A woman deposits $12,000 at the end of each year for 15 years in an investment account with a guaranteed interest rate of 7% compounded annually. (a) Find the value in the account at the end of the 15 years. (b) Her sister works for an investment firm that pays 6% compounded annually. If the woman deposits money with this firm instead of the one in part (a), how much will she have in her account at the end of 15 years? (c) How much would she lose or gain over 15 years by investing in her sister's firm? (a) The woman's deposits form an annuity due because the deposits are made at the end of each period. Therefore, the formula (1 + i)n – 1 FV = PMT should be used.

Q: Adam wishes to have ​$16,000 available in 22 years to purchase a new car for his son as a gift for…

A:

Q: e future value of an ordinary annuity of $100 paid at the end of each quarter for 2 years, if…

A: FV=C(1+r)n-1r×(1+r)C=$100  r= 6% = 0.06  n=2 years  compounded quarterly r=0.064  n=2×4=8

Q: /2. Jimmy invests $4,000 in an account that pays 2% annual interest, compounded semi-annually. What…

A: 2. The principal amount, P = $4000 Rate of interest, r=2%=0.02 The number of times the interest…

Q: 3. A monthly deposit of P2,000.00 was made at 12% compounded semi annually. How many years will the…

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

Q: What is the present value of an annuity that pays $X per month for 10 years, where X is 2028 if…

A:

Q: A graduate gets a good job and decides to save $200 per month into a 401K fund on payday, the last…

A:

Q: race invested $5,200 in an account paying an interest rate of 4.6% compounded daily. Assuming no…

A: Recall: Formula,  Future value, FV=P1+rnnt We have, P=$5,200, r=4.6%=0.046, n=365(since, compounded…

Q: An investor needs $21,000 in 12 years. (a) What amount should be deposited in a fund at the end of…

A: Here, FV=21,000rate=6%=0.06time=12 Quarterly rate is to be calculated. So, n=4.

Q: c. Suppose that you had the opportunity of investing $5000 in a business such that the value of the…

A: The amount in a saving account: The total amount will be A. Principle amount, p = $5000 Annual rate…

Q: Jane Adele deposits $400 in an account at the beginning of each 3-month period for 10 years. If the…

A: Given that, Jane deposits $400 in an account at the beginning of each 3-month period for 10 years.…

Q: A man borrowed 200,000.00 from a bank at 12% compounded monthly, which is payable monthly for 10…

A: A man borrowed 200,000.00 from a bank at 12% compounded monthly, which is payable monthly for 10…

Q: What sum of money will be required to discharge a loan of P7,800 on April 1, 2022, if the loan was…

A: We will find out the required value.

Q: Cara needs​ $9,000 in11 years. What amount can she deposit at the end of each quarter at 6​%…

A:

Q: a wants to have $200,000 to buy a smaller retirement home in 20 years. If they can earn 4.5%…

A: To calculate the amount that Mika should deposit in his account now to have $200,000 in 20 years.…

Q: At the time of her​ grandson's birth, a grandmother deposits $6000 in an account that pays 2%…

A: Since you have posted multiple questions and we can answer one question. So, answered the first…

Q: A landlord needs to update a rental house due to it's age, so it can be habitable again. If he has…

A: Given: Monthly payment PMT = $1,400.00 Rate of interest = r = 3% = 0.03 Number of years = t = 2…

Q: Five years ago, a trust fund amounting to P500,000.00 was invested at 15% compounded semi-annually.…

A: as per our company guideline we are supposed to answer only one qs kindly post remaining qs in next…

Q: If an apartment complex will need painting in 2 1 2 years and the job will cost $135,000, what…

A:

Q: The bank is offering a special rate of 4.5% to anyone willing to invest $10,000 for 5 years,…

A: Here, principal (P)=$10,000               Time (t)=5 years rate of interest (r)=4.5%=4.5100=0.045…

Q: Linda has joined a "Christmas Fund Club" at her bank. At the end of every month, December through…

A: Solution :-

Q: A company needs $7,300,000 in 15 years in order to expand their factory. How much should the company…

A: Given: Required amount A=7,300,000 Number of years, t=15 Rate of interest, r=4.1% Number of times…

Q: For a certain multi-state lottery the prize was $21,600,000 that was paid out over 30 years with…

A:

Q: A company needs $6,500,000 in 7 years in order to expand their factory. How much should the company…

A: We will find out the required weekly payment.

Q: A mother is investing $500,000 in a trust fund from which her three children are to receive equal…

A: To find the original amount each child receive

Q: man is disabled in an accident and wants to receive an insurance payment that will provide him with…

A: Given query is to find the total amount after 10 years with $1800 month,6% compounded monthly.

Q: Parents wish to have $150,000 available for a​ child's education. If the child is now 3 years​ old,…

A:

Q: A father opened a savings account for his daughter on the day she was born, depositing $1,000. Each…

A:

Q: Levi is planning to invest 100,000 php. Bank A is offering 5% compounded semi - annually while Bank…

A:

Q: (A) What is the present value of an annuity that pays $X per month for 10 years, where X is 2082 if…

A: Here we use geometric series formula.

Q: Harry is 30 years old and plans to retire at age 70 years with $1,200,000 in his retirement account.…

A: We have given A=$1,200,000  ,r=2.75% t=70-30=40 years compounded quartly (n)=4we know the formula…

Q: A person wishes to have $15,000 cash for a new car 5 years from now. How much should be placed in an…

A:

Q: A couple believes they can afford a monthly house payment of $1,700 and would like a 30-year…

A:

Q: A company needs $8,000,000 in 5 years in order to expand their factory. How much should the company…

A: Given amount=$8000000  t=5 years  Rate=6.6%=6.6/100=0.066 Compound weekly means n=52 (weeks) in a…

Q: A company needs $4,600,000 in 11 years in order to expand their factory. How much should the company…

A:

Q: In how many years will the amount of 10000 triple if invested at an interest rate of 10% compounded…

A: We will find out the required time.

Q: How much money should a company deposit into an account now so that they will have $50,000 in six…

A: here we use the equation of compound interest  amount = P(1 + r/100)n here interest is quarterly so…

Q: Ahmed invested $1,542 in a savings account, and three and a half years later his investment amounted…

A: This question is related to compound interest, We will solve it using given information.

Q: A yearly payment of ₱50,000 is due at the start of each year for 10 years for an insurance worth…

A: Let the yearly rate of interest be r% per annum. It is given that a yearly payment of ₱50000 is made…

Q: A man living abroad for 2 years wants to buy an ordinary annuity that will provide monthly payments…

A: The parents will receive  $750 each monthover the 2 years his parents receive the money…

Q: At the time of her​ grandson's birth, a grandmother deposits $1000 in an account that pays 5%…

A: The deposit is $1000, compounded monthly is 5%. The value of the account at the​ child's…

Q: amount of $40,000 is borrowed for 8 years at 5% interest, compounded annually. If the loan is paid…

A:

Q: Suppose a state lottery prize is worth 7 million is to be paid in 10 payments of $700,000 each at…

A:

Q: An individual's salary is now $50,000 per year and he anticipates retiring in 30 more years. If his…

A:

Q: To prepare for an upcoming equipment purchase, the finance team at Canada Wire Corp. has invested…

A:

Q: An insurance policy offers you the option of being paid $750 per month for 20 years or a lump sum of…

A:

Q: ou have set up a life annuity with a present value of $250,000. If your life expectancy at…

A:

Q: What is the present value of an annuity that pays $X per month for 10 years, where X is 2133 if…

A:

Q: A UK lottery prize pays £10000 at the end of the first year, £11000 at the end of the second year,…

A: Consider the provided question, First we need to find present value of such lottery discounted with…