Acouplewouldliketohave$150,000attheendof7 1/2 years. They can invest $25,000 now and make additional contributions at the end of each month over the 7 1/2 years. If the investment earns 7.2% compounded monthly, what size payments will enable them to reach their goal? Round your answer to the nearest cent.

Q: A year-end bonus of $20,000 will generate how much money at the beginning of each month for the next…

A: Bonus amount (PV) = $20,000 Interest rate (r) = 6.21% Number of compounding per year (m) = 12 Number…

Q: how much money would you need to put aside at the beginningmof each month for the next 30 years in…

A: Calculate the monthly payment as follows:MS-Excel --> Formulas --> Financials --> PMT

Q: If you invest $20,000 at an annual rate of 1% compounded continuously, calculate the final amount…

A: The question is based on the concept of Financial Management.

Q: A loan of $50,000 is due 10 years from today. The borrower wants to make monthly payments at the end…

A: The payments made constantly without any uneven time gap are called annuity where nominal amount for…

Q: If you invest $5,000 three years from now, how much will be in h 15 f if 10% d d ll ? the account 15…

A: Future value: This is the amount of present value accumulated or compounded at a rate of interest…

Q: Putting exactly an equal amount of money into ANZ Investment Fund at the end of each month for 15…

A: The future value of an annuity due is the future worth of a series of cash flows received at the…

Q: Using Table 1-1 onpage 19, calculate the following:(a) The future value of lump-sum investment of…

A: Calculation of Future Value and Present Value:Excel Spreadsheet:

Q: year-end bonus of $25,000 will generate how much money at the beginning of each month for the next…

A: Year End Bonus=$25000 interest rate =6.06 monthly interest =6.06/12=0.505 monthly interest =0.505%0…

Q: A person wants to have $2,000 available to spend on an overseas trip four years from now. If such…

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

Q: What amount must be set aside now to generate payments of $30,000 at the beginning of each year for…

A: Annual payment (P) = $30,000 Interest rate (r) = 5.52% Period (n) = 10 Years

Q: How much more will you have in your RRSP 30 years from now if you start to contribute $1000 per year…

A: The payments made constantly without any uneven time gap are called annuity where nominal amount for…

Q: What amount must be set aside now to generate payments of $40,000 at the beginning of each year for…

A: The formula to calculate present worth is given below: Here, i is interest rate. n is number of…

Q: Mr. Santos will deposit P10, 000 at the ABC bank at the end of each quarter for 2 years. If the bank…

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

Q: A new engineer wants to save up P1,000,000. He will contribute P5,000 annually to an investment…

A: Introduction:- The devotion of an asset to achieve a gain in value through time is referred to as an…

Q: In order to receive P12,000 at the end of three years and P10,000 at the end of five years, how much…

A: In the given given case it is assumed that compound interest mathod is used. Under compound interest…

Q: You have 30 years left until retirement and want to retire with $2 million. Your salary is paid…

A: Future value (FV) is the value of a cash flow at a certain time in the future based on an assumed…

Q: Varian wants to have $500,000 in an investment account six years from now. The account will pay 6.96…

A: The periodic payments are made at regular intervals and are known as annuities. The payment interval…

Q: How much would a business have to invest in a high-growth fund to receive $22,000 every month for 5…

A: Solution:- When an equal amount is receivable each period, it is called annuity. So, present value…

Q: A certain amount of money after a decade is said to be worth Php 11,000.00. Ifthe interest rate…

A: There are two distinct questions in this post. The first has been answered below.

Q: roy gross is considering an investment that pays 7.6%, compounded annually. How muchwill he have to…

A: We need to use the concept of time value of money to solve the question. According to the concept of…

Q: Your client currently has $7,600 in a 401K investment account. They contribute $200 a month into…

A: Current Value in Account = 7600 Monthly Contribution = 200 Monthly Compounding, Annual Return = 5.3%…

Q: A company wants to have $50,000 at the beginning of each 6-month period for the next 4 1/2 years. If…

A: Annuity is the regular payment to be made for specific number of years. There are two types of…

Q: How much must be deposited

A: An Annuity is a series of payments of fixed amounts and at fixed intervals. These can be of two…

Q: You are contributing money to an investment account so that you can purchase a house in six (6)…

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

Q: You need $32,000 at the end of 10 years. If you can earn 0.625% per month, how much would you need…

A: Present value is the current value of future cash flows at a given discount rate. It is given as: PV…

Q: A business sets up a sinking fund so they will have a $46,000.00 to pay for a replacement piece of…

A: A Sinking fund refers to a fund that is kept aside or borrowed for the purpose of paying off a debt…

Q: How much would a business have to invest in a high-growth fund to receive $14,000 every month for 6…

A: Investments are the ways by which individuals and corporations park or save their money and funds in…

Q: Aunt Tillie has deposited $33,000 today in an account which will earn 10 percent annually. She plans…

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

Q: A year-end bonus of $26,000 will generate how much money at the beginning of each month for the next…

A: Bonus amount (PV) = $26000 Interest rate = 6.36% Monthly interest rate (r) = 6.36%/12 = 0.53% Number…

Q: Suppose you'd like to save enough money to pay cash for your next car. The goal is to save an extra…

A: The quarterly amount will be found using excel’s pmt function. It is the minimum amount that must be…

Q: Sanka Blunck wants to receive $8,000 each year for 20 years. How much must Sanka invest today at 4%…

A: A study that proves that the future worth of the money is lower than its current value due to…

Q: You are saving up for a down payment on a house. You will deposit P600 a month for the next 24…

A: Future value means the value at some future point of time. The future value can be calculated of an…

Q: invest

A: Formula to calculate PV or amount to be invested now is: PV = FV/(1+r)^n Where PV is the present…

Q: An investment promises to pay $7,000 at the end of each year for the next six years and $3,000 at…

A: In the given case, an investment will pay $7,000 at the end of each year for the next six years and…

Q: A company has had record profits and decided to use some of the profits to pay for manufacturing…

A: Annuity is the series of payment made by an investor at fixed interval for specified period of time.…

Q: You want to have $350,000 saved up by the time you retire in 30 years, How much would you need to…

A: Future Amount need to be saved = $350,000 Time period = 30 years Annual interest rate = 6.5%

Q: You invest $17,000 at 18% interest, compounded monthly, for 2 years. Use the compound interest…

A: Higher the frequency of compounding, higher would be the interest income

Q: You want to start saving for retirement. If you deposit Php2000 each year at the end of the next 60…

A: Future value = Annuity * FVAF ( rate, years )

Q: You expect that you will need to replace your furnace in 4 years at a cost of $16,716. How much must…

A: Given months = 30 cost = 16716 APR = 2.91%

Q: 2. You want to make a contribution of $160 at the beginning of every quarter to an investment. Over…

A: In finance, the term annuity depicts a sequence of cash flows of a fixed amount at equal time…

Q: How much will you have after 15 years?

A: Future value of annuity is the total worth of periodic payments made on regular intervals at a…

Q: Wildhorse Co. is considering investing in an annuity contract that will return $28,140 annually at…

A: Present value: This is the amount of future value reduced or discounted at a rate of interest till…