T2. Question 3 of 6Current Attempt in Progress(a)Ruth Lewis died, leaving to her husband Edward an insurance policy contract that provides that the beneficiary (Edward) can chooseany one of the following four options. Money is worth 2.5% per quarter, compounded quarterly. Compute Present value if:Click here to view factor tables.Your answer is correct.a. $57,000 immediate cash.Present valueType here to search$P57000!!!(71/5 E***37 CloudyADN 40011:50 PM b. $4,170 every 3 months payable at the end of each quarter for 5 years. (Round foctor values to 5 decimal places, eg. 1.25124 andfinal answer to 0 decimal places, e.g. 458,581.)Present value $eTextbook and MediaSave for Later4Attempts: 0 of 8 usedSubmit Answer

There is some time value of money always. When the money is received after periodic intervals. When…

Current Attempt in Progress Ruth Lewis died, leaving to her husband Edward an insurance policy contract that provides that the beneficiary (Edward) can choose any one of the following four options. Money is worth 2.5% per quarter, compounded quarterly. Compute Present value if: Click here to view factor tables. (a) Your answer is correct. a $57,000 immediate cash. Present value $ 57000

Current Attempt in Progress Ruth Lewis died, leaving to her husband Edward an insurance policy contract that provides that the beneficiary (Edward) can choose any one of the following four options. Money is worth 2.5% per quarter, compounded quarterly. Compute Present value if: Click here to view factor tables. (a) Your answer is correct. a $57,000 immediate cash. Present value $ 57000

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter9: Current Liabilities, Contingencies, And The Time Value Of Money

Section: Chapter Questions

Problem 9.12MCP

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Please correct and stepwise both parts or skip pls. Q1 part 1. Brenda plans to reduce her spending by $80 a month. Calculate the future value of this increase in savings over the next 10 years. (Assume an annual deposit to her savings account, and an annual interest rate of 4 percent.) Note: Use appropriate factor(s) from the tables provided. Round time value factor to 3 decimal places and final answer to 2 decimal places. part 2. Kara Delaney received a $3,000 gift for graduation from a relative. If she deposits the entire amount in an account paying 3 percent, what will be the value of this gift in 15 years?.
Plz answer Both... Mia received a gift of $8,200 at the time of her high school graduation. She invests it in an account that yields 10% compounded semi-annually. What will the value of Mia’s investment be at the end of 5 years? (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Multiple Choice $12,300.00 $9,020.00 $13,356.98 $10,250.00 $11,480.00 Maria invests a sum of money today that will yield $14,000 at the end of 6 years. Assuming she can earn an interest rate of 6% compounded annually, how much must she invest today? (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Multiple Choice $9,870 $13,160 $8,400 $12,328 $11,628
PV of multiple cash flows: Jack Stuart has loaned money to his brother at an interest rate of 5.75 percent. He expects to receive $625, $650, $700, and $800 at the end of the next four years as complete repayment of the loan with interest. How much did he loan out to his brother? (Round to the nearest dollar.) $2,713 $2,250 $2,404 $2,545
(Related to Checkpoint 5.5) (Solving for n) Jack asked Jill to marry him, and she has accepted under one condition: Jack must buy her a new $340,000 Rolls-Royce Phantom. Jack currently has $62,720 that he may invest. He has found a mutual fund with an expected annual return of 4.5 percent in which he will place the money. How long will it take Jack to win Jill's and in marriage? Ignore taxes and inflation. Question content area bottom Part 1 The number of years it will take for Jack to win Jill's hand in marriage (Round to one decimal place.)
(Related to Checkpoint 5.4) (Present value) Sarah Wiggum would like to make a single investment and have $2.0 million at the time of her retirement in 35 years. She has found a mutual fund that will earn 4 percent annually. How much will Sarah have to invest today? If Sarah earned an annual return of 14 percent, how soon could she then retire? a. If Sarah can earn 4 percent annually for the next 35 years, the amount of money she will have to invest today is $nothing. (Round to the nearest cent.)
QUESTION 5 Please use excel Robert has borrowed $339,000 to purchase a house in the current year at 5.5% interest rate, with a commitment to repay the loan (principal and interest) in equal annual instalments over the following 15 years. Calculate the: a) the yearly annuity payment is = $ b) the amount of the principal repayment in year 2 is = $ c) total amount of interest paid = $ d) if the interest rate decreases to 3% the total amount paid over the life of the loan would be = $ Provide your answers to 2 decimal places. Show all your working in your spreadsheet.
solve parts C and D a) Barney Rubble expects to retire in 10 years and would like to accumulate £100,000 in his pension fund. If the annual interest rate is 6% (Annual Percentage Rate), how much should Barney put into his pension fund each month in order to achieve his goal? (Assume that Barney will deposit the same amount each month.) b) As winner of a lottery, you can choose one of the following prizes: (i) £100,000 now (ii) £180,000 at the end of 5 years (iii) £12,000 every year forever If the interest rate is 12%, which prize is the most valuable? c)You decide to pay on your bank account £1,000 every year for the next 10 years, starting today (total of 10 annual payments of £1,000). Five years after the last payment, you decide to withdraw £1,000 every year for 10 years. If the annual interest rate is 5%, how much money do you have left on your bank account right after the last withdrawal? c) You decide to pay on your bank account £1,000 every year for the next…
First Time Value of Money Homework i Help Save & Exit Submit 13 Mary is going to receive a 31-year annuity of $9,600 per year. Nancy is going to receive a perpetuity of $9,600 per year. If the appropriate interest rate is 9 percent, how much more is Nancy's cash flow worth? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. 10 Present value Book Prent Reterences: Present value
NOTE: DONT USE EXCEL 2. Ms. Pan Aram has set the goal of accumulating Php 4,000,000 for her son's college fund, which will be needed 18 years in the future. Her investment agent advises her that she can deposit today to Bank X that earns 8% annual interest. a. Option A: How much she needs to deposit today in the bank? b. Option B: If she will be depositing an equal payment of Php 107,000 per year for 18 years at 8% annual interest, how much is the future value? c. Which is the better option Ms. Pan should decide? Why?