determine the quarterly installment that should be deposited into the fund.

Q: An investment banker would like to receive $1,200 at the beginning of every 3 months from her…

A: The concept of the time value of money states that the current worth of money is more than its value…

Q: Tara wishes to accumulate $25,000 in 3 years. Use the appropriate formula to find the sinking fund…

A: Future Value = $25,000 Number of Years = 3 Years Interest Rate = 8% compounded semi-annually

Q: A fund is to created by investing 900 at the end of every month for 9 years. IF money is worth 9%…

A: Monthly investment (C) = 900 Annual interest rate = 9% Monthly interest rate (R) = 9%/12 = 0.75%…

Q: Recent sales of some real estate and record profits make it possible for a manufacturer to set aside…

A: When the annuity withdrawal is at beginning of period, it is knows as annuity due and when annuity…

Q: A small business owner has $57,485.03 set aside in a fund to be used for a project that will take 10…

A: Annuity refers to series of equalized payments that are either made at start or end of specific…

Q: Kirk, Klein & Co. requires $108,000 fifteen years from now to retire a debt. A sinking fund (a) What…

A: Loan: It is the amount due to the lender by the borrower and the borrower pays periodic payments to…

Q: A corporation creates a sinking fund in order to have $950,000 to replace some machinery in 11…

A: A fund that is created to repay a debt or replacement of an asset by putting an equal sum of amount…

Q: McCarthy Construction is trying to bring the company-funded portion of its employee retirement fund…

A: Formula for calculating present worth:P=A11-1+g1+ini-gwhere,A1 is initial cashflown=no. of…

Q: Victoria Industries (VI) plans to accumulate funds for the purchase of a larger manufacturing…

A: Here, Monthly Contribution is $10,000 Time Period is 7 years Interest Rate is 4.5% Compounding…

Q: Recent sales of some real estate and record profits make it possible for a manufacturer to set aside…

A: Given, Present Value of annuity = $1,000,000 r =rate per period i.e. 6.7%/2 =3.35% or 0.0335 n = no.…

Q: A corporation decides to deposit a fixed payment per quarter into an account earning 4% interest per…

A: Amount needed at the end of year 7 121000 Period  7 years No of period (Quarterly) 28 Rate of…

Q: A corporation creates a sinking fund in order to have $630,000 to replace some machinery in 8 years.…

A: Monthly Loan Payments: These are periodic payments made by the borrower for taking the loan from…

Q: A business must raise $90,000 in 6 years. What should be the size of the owners' quarterly payment…

A: We will apply the required formula to calculate the each quarterly payment using 6 years time and…

Q: Northeastern costs approximately $50,000 per year for a four-year program, whether completed in four…

A: Cost of per year for four-year program (pmt) = $50,000Interest rate (rate) = 10%Number of Years…

Q: A corporation creates a sinking fund in order to have $640,000 to replace some machinery in 10…

A: Excel formulas which are used for calculations:-

Q: MarySullivan, capital outlay manager for Waxy Widgets, has been instructed toestablish a contingency…

A: Compound interest is the interest earned on interest. The accumulated interest amount is added…

Q: To benefit the ISU College of Business, Bill Vickers would like to establish a “perpetual”…

A: Future Value (FV)= $210,000 per year Time period (n)= 13 years  Annual return (i)= 4.1 percent…

Q: Mary Sullivan, capital outlay manager for Waxy Widgets, has been instructed to establish a…

A: Present value is a series of discounted value , that  worth of today that is more than generated in…

Q: ). A wealthy businessman wants to start a permanent fund for supporting research directed toward…

A: Withdrawal in perpetuity = 100,000 Withdrawal from year 6 Interest Rate = 8% N = 6 = Number of…

Q: Southern Land Company plans to raise $200,000 over a 2-year period so they can purchase a parcel of…

A: Determine the quarterly payment to the sinking fund using the Excel PMT function with the following…

Q: A contractor would like to invest in a real- estate development project and expecting to get $20,000…

A: Compounding interest rate is the rate applied on the initial amount invested or borrowed and the…

Q: A corporation creates a sinking fund in order to have $440,000 to replace some machinery in 8 years.…

A: Time value of money (TVM) is used to measure the value of money at different point of time in the…

Q: Downtown Medical Center is starting an endowment fund to pay for the expenses of a community…

A: Formula: Present value of payment = Amount *(1-(1+rate)^-years)/rate

Q: A business man must fund an account for him to pay the maintenance of the building after it shut…

A:

Q: Your company wants to create a scholarship program that will cost $17,000 dollars a year. They will…

A: To calculate the investment amount required today we will use the below formula   Investment amount…

Q: Baffin College has an endowment that pays one lucky student $7,500 a year forever, of course, It is…

A: The present value of a perpetuity is the present worth of a cash flow series which is to be received…

Q: Determine how much the semiannual payment should be. (Do not round intermediate calculations. Round…

A: Formula for Calculation of semi annual payment = Future Value / Future Value annuity factor so now,…

Q: Tara wishes to accumulate $27,000 in 3 years. Use the appropriate formula to find the sinking fund…

A: Given information: Future value is $27,000 Number of years is 3 Interest rate is 8% compounded…

Q: A corporation creates a sinking fund in order to have $520,000 to replace some machinery in 11…

A: A sinking fund is created to replace an existing machine. Future value of the sinking fund (FV) =…

Q: Beginning next year, a foundation will support an annual seminar on campusby using the interest…

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

Q: You are chairperson of the investment fund for the Continental Soccer League. You are asked to set…

A: Future Value: It is future value of any current asset centered on the estimated rate of growth at…

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: Assume that Dorothy Williams desires to accumulate $926,000 in 15 years using her money market fund…

A: We will follow the below steps to calculate the Compund interest rate-1.) Base amount is = $254222-…

Q: On January 1, 2005, a person’s savings account was worth $200,000. Every month thereafter, this…

A: Here, Worth of Saving Account on January 1, 2005 (PV) is $200,000 Cash Contribution Every month…

Q: Mr. Moreno started to deposit Php. 5,500 quarterly in a fund that pays 2.5% compounded monthly. How…

A: Multiple questions asked, so we can solve only first one or question asked as per requirement under…

Q: Jackson Clinic is starting an endowment fund to pay for the expenses of a allied health training…

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

Q: After completing your Bachelor of Business (Accounting) degree, suppose you secure a permanent…

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

Q: Downtown Medical Center is starting an endowment fund to pay for the expenses of a community…

A:

Q: A business must raise $70,000 in 8 years. What should be the size of the owners' quarterly payment…

A: In this, we have to calculate future value FACTOR and from that, we can get sinking fund payment. A…

Q: Tanysha plans to invest $15,000 at the beginning of each year for the next 10 years. If her invested…

A: An annuity is defined as the series of payment made each year for a definite period of time. In…

Q: Jamie Lee and Ross agree that by accomplishing their short goals, they can budget $5,000 a year…

A: A theory that helps to compute the present or future value of the cash flows is term as the TVM…

Q: James decided to fund a school in Orange County in perpetuity. The first payment will be made three…

A: First payment three years from now is $5,320 Growth rate is 3% Annual Interest rate is 9% To Find:…

Q: Tara wishes to accumulate $29,000 in 5 years. Use the appropriate formula to find the sinking fund…

A: Sinking fund is referred as the account which consists amount of money kept aside to pay off a debt.…

Q: A small company wishes to set up a fund that can be used for technology purchases over the next 6…

A: A company wants to purchases technology over 6 years. For this, the amount which is required to…

Q: Cooper & Cooper Development Company plans to raise S125,000 over a 3-year period so they can…

A: Future value required (FV) = $ 125000 Period = 3 Years Number of quarterly payments (n) = 3*4 = 12…