Find the present value of $10,000 if interest is paid at a rate of 9% per year, compounded semiannually, for 2 years. (Round your answer up to the nearest cent.)

Q: What amount must be set aside now to generate payments of $60,000 at the beginning of each year for…

A: The series of payments discussed here is a form of an annuity due wherein an equal payment is made…

Q: Find the present value of an annuity of $5000 paid at the end of each 6-month period for 6 years if…

A: Annuity is a number of payments, which are equal in magnitude and made at equal interval of time.…

Q: Find the present value of the following annuities: 500 payable semi-annually for 10 years if the…

A: Solution:- When an equal amount is paid each period, it is called annuity. Present value of annuity…

Q: Find the present value of an annui P6,000 a year for 8 years that is def or 2 years, if the money is…

A: Deferred annuity means that it will start later that means so will be having slightly less value…

Q: Find the present worth of perpetuity of Php10,000 semi annually with an interest rate of 10%…

A: Solution Given Semiannual annuity 10000 Interest rate 10% quarterly First payment…

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: Suppose you have $2,100 and plan to purchase a 10-year certificate of deposit (CD) that pays 13.1%…

A: Value when the CD matures = 2100 x (1 + 0.131)^10 = $7191.93

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: Find the present value of $10,000 if interest is paid at a rate of 9% per year, compounded anually…

A: The provided information are: Future value (FV) = $10,000 Rate of interest (r) = 9% = 0.09 Time…

Q: Find the future value of an annuity of $1200 paid at the end of each year for 10 years, if interest…

A: FV of Annuity = C(1+i)n-1/i   Where C= Cash flow per period i= Interst rate n= No. of Payment

Q: If $18,000 is invested at 2.5% for 20 years, find the future value if the interest is compounded the…

A:

Q: A person buys a piece of lot for P110,000 down payment and 10 deferred semi-annual payments of P…

A: Present value of all payments is calculated by using discount rate factor and then multiplying the…

Q: You invest $17,000 at 6% interest, compounded monthly, for 2 years. Use the compound interest…

A: Compound Interest- It is interest which is earned on the principal amount invested and interest…

Q: Find the future value of an ordinary annuity of $6,000 paid quarterly for 2 years, if the interest…

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

Q: A person wants to deposit $10,000 per year for 6 years. If interest is earned at the rate of 10…

A: We need to use future value of annuity formula to calculate amount after 6 years FVn =PMT(1+i)n -1i…

Q: Find the present value (in dollars) of an annuity that pays $9,000 at the end of each 6-month period…

A: The present value of annuity is the current worth of periodic annuity payments. The annuity…

Q: Find the future value of an annuity of $1300 paid at the end of each year for 15 years, if interest…

A: Annuity is the payment of fixed amount at the end(ordinary) or beginning(due) of a financial period…

Q: Find the present value of an annuity

A: Present value of annuity represents the current value of the future payments for an annuity. There…

Q: You expect to receive P1,000 at the end of each of the next 3 years. You will deposit these payments…

A: Future value: It can be defined as the value of an investment or any asset at a specified future…

Q: Find the future value of an annuity of $1400 paid at the end of each year for 15 years, if interest…

A: Time value of money :— According to this concept, value of money in present day is greater than the…

Q: You borrow $11,000 and promise to make payments of $3,359.50 at the end of each year for 5 years.…

A: The question gives the following information:

Q: If 35900 dollars is invested at an interest rate of 6 percent per year, find the value of the…

A: Future value refers to the future worth of a money that has been invested now. Future value of money…

Q: Find the future value of an annuity of $1500 paid at the end of each year for 10 years, if interest…

A: Calculation of future value of annuity: Answer: Future value of annuity is $20,724.67

Q: Find the present value of $80,000 due in 3 years at the given rate of interest. (Use a 365-day year.…

A: Present value is the current value of some future value of the amount it will be having when the…

Q: What is the future value of 1,000 over five years if 8% interest is paid annually ?

A: Present value is the sum of money that must be invested in order to achieve a specific future goal.…

Q: Find the present value of a simple perpetuity of P10,000 payable semi-annually if the interest rate…

A: The formula to calculate the present value of the growing annuity is  Present value of annuity due=…

Q: Find the present value of an annuity of $5000 paid at the end of each 6-month period for 8 years if…

A: The below expression can be used to calculate the present value of all future payments:   Here, i…

Q: Find the future value of an ordinary annuity of $500 paid quarterly for 8 years, if the interest…

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

Q: You deposit $14,000 at a 8% interest rate for 9 years compounded quarterly.  What is the future…

A: Since the interest is compounded quarterly, we have to calculate effective annual interest rate…

Q: The present sum needed to provide for an annual withdrawal of $2,000 for 20 years beginning 5 years…

A: Annuity is a series of payments or withdrawals made at periodic intervals. The way this withdrawal…

Q: please answer with details on how to do it. Thank you. If a one-time amount of $10,000 is invested…

A: Future amount in case of compounding can be calculated as: = Principal * ( 1 + rate) ^ number of…

Q: A piece of machinery can be bought for P10,000 cash or for P2,000 down and 20,000 at the end of 15…

A: Present Value refers to the value of cash flows today which is to be received at some future time…

Q: If you contribute $1000.00 into an RRSP every six months for fifteen years and interest on the…

A: GIVEN, pmt =$1000 NPER = 15 X 2 =30 RATE = 8%2=4% PV=0

Q: Find the present value PV of the annuity account necessary to fund the withdrawal given. $2,300 per…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: Find the present value of $90,000 due in 2 years at the given rate of interest. (Use a 365-day year.…

A: The Present Value   is the current value of a future amount i.e.,   it is the amount to be invested…

Q: You plan to accumulate R450,000 over a period of 12 years by making equal annual deposits in an…

A: Annuity due is a type of annuity under which payment is deposit at starting of the each period and…

Q: If $650 000 is saved for retirement, what rate of interest, compounded monthly, will provide…

A: Time value of money (TVM) refers to the method or technique which is used to measure the amount of…

Q: If $15,000 is invested at 3.5% for 20 years, find the future value if the interest is compounded the…

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: You are paid £4,000 annually for 6 years, with the first payment due in one year and the last…

A: Annual payment (P) = £4,000  Number of annual payments (n) = 6 Interest rate (r) = 2%

Q: Find the size of monthly payment for 2 years on P85,000 if money is worth 12% compounded monthly and…

A: N = 2 years or 24 months Loan = 85000 Nominal Rate = 12% Compounded Monthly Number of compounding…

Q: Find the present value of an ordinary annuity of 2,000 pesos payable annually for 9 years if the…

A: Annuity refers to the periodic payment which can be made towards an investment account or for a loan…

Q: Find the future value (in $) of an ordinary annuity of $700 paid at the end of every 6-month period…

A: Time value concept tells today's value received is of more worth than receiving the exact amount in…

Q: Find the future value of an ordinary annuity of $2,000 paid quarterly for 2 years, if the interest…

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

Q: What is the equal payment series for 8 years that is equivalent to a payment series of $15,000 at…

A: Given information:  Payment series: $15,000 Increasing amount: $1,500 Period: 10 years Interest…

Q: You expect to receive P1,000 at the END of each of the next 3 years. You will deposit these payments…

A: Following is the computation of Future value at the end of the third year

Present Value

Present value (PV) is defined as the current or present value of all future sums of cash flow or money at a specified rate of return. This rate of return is known as the discounted rate, which is essentially the interest rate, discounted over some time. The expected cash flows are discounted at a discount rate to compute the present value. The higher the discount rate, the higher the future value (FV), but the lower the present value.