Bill Jones plans to deposit $2100 at the end of every 6 months for the next 20 years into an annuity that pays 6%. What will be the value of Bill's annuity at maturity?

Q: At the age of 24, you start depositing $200 each month into an IRA that pays 3.75% interest,…

A: In the question, amount is deposited every month so it is the question of annuity. Annuity is the…

Q: A son will receive 3,000 pesos at the beginning of each 3 months for 4 years. What is the present…

A: Present value of annuity due is the present value of the all periodic streams of cash flow that…

Q: Janice and Terry Van Dyke have decided to establish a quarterly ordinary annuity of $8,000 for the…

A: Ordinary annuity refers to the periodic series of payments that an investor makes into an investment…

Q: Henry Jones is planning to retire in 15 years. He wishes to deposit an equal amount (A) every 6…

A: Time period = 15 years  Time duration semi-annual compounding Interest rate = 14% Semi-annual…

Q: A relative wills you an annuity paying $1000 per quarter for the next 4 years. If money is worth 12%…

A: An annuity is a financial arrangement that involves a series of fixed payments at equal time…

Q: You currently have $250,000 in your retirement account. What equal annual amount must you deposit…

A: Equal annual deposits into an account for a fixed number of times is called annuity. The future…

Q: An insurance annuity offers to pay you $1,000 per quarter for 20 years starting immediately. If you…

A: Excel Spreadsheet:

Q: You want to purchase an annuity on your 30th birthday to provide you with $15,000 semiannual annuity…

A: present value of annuity we need to calculate  pv = 15000[1/0.05 - 1/0.05(1+0.05)40]       =…

Q: The Solvent Insurance Co. will pay you $4,750 a year for 15 years in exchange for $45,000 today.…

A: in this you have to find out present value FACTOR and from that you can get interest rate.

Q: If you want to be paid from a 14 year ordinary annuity with a guaranteed rate of 2.208% compounded…

A: In finance, the term annuity represents a sequence of cash flows that contain a fixed payment at…

Q: You deposit $13,000 annually into a life insurance fund for the next 10 years, after which time you…

A: The future value is the value of the amount in future that has to be paid or received at future.

Q: Roger Baker has accumulated $775,000 in his RRSP and is going to purchase a 20-year annuity from…

A: An Annuity is simply a fixed amount which will be received by Roger Baker at every month-end Present…

Q: Jami Minard wants to receive an annuity of $8,000 at the beginning of each year for the next 10…

A: Annuity refers to a contract between an individual and an insurance company under which a desired…

Q: Professor’s Annuity Corp. offers a lifetime annuity to retiring professors. For a payment of…

A: Difference between the annual rate and effective annual rate are compounding.…

Q: Jean-Rene wants to make a lump-sum deposit today such that at the end of every three months for the…

A: Given Information: Interest rate = 8.75% compounded semi-annually Lump-sum payment = $10,000 Payment…

Q: Jami Minard wants to receive an annuity of $5,000 at the beginning of each year for the next 10…

A: Periodic Payment = $5,000 Time Period = 10 years Interest rate = 7%

Q: Your uncle is about to retire, and he wants to buy an annuity that will provide him with $7,000 of…

A: Annual income (C) = $ 7000 Number of annual payments (n) = 21 Annual interest rate (r) = 5.25%

Q: open an annuity with $5,200.00 and makes monthly payments of $270.00 paid at the end of each month…

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

Q: Kyla wants to have an annuity payment of $400, at the end of each 6 months. Use the appropriate…

A: Amount of Annuity payment(PMT) is $400 Time period 14 years or 14*2 = 28 semi- annual periods…

Q: If you want to be paid from a 15 year ordinary annuity with a guaranteed rate of 4.277% compounded…

A: Annual payment (C) = $10,000 Period (n) = 15 Years rate (r) = 0.04277 (i.e. 4.277%) Present value or…

Q: If you set aside $5,000 per year (i.e., one deposit of $5,000 each year) in a Roth IRA for the next…

A: As per the facts, first contribution is done after one year so it is a case of Ordinary Annuity.…

Q: Sam deposits $800 at the end of every 6 months in an account that pays 7%, compounded semiannually.…

A: Ordinary annuity is the annuity that is paid at the end of the each period whereas the annuity due…

Q: Connie wants to have an annuity payment of $2,250 at the END of every three months. How much should…

A: Present value of annuities will give what is cash amount to be paid today.

Q: n the following ordinary annuity, the interest is compounded with each payment, and the payment is…

A: Annuity refers to the series of payments at regular intervals over a period of time. Future value of…

Q: To buy a house, John takes out a fixed-rate amortizing mortgage of $270,000 for 20 years, with an…

A: Loan amount (PV) = $ 270,000 Annual interest rate = 9% Monthly interest rate (R) = 9%/12 = 0.75%…

Q: You deposit $5000 each year into your retirement account, starting in one year. If these funds earn…

A: Annual deposit = $ 5000 Annual interest rate = 5% Number of annual deposits = 27

Q: Shelby purchases a retirement annuity that will pay her $3,000 at the end of every six months for…

A: Present value of the money would be price that maximum price that can be paid for that kind of…

Q: Derek will deposit $7,502.00 per year for 23.00 years into an account that earns 8.00%, The first…

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

Q: Bill Jones plans to deposit $2100 at the end of every 6 months for the next 20 years into an ammuity…

A: Semi-annual payments (C) is $2,100. Number of payments (n) is 40 (20×2). Semi annual Rate of return…

Q: You plan to deposit $250 each month into an IRA earning 0.25% interest monthly. How much will you…

A: Answer:   Following information are given:   Monthly deposit = $250 Time = 10 years No of periods =…

Q: Mr. Romeo wants to deposit a sum of money today that will give an ordinary annuity paying 12,000…

A: The value of annuity can be computed as sum of present value of all withdrawals

Q: Ann saves 4,800 as a term deposit today. The interest is paid semi-annually. If her saving grows to…

A: APR is the annual percentage interest rate which is being earned on particular amount of investment.…

Q: You plan to make a series of deposits in an individual retirement account. You will deposit $1,000…

A: According to the time value of money concept, money available today has interest earnings ability.…

Q: Determine the annual payment required to fund a future annual annuity of $12,000 per year. You will…

A: Present value =cash flow×1-(1+r)-nr r = rate n = number of periods

Q: You are going to receive a payment of $80 at the end of each year for the next 12 years. If you…

A: Given details are : Periodic payment = $80 Time period = 12 years Future value = $1930.65 From above…

Q: Sally has decided to invest $70 at the end of each mouth into a retirement plan that has an annual…

A: Computation:

Q: Mr. Michael’s monthly insurance premium is ₱ 500.00, payable at the end of each month. His policy…

A: The worth of a present asset at some point in the future depending on a projected growth rate is…

Q: annuity.he plans to deposit $500 into this account each month at 2.4 % annual interest compounded…

A: in this problem we have to find out future value FACTOR and from that we get future value.

Q: A retirement account has $260,000.00 that will be used to start an annuity that earns 4.1%,…

A: Please see the next step for the solution

Q: Donald Johnson has just given an insurance company $20,000. In return, he will receive an annuity of…

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

Q: Abby plans to deposit $100 at the end of every quarter for the next 10 years into an annuity that…

A: The computation of the value at maturity as follows:

Q: Connie wants to have an annuity payment of $2000 at the end of every three months. How much should…

A: Present value of an annuity payment refers to the sum amount of money that will be required today in…

Q: Lydia deposits $900 at the end of each year for 9 years in a savings account. The account pays 8%…

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

Q: You plan to invest $2, 000 each year in a retirement account for the next 20 years. Calculate the…

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

Q: Your friend Demetrius has an annuity that pays 4.6% annual interest compounded monthly and at the…

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

Q: Robert wants to have $2,300 at the end of every three months for 8 years. The bank pays 8% interest,…

A: Here, To Find: Present value of annuity due =?

Q: You plan to invest $2,000 in an individual retirement arrangement (IRA) today at a stated interest…

A: Introduction: The accumulation of amount at the end of a particular period can be defined as future…