How much does Tim need to save each year for 9 years as a regular savings payment if he wants to retire in exactly 9 years with $1,078,000.00, can earn 13.05 percent on his savings, starts making regular savings payments in exactly 1 year, and saves an equal amount each year with one exception, which is that in 2 years, he plans to make an extra contribution of $30,000.00 to savings?

Q: Your great - uncle Claude is 82 years old . Over the years , he has accumulated savings of $ 80,000…

A: Investor will deposit his savings and draws equal annual amounts for next 10 years. The equal annual…

Q: withdraw

A: Introduction: The PVIFA or present value interest factor annuity is a concept which is used to…

Q: An engineer currently has nothing saved for his retirement, which will start 6 years from today. He…

A: Time to retire = 6 years Annual Withdrawal in retirement = 68,500 Time period for withdrawals = N =…

Q: John and Rosamond want to retire in 8 years and can save $230 every 3 months. They plan to deposit…

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

Q: James wants to buy a car in 5 years. The car is expected to cost $30,000 at that time. How much…

A: The amount required to invest today can be calculated as the present value of lump sum

Q: how much must brix save in his account at the end of each month in order to have 125,000.00 at the…

A: Monthly Compounding Interest Rate = 5.88%/12 = 0.49% per month Time Period = 5 years × 12 = 60…

Q: 1) Sabrina waits to start saving for retirement until age 35. If she saves the same $8000 each year…

A: Annual saving (P) = $8000 Period from 35th year to 65th year (n) = 30 Interest rate (r) = 7.00%

Q: How much should Ryan have in a savings account that is earning 2.50% compounded monthly, if he plans…

A: Present Value of Annuity: It represents the present worth of the future cash flows stream and is…

Q: Chris has saved $500,000 for retirement. If he set up a payout annuity for 30 years in an account…

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

Q: A couple will retire in 50 years; they plan to spend about $35,000 a year in retirement, which…

A: given information   reirement period = 25 years spend in a retirement period for a year $35,000…

Q: Michael Jones plans to save $5,928 every year for the next eight years, starting today. At the end…

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

Q: If I would like to have $250,000 in my savings account after making contributions for 30 years, what…

A: Present Value = Monthly Contributions * PVAF ( Monthly Rate, number of Months )

Q: Your parents will retire in 19 years. They currently have $330,000 saved, and they think they will…

A: Interest rate is the rate of return to be earned from an investment for a particular period. Given:…

Q: Colin thinks he can reasonably expect to buy a house in five years. He would like to have…

A: Calculation of investment (P):Answer:The amount of investment that Colin has to invest annually is…

Q: An engineer currently has nothing saved for his retirement, which will start 6 years from today. He…

A: Time till retirement is 6 years Future annuties of  P68,500 for 5 years Interest rate is 7.16%   To…

Q: Joe wants to have $10,000 in 10 years after investing in an account that earns 3.6% compounded…

A: Future value required (FV) = $ 10,000 Annual interest rate = 3.6% Monthly interest rate (r) =…

Q: Christopher wants to have 50,000 pesos in 4 years by saving equal regular payments. He can make a…

A: Present value is the sum of the current value of money of future cash flows. It is also known as a…

Q: Jessie has been contributing $250 at the end of each 6 - month period for the past 18 months to a…

A: Semi annual Contribution is $250 Interest rate Compounded semi annually is 6% Time period is one…

Q: Joe would like to have $80,000 saved in 10 years. If he invests his money in an ordinary annuity…

A: Future value of annuity = P * [ (1+r)^n  - 1 ] /r  FV = $80,000 n = no. of compounding period 10*12…

Q: amie is saving ₱10,000 at the end of each month. How soon can he retire if he wants to have a…

A: Monthly saving = P 10,000 Future value (FV) = P 250,000 Annual interest rate = 4.36% Monthly…

Q: At the age of 25 Riley starts saving for retirement. If his investment plans pay an APR of 6%…

A: We will use the concept of time value of money here. As per the concept of time value of money the…

Q: John is currently 25 years old. He has $10,000 saved up and wishes to deposit this into a savings…

A: John age = 25 years he saved up to = $10000     annual interest rate = 6% 0.06/12 = 0.005  every…

Q: Cameron is saving for his retirement 22 years from now by setting up a savings plan. He has set up a…

A: Time period till retirement is 22 years Quarterly saving of $97.00 Time period of saving is 12 years…

Q: Tak wants to save $10 000 for a vacation. He deposits $150 at the end of each month for 4.5 years in…

A: Solved using Financial Calculator  PMT = +/- 150 N = 4.5 years *12 months = 54 I/Y = 8.7/12 = 0.725…

Q: Today is your 23rd birthday.  Your aunt just gave you $1,000.  You have used the money to open up a…

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

Q: To pay for your child’s education, you wish to have accumulated $25,000 at the end of 15 years. To…

A: Future Value refers to compounded value of present amount or a series of equal amount of payment…

Q: Dean Gooch is planning for his retirement, so he is setting up a payout annuity with his bank. He…

A: The annuity is a series of cash flow wherein an equal amount is paid every period.

Q: Jamal plans to retire in 17 years. He is saving $2000 every start of the month in a retirement…

A: Annuity refers to series of equalized payments that are made at start or end of definite period. It…

Q: To pay for your child's education, you wish to have accumulated P15,000 at the end of 15 years. To…

A: Future value (F) = P15,000 Time period (n) = 15 years Rate of interest = 6% (compounded annually)

Q: Matt Christopher is a 30-year-old mechanical engineer, and his salary next year will be $80,000.…

A: Computation of the amount that will be saved by Matt Christopher at the age of 60 years is shown:

Q: Bill Baxter has $25,000 to invest for a year.  He can lend it to his sister, who has agreed to pay…

A: given, simple interest to sister P = $25,000 r= 10% n = 1 retirement plan: P= $25000 r=6% m=4 n=1

Q: Your parents will retire in 17 years. They currently have $310,000 saved, and they think they will…

A: Future value = present value * (1+r)^n Where r= rate of interest n= compounding year

Q: Tony wants to have $10,000 in 10 years after investing in an account that earns 4.6% compounded…

A: Future value is $10,000 Time period is 10years Interest rate is 4.6% Compounded monthly   To find:…

Q: John, a 25-year-old teacher, wants to start saving for his retirement. John wants a comfortable…

A: Given:

Q: John is currently 25 years old. He has $10,000 saved up and wishes to deposit this into a savings…

A:

Q: Can you help me work out this problem in detail?   Ben wants to receive $6,000 a year for 10 years.…

A:

Q: Your parents will retire in 17 years. They currently have $290,000 saved, and they think they will…

A: Future value = Present value *(1+rate)^years $2,000,000 = $290,000*(1+rate)^17 Rate = ($2,000,000 /…

Q: Your great-uncle Claude is 82 years old. Over the years, he has accumulated savings of $80,000. He…

A: Given information: Present value $80,000 Number of years is 10 Interest rate is 10%

Q: uch yearly perpetuity can Aliyah receive after 31 years if she will start to save 90,000 today and…

A: Given information : Year  Cash flows  0         90,000 1     1,00,000 2     1,10,000 3…

Q: Charlie wants to retire in 15 years, and he wants to have an annuity of $50,000 a year for 20 years…

A: Annuity refers to a series of payment made at a regular interval of time. We need to use the concept…

Q: Two people plan to invest $50,000. Matt is going to invest it in one lump sum and leave it in the…

A: Future value of investment is the compounded value of all the cash flows in the tenure of the…

Q: Leonard wants to have $400,000 in his RRSP when he retires in 31 years. How much must he deposit at…

A: Here, Required Amount (FV) is $400,000 Time Period (n) is 31 years Interest Rate (r)  is 4.8%…

Q: Your parents will retire in 23 years. They currently have $290,000 saved, and they think they will…

A: The present value is $290,000.The future value is $900,000.Number of years is 23.

Q: Rodney would like to save $57,000 over the next 15 years. How much must he deposit at the beginning…

A: Annuity refers to the fixed periodic payments which are paid monthly, quarterly, semi-annually or…

Q: Earl E. Bird has decided to start saving for his retirement. Beginning on his twenty-first birthday,…

A: given, Earl: A=$2000 r=7% n = 10 years  then kept the amount idle for 35 years Ivana: A=$2000 r=7%…

Q: If Rex wants to be a millionaire by the time he retires (45 years from now), how much does he need…

A: Present Value: It represents the present worth of the future amount and is computed by the…