- A new employee puts 4% of his salary of $65,000 into a retirement account, and his employer matches this, also putting 3% into the account. The is invested in a diversified stock fund. His salam increases 2.5% per year. is invested in a diversified stock fund. His salary money (a) What is the value of the account after 10 years? (b) What is the value of the employer's matching funds? (c) How much will be in the account after 40 years?

Q: 4-52 1. (4-53) Assume a 10% interest rate and find S, T, and x. (Answer: S = $218.90; T = $54.30; x…

A: i=10%

Q: a.) 2 3 7 10 A A b.) 7 8 9 2 3 10 +

A: An annuity is an agreement between you and a financial institution in which you pay a lump sum…

Q: 4-34 Jerry bought a house for $400,000 and made an $80,000 down payment. He obtained a 30-year loan…

A: The answer is as :-

Q: Liam O'Kelly is 20 years old and is thinking about buying a term life insurance policy with his wife…

A:

Q: Need the Value of Y when the C = 550 + 0.5Y and the Invesment is = 3200

A: Basically in the given question consumption is given as =  550 + 0.5Y  Investment value is = 3200…

Q: Question 13 The amount of P20,000 was deposited in a bank earning an interest of 6.5% per annum.…

A: When some amount of money is deposited today, it will yield some interest in the future. Compound…

Q: Investme deman $40 50 60 Investment AS AD, (7-$60)

A: An inflationary gap, in financial aspects, is the sum by which the real total national output…

Q: 18.(-. the cash flows shown below have a future worth of $0. 国 | = )- If the interest rate is 10%,…

A: Answer; The value in the 5th year is -687.742 or ($-687.742)

Q: Ranjit has applied for a mortgage loan to buy a $ 501000 house. The bank will require a 20% down…

A: A mortgage loan basically refers to type a secured loan that enables you to borrow money by pledging…

Q: Find G? c. 4 2G $10,00 Find G?

A: here we have 2 cashflow by using the information we will calculate the value of G , so the…

Q: - Payday Quik Loan's customers must repay $105.50 one monthtater for each $100 of paycheck advance.…

A: Here, it is given that the present value is $100 and the future value is $105.50 after one month.…

Q: The cash flows have a present value of 0. Compute the value of n, assuming a 10% interest rate.

A: To solve this question, we will use the annuity formula:  FV=A1+rn-1r Here, the FV is the future…

Q: An engineer invests $7350 at the end of every year for a 30-year career. If the engineer wants $1…

A: Given that,   Investment per year = 7,350 Number of years = 30

Q: 1. A Student buys a car for $26,000 with $2000 down payment. He pays the balance in 48 equal monthly…

A: Given, Value of car = $26,000  Down payment = $2,000  Rest of amount = Principal (P) = 26,000 -…

Q: (a) A mining firm makes annual deposits of $500,000 into a reclamation fund for 30 years. If the…

A: Given  Annual deposits A= $500,000 Future amount F=20 million or $20,000,000 n =30 we have to find…

Q: 14. A man made ten annual end-of-year purchases of P1,000 common stock. At the end of 10th year he…

A: The return on investment (ROI) is a rough estimate of the profitability of a certain investment.

Q: Mr. Albert is planning to adopt a charity foundation once he receives his money. He promised to…

A: Introduction Total amount for the first 6 years is 15,000×6 =90,000 dollar Principal amount for the…

Q: Calculate Savings rate when income is $22000 and the APS is 0.48

A: APS is the average propensity to save. It is the ratio of savings and income.

Q: Calculate the monthly mortgage payment with the following conditions: $515,000 borrowed, 3.15%…

A: According to question the total amount borrowed for the mortgages is $515,000, with the interest…

Q: Three purchase plans are available for a new car. If a customer expects to keep the car for 5 years,…

A: Plan A will have to pay $5,000 cash immediately to own the car. Thus, the cost of a car is $5,000.…

Q: agreed interest rate is 5% annually. Determine the amount that the man paid the ba borrowed last…

A: From and including: 1 January 1990 To, but not incorporating 30 December 1990 Result: 363 days…

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

A: Here, What is asked: principal amount (P) What are given: Interest rate (r)= 9.5% compounded Future…

Q: P-A-(1+0)- [(1+0"-1] F= A [1-(1+)"| P A (1+)- Annuity Due Perpetuity [1-(1+0- [(1+0**1-1 F= A =…

A:

Q: PROBLEMER The table below represents two cash flows, what is the value of X to make the two cash…

A: The measure that depicts the current income stream of cash being discounted at a specified interest…

Q: An engineer purchases a house using only a loan borrowed from a local bank. The loan is offered at…

A: Present Value refers to the present sum of money, in contrast to Fv it will have when it has been…

Q: Your company seeks to take over Good Deal Company. Your company’s offer for a Good Deal is…

A: Here, the time value of money i.e. interest rate (r) = 10% 'n' denotes the number of periods, as…

Q: 6. If the ncminal interest rate is 3%, how much is $5000 worth in 10 years in a continuously…

A: Future value = present value *e(i*t) =5000*2.7183(0.03*10) =5000*2.7183(0.3) =5000*1.3499 =6749.5

Q: 4) You collect rent from your tenant at the beginning of each month. Rent is $1250 in the first…

A: Here initial rent received per month = $1250 So, rent per year = $1250*12 = $15,000 every year rent…

Q: 3) Mr. G deposits $150,000 in a saving account today as a perpetual trust. He believes the account…

A: Equivalent annual value of repair (AR) for perpetual time period can be calculated by using the…

Q: For a 12% interest rate, compute the value of F so the following cash flows have a future worth of…

A: Future worth can be calculated as follows: Future…

Q: Purchase down payment → $15000 -> Pay morthing. Taxes & Paint cost Utilities - 135 Rent down payment…

A: Present value mean that money amount today is much more than that same amount in future. In this…

Q: 3- A company borrows $ 100.000 today at 12% nominal annual interest compounded monthly. Find the…

A: The information given is:- Borrowed amount = $100,000 Nominal annual interest rate = 12%  Tenure = 5…

Q: 13. Darren claims an eatery and needs to decide his normal income over a long- term period. After…

A: Average yearly income is calculated by summing the yearly incomes of all the years and dividing the…

Q: A bonus package pays an employee S500 at the end of the 1* year, $1,000 at the end of 2nd year, and…

A: here we calculate the present worth of the employee by using the given information , so the…

Q: 0 1 2 3 Annual Interest rate- 5.5% a) Calculate the Present worth

A: Annual interest can be expressed as annual percentage  rate . By it, we can find the percentage of…

Q: 0 = -26,000 + 8,000(P/A,i∗,5) + 8,000(P/F,i∗,8) solve for i* it is the interest rate period

A: Interest rate can be calculated by rewriting the equation as follows.

Q: 3-49. Find the uniform annual amount that is equivalent to a gradient series in which the first…

A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…

Q: 2) An annuity has an effective interest rate of j = 2% per period for the first 30 periods, then has…

A: Given  Effective interest rate (i) from the first period to the 30th period = 2% Effective interest…

Q: Claude James, a salesman, needs a new car for business use. He expects to be promoted to a…

A: To get the correct option and the answer, it is necessary to ascertain the worth in each scenario,…

Q: J. Doe is turning 40 years old today and plans to retire in his 65th birthday. He starts making…

A: Withdrawal amount= $25,000 annuallyNo. of withdrawals = 11 i(12)                                 =…

Q: Eunice borrowed P 50.00 five years ago. Airish requires her to pay P 100.00 five years from now. If…

A: The interest rate on a borrowed amount is generally compounding annually as the amount can be…

Q: What amount invested in a savings account that pays 8% interest annually is ?worth $215,892.50 after…

A: Given information, Future value (F): $215,892.50 Interest rate (r): 8% Time period (t): 10 years…

Q: A man secured a P 7,164 loan at 6 % interest rate. Find the annual amortization to extinguish it in…

A: An amortising loan is one in which the principal of the loan is paid down over the course of the…

Q: You want to be able to set up a scholarship fund that will last forever and you feel that you can…

A: In economics, present value refers to the current value of a future stream of cash flow. Future…

Q: 1. She has been offered two choices. The first is a fixed salary of $80,000 per year. The second has…

A: According to the question, it is given that .. The First fixed salary = $80,000 per year [Option -1]…

Q: 34. A 60 month car loan (where no down payment was made) with a 6% interest rate and a monthly…

A: The price of the car is equal to the present value of the monthly payments. The interest rate given…

Q: 4-54. Kris borrows some money during her senior year to buy a new to defer payments for 12 months,…

A: here we calculate how much will Kris' payment be by following method as follow;

Q: An individual makes rental payments of $1,200 per month and wants toknowthe present value of their…

A: Monthly nominal interest rate (i) = 8% / 12 = 0.67% Number of months (N) = 12 So, PV of rentals =…

Q: Calculate the value of APS when savings is $2500 and income is $2800

A: The average propensity to save (APS) is the term used in macroeconomic which describes how much…