for 12 years Additional $15,000 added into…

Q: Clearlake Optical has a $50,000 note that comes due in 6 years. The owners wish to create a sinking…

A: Sinking fund is a fund where individuals set a side certain sum of money on a regular basis for…

Q: You are the finance manager for a particular company. The company plans to purchase $2,000,000 in…

A: Honor Code: “Hi There, thanks for posting the question. But as per Q&A guidelines, we must…

Q: Tuck Hardware Store will have $30,000 payment due in 5 years. How much would they need to invest…

A: Computation:

Q: In an effort to save money for early retirement, an environmental engineer plans to deposit $1200…

A: Given information: Monthly deposit of $1,200 for every 6 months Interest rate of 8% per year Number…

Q: Fifteen years ago, you deposited $12,500 into an investment fund. Five years ago, you added an…

A: Time value of money techniques helps us to find the values of the deposits at different time…

Q: A family wants to have a $130,000 college fund for their children at the end of 17 years. What…

A: Information Provided: Future value amount = $130,000 Interest rate = 7.10% compounded quarterly…

Q: Two years ago, the Fun Center deposited $3,200 in an investment account for the purpose of buying…

A: given,r = 6.85% A-2= $3200 A0= $5000 A1= $3500

Q: A group of employees decided to invest a portion of their 13th-month pay. After 3 months from today,…

A: Here, Withdrawal Amount is P5,000 Time Period  is 12 months Interest Rate (r) is 5% Compounding…

Q: A state lotto has a prize that pays $500 each week for 35 years. Find the total value of the prize:…

A: The concept of the time value of money states that the current worth of money is more than its value…

Q: The owners of a condominium building wish to save enough money to replace the roof on their building…

A: Using excel PMT function

Q: A business must raise $50,000 in 9 years. What should be the size of the owners' quarterly payment…

A: A sinking fund is a fund that contains money or funds set aside for paying obligations or debt or…

Q: A group of college students decided to invest the money they earned from the fund-raising project.…

A: Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only one…

Q: A real estate development company is planning to build five homes, each costing $195,000, in 2…

A: We need to determine the cost of 5 homes then use the periodic interest rate, number of periods to…

Q: A corporation decides to deposit fixed payment per account earning 9% interest per year in order to…

A: Amount required after 9 years 235000   Period in years 9   No of period (Quarterly) 36   Rate…

Q: A state lotto has a prize that pays $1,700 each week for 25 years. Find the total value of the…

A: It is based on the time value o money. The Amount to be invested today which will fetch desired…

Q: A corporation creates a sinking fund in order to have $790,000 to replace some machinery in 11…

A: A fund that is created to repay a debt or replacement of an asset by putting an equal sum of amount…

Q: How much (in $) should the company invest now to have sufficient funds to build the homes in the…

A: Present Worth: It is the present value of the sum of the amount discounted at a specific rate of…

Q: A real estate development company is planning to build five homes, each costing $155,000, in 2…

A: N = Time Period = 5 semi annual periods Future Value Required = Cost of each home * Number of homes…

Q: A business must raise $70,000 in 8 years. What should be the size of the owners' quarterly payment…

A: In this, we have to calculate future value FACTOR and from that, we can get sinking fund payment. A…

Q: A state lotto has a prize that pays $1,100 each week for 20 years. Find the total value of the…

A: Years 20 Weeks in a year 52 Total weeks 1040 Weekly prize  $         1,100.00     Total…

Q: Nala Inc. purchased a plot of land on which a $60,000 payment will be due each year for the next…

A: Given that, Cash outflow each year = $60,000  Number of years = 5 years Total cash outflow = $60,000…

Q: In 4 years, Jennifer Videtto will need to purchase a delivery van for her plumbing company. She…

A: Present value refers to the current value of future stream of cash flows at a given specified rate…

Q: A small company wishes to set up a fund that can be used for technology purchases over the next 6…

A: A company wants to purchases technology over 6 years. For this, the amount which is required to…