How long, to the nearest tenth of a year, will it take $4000 to grow to $8000 at 5% annual interest compounded quarterly? (Use the compound interest formulas to solve)

Q: If you have $5500 to invest now, and will need a total of $25,000 -- 10 years from now, determine…

A: Present Value  The present value is the value of cash flow stream or the fixed lump sum amount at…

Q: How much should be invested each year for 10 years to provide you with $7000 per year for the next…

A: Annuity means no. of payments which are equal in size and made at equal length of intervals. Person…

Q: You are considering taking out a loan of $6,000.00 that will be paid back over 11 years with…

A: Loan amount (L) = $6000 Quarterly payment (Q) = $185.41 r = 5.8% per annum = 1.45% per quarter

Q: What is the future value of $850 deposited for one year earning an 10 percent interest rate…

A: Future value of a sum of money refers to the worth of that sum of money on a specific time in the…

Q: How long will it take for $4,000 to grow to $7,000 if the investment earns an interest rate of 16%…

A: Given information: Future value is $7,000 Present value is $4,000 Interest rate is 16% compounded…

Q: If interest is compounded at 20% per year, how long will it take for P50,000 to accumulate to…

A: Interest rate = 0.20 Initial investment = P50,000 Accumulated value = P86,400 Period = ?…

Q: With a present value of $150,000, what is the size of the withdrawals that can be made at the end of…

A: We use PMT function in excel to calculate quarterly withdrawal

Q: future

A: Formula for compound interest is: A = P[(1+r/n)^nt] Where A is the future value, P is the principal…

Q: If you invest $48500 to earn 7% interest, which of the following compounding approaches would return…

A: Compounding in simple language means the interest on the previous interest. So if the compounding…

Q: $4200 is invested for 9 months at an annual simple interest rate of 12%. How much interest will be…

A: Simple interest is interest calculated on the principal investment, i.e no interest will be…

Q: If $17,000 is invested at 4.5% for 20 years, find the future value if the interest is compounded the…

A: Here, The future value is FV. The present value is PV. The rate of interest is r. The maturity…

Q: f you wish to save $875,000 in three years, how much would you need to deposit at the start of each…

A: Principal amount invested to save $ 875000 is $ $ 744,941 so to start depositing at the beginning of…

Q: Suppose that you need to take out a loan today and anticipate being able to pay back $50,000 sixteen…

A: Let the loan amount = X Amount to payback (A) = $50000 n = 16 years

Q: What interest will be earned if $6000 is invested for 5 years at 11% compounded monthly? (Round your…

A: Using excel FV function

Q: What is the future value of $650 deposited for one year earning an 10 percent interest rate…

A: In the given question we require to calculate the future value of $650 deposited today for one year…

Q: If you have $4500 to invest now, and will need a total of $25,000 -- 10 years from now, determine…

A: Amount available now (PV) = $4500 Period = 10 Years Monthly period (n) = 10*12 = 120 Interest rate =…

Q: If $35,500 is invested at 6.2% for 30 years, find the future value if the interest is compounded the…

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

Q: HOW MANY YEARS ARE NEEDED FOR 40,000 TO YIELD 13,756.66 INTEREST IF THE INTEREST RATE IS 6%…

A: Interest rate = 6% Semi annual interest rate (r) = 6%/2 = 3% Present value (PV) = 40,000 Interest…

Q: If interest is compounded at 6.5% per year, how long will it take for $50,000 to accumulate to…

A: Present value = $50,000   Future value = $88,600 Interest rate = 6.5% Let time taken = n years

Q: How much will have to be invested at the beginning of each year at 7%, compounded annually, to pay…

A: Future value = Present value (1 + Rate of interest)number of years

Q: how much would be available at the end of the time period. How much is the interest earned?

A: Time value of money (TVM) means that the money received in the present period will have more value…

Q: How long would it take an amount of  $4,000 invested at an interest rate of 21 % per year,…

A: Given information: Present value is $4,000 Future value is $16,000 Interest rate is 21%

Q: What is the future equivalent of 10,000 per year that flows continously for 8.5 years if the nominal…

A: The following information has been provided in the question: Present value= 10000 per year Time =8.5…

Q: If interest is compounded semi-annually (twice a year), and the interest rate is 3% per 6 month…

A: Present value is the current value of a specified amount you will received in a future date,…

Q: Use the formula for compound interest with n compoundings per year to solve:How long, to the nearest…

A: Compound interest: The amount of interest received or earned for multiple-interest time periods, on…

Q: Use the formula for compound interest with n compoundings per year to solve this problem. How long,…

A: Interest charged on the principal amount and the interest accrued is known as Compound Interest. It…

Q: If you invest 5000 dollars today at a compound interest rate of 10% compounded semi-annually, what…

A: Future value = Present value * (1 + rate per period )^ No. of period

Q: With a present value of $125,000, what is the size of the withdrawals that can be made at the end of…

A: Working note:

Q: An advertisement of an investment firm states that if you invest P500 in their firm today you will…

A: Interest Amount = Maturity Amount - Investment Amount   Nominal rate = [ Interest Amount /…

Q: assume that you pay 10000 on a yearly basis for 10 years, how much will pay after ten years if the…

A: Given:Amount paid on yearly basis=10000Time period=10yearsInterest rate=5% compounded yearly

Q: Approximately how many years will it take for $2,300 to grow to $8,172 at an annual interest rate of…

A: The time value of money implies that the cash in hand at present has a higher value than the cash…

Q: A sum of $150,000 now at an interest rate of 10% per year compounded semiannually is equivalent to…

A: The present value of money is the discounted value of future cash flows used to determine the…

Q: What annual interest rate (APR) would cause $1,500 to grow to $2000 in 4 years when compounding is…

A: Time value of money (TVM) refers to the concept which proves that the value of money today is higher…

Q: What is the difference in future value if $20,000 is invested at 5% over ten years, with one option…

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

Q: With a present value of $130,000, what is the size of the withdrawals that can be made at the end of…

A: Present value of an amount is $130,000. Using present value annuity formula, quarterly withdrawals…

Q: What interest rate, when compounded annually, is involved if an initial investment of $4000 turns…

A: Compound interest is the investment method in which the interest earned is redeposited back,…

Q: Suppose we invest £100,000 at a semi-annually compounded interest rate of 6% for 1 year. What are…

A: Net ROI (return on investment) is calculated by subtracting the initial amount of investment from…

Q: With a present value of $125,000, what is the size of the withdrawals that can be made at the end of…

A: Present value (PV) = $125,000 Period = 10 Years Quarterly periods (n) = 10*4 = 40 Interest rate =…

Q: If you have $15,000 today, and save $13,000 per quarter year at the end of the quarter while earning…

A: In this question we need compute the time period (number of quarters) required to accumulate…

Q: Give a detailed answer to the theoretical question:  How many years will it take for money to…

A: Let the Present value be $100 the money increase by 85% Future value = $100 x 1.85=$185 rate (r)=…

Q: What amount of money is equivalent to receiving ₱5,000 two years from today, if  interest is…

A: We need to use present value formula to calculate the amount of money equivelent today(present…

Q: If $13,000 is invested at 2.5% for 30 years, find the future value if the interest is compounded the…

A: ACCORDING TO THE RULE, WE WILL ONLY ANSWER THE FIRST THREE SUBPARTS, FOR THE REMAINING SUBPARTS,…

Q: How long, to the nearest tenth of a year, will it take $50,000 to triple in value at 7.5% annual…

A: Formula to calculate time: A = P*e^rt Where A is final principal, P is the initial principal, r is…

Q: With a present value of $145,000, what is the size of the withdrawals that can be made at the end of…

A: Time value of money identifies the depreciation in value of money over the period of time by…

Q: How long will it take (in years and months), for $200 to quadruple in value, if it earns interest at…

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

Q: You borrow $150,000 with a 20-year term at a9.3% (APR) variable rate and the interest rate can…

A: A mortgage is a debt instrument, secured by the collateral of specified real estate property, that…

Q: the savings account that yields 12% compounded quarterly, what would our investment grow to at the…

A: The given problem can be solved using FV and EFFECT function in excel. FV function computes  future…

Q: How much should be invested each year for 10 years to provide you with $4000 per year for the next…

A: Present value include the value without interest rate and future value includes the value with…