Q: How much money will be in a bank account at the end of 15 years if $100 is deposi ted today and the…
A: Following details are given in the question : Deposit today (Present value) = $100 Time period = 15…
Q: How much would you need to deposit in an account now in order to have $6000 in the account in 10…
A: Given information Future Value = $6000 Time Period =10 years *12= 120 periods(As periods are…
Q: You deposit $100 each month into an account earning 8% interest compounded monthly. a) How much will…
A: Each month $100 is to be put into an account earning 8% interest compounded monthly. Periodic…
Q: You deposit $100 each month into an account earning 6% interest compounded monthly. a) How much…
A: Future value refers to the amount worth in future time which is deposited today by an investor at…
Q: If you invest $1,000 each month for five years, what will be the value of the investment after five…
A: The below formula can be used to calculate future value:
Q: If you have $10,000 today, and save $12,000 per quarter year at the end of the quarter while earning…
A: In the given question we need to compute the number of quarters required to accumulate $100000 if we…
Q: You have $300 to invest. If you put the money into an account earning 13% Interest compounded…
A: Following details are given in the question : Present value = 300 Time period = 8 years Interest…
Q: You deposit $400 each month into an account earning 6% interest compounded monthly. How much will…
A: FV of annuity=P1+rn-1rwhere,P=Periodic paymentr=rate per periodn=number of periods
Q: You deposit $1000 each year into an account earning 6% interest compounded annually. How much will…
A: Future value of any deposits made is equivalent to the compounded value of deposits made for all the…
Q: How much will you have in 40 years if you save $3,000 each year and your account earns 8% interest…
A: In the given question we require to calculate the future value of payment made every year of $3000…
Q: If you deposit $10 000 in a bank account that pays 10 interest annually, how much will be in your…
A: Present Value is a current value of a future amount that is receivable or payable. While, Future…
Q: Suppose you owe $600 on your credit card and are paying 14 percent interest. If you pay off the debt…
A: Interest is the amount paid for the usage of the principal borrowed.
Q: How much money will you have available to you after five years if you put aside $100.00 a month in…
A: The future value of the annuity is the future worth of a cash flow series at a certain rate of…
Q: You deposit $4000 each year into an account earning 4% interest compounded annually. How much will…
A: Future value of annuity = Annual payment x [(1 + i)n - 1]/i i = Interest rate n = number of years
Q: You want to have $2,000,000 in your savings account seven years from now, and you're prepared to…
A: Given: Future Value of investment "FV" = $2000000 Number of payments "n" = 7 Interest rate "r" =…
Q: How much money will be in an account for 10 years from today if 20,000 is deposited today at a rate…
A: Following details are given in the question: Present value (Investment today) = $20000 Time period =…
Q: You deposit $100 each month into an account earning 8% interest compounded monthly. a) How much…
A: a) Hence, amount of $149,035.94 have in account in 30 years.
Q: Suppose you invest $1,000 in an account paying 10% interest per year. How much will you have in the…
A: In this question future value is to be find out. Future value is the value of an asset which grows…
Q: You have $500,000 saved for retirement. Your account earns 10% interest. How much will you be able…
A: MONTHLY PAYMENT FORMULA: monthly payment =principal×rm1-1+rm-m×nwhere,r = rate of interestm =…
Q: You deposit $3000 each year into an account earning 5% interest compounded annually. How much will…
A: An Annuity is a continuous flow of systematic timely cash flows made or received for a stipulated…
Q: If you saved $5,000 per year (at the end of each year) for 10 years in an account with a 4% interest…
A: Here, To Find: Future value (FV) =?
Q: You deposit $4000 in an account earning 3% interest compounded monthly. How much will you have in…
A: The amount after 10 years will be the future value of the initial deposit.
Q: You wish to have $40,000 dollars in 6 years. How much do you need to deposit today if the rate is…
A: The present value of the cash flow is the current worth of a cash flow at a certain rate of interest…
Q: How much do you have to invest today in a savings account that returns 6.5% interest, compunded…
A: Amount after 10 years = $25,300 Amount Invested =Let P Years =10 Interest Rate(r) =6.5% compounded…
Q: What would your investment account be worth in 23 years if you currently have $7,000 saved and plan…
A: Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only one…
Q: Suppose you want to have $500,000 for retirement in 20 years. Your account earns 8% interest. How…
A: Future value of each month payment (FV) = $500,000 Number of years to retirement = 20 Number of…
Q: If you deposit $10,000 in a bank account that pays 10 percent interest annually, how much would be…
A: Future value of a lumpsum deposited today can be calculated using the future value…
Q: How much will you have in 2 YEARS if you save $100 each MONTH and your account earns 4% interest PER…
A: N = 24, PV = 0 rate = 4%/12 PMT = 100 use FV function in Excel with type as 0
Q: How much money should you invest now (to the nearest dollar) in an account that earns interest at a…
A: Future value (FV) = $ 291,000 Interest rate (r) = 8.9% Period (t) = 13 Years Constant (e) = 2.7183…
Q: If you invest $10,000 at an interest rate of 8.00% (annual rate) compounded quarterly, how much…
A: Given: Investment amount = $10000 Rate = 8.00% compounded quarterly To compute the amount of…
Q: You deposit $100 each month into an account earning 4% interest compounded monthly. a) How much…
A: Amount Deposited Each month is $100 Interest rate is 4% Compounded monthly Time period is 15 years…
Q: You deposit $4000 each year into an account earning 8% interest compounded annually. How much will…
A: given PMT = 4000 n= 20 years i=8% FV = ?
Q: Suppose you invest in an annuity that pays 5% annual interest, compounded quarterly. If you…
A: A theory that helps to compute the present or future value of the cash flows is term as the TVM…
Q: Suppose you invest $120 a month for 5 years into an account earning 9% compounded monthly. After 5…
A: Computation:
Q: Starting next year you plan to deposit $1000 each year into an account earning 9.25% effective…
A: Solution:- When an equal amount is deposited each period at end of period, it is called ordinary…
Q: How much do I need to save each year from now with a interest rate of 12%?
A: Future value of an annuity: It is the value of periodic payments at a certain time in the future.…
Q: If you open a savings account that earns 6.5%simple interest per year, what is the minimum number of…
A: If savings are invested in a bank for the purpose of earning some return then the account opened in…
Q: If you initially invest $3500 in an account that earns 4.7% interest compounded daily, how much will…
A: Initial investment (PV) = $3500 Interest rate (r) = 4.7% Number of compounding per year (m) = 365…
Q: If you deposit 10000 in a bank account that pays 10% interest annually, how much will be in your…
A: The amount in the account after 5 years is future value of the deposited amount. Future value can be…
Q: How much will you need to save per month to have $200,000 after 12 years, if you account earns 5%…
A: Compound interest = P"(1+r%/n)^tn Since the final amount is given , we need to calculate the…
Q: If you deposit $10,000 in a bank account that pays 10% interest annually, how much will be in your…
A: In the given question we require to compute the future value from following details: Present value =…
Q: How much money should be invested in an account that earns 9.5% interest, compounded monthly, in…
A: It can be calculated using following formula PV = FV / (1 + r / n)nt Where, PV = Present value FV =…
Q: You invest $150 each month in a savings plan for a period of 30 years. If you earn an interest rate…
A: The future value is the amount that will be received at the end of a certain period. In simple…
Q: You deposit $100 each month into an account earning 8% interest compounded monthly. a) How much…
A: Annuity amount = $100 Monthly rate of interest = 0.6667% (8.00% / 12) Number of months = 300 months…
Q: How much would be in your savings account in 11 years after deposting $150 today if the bank pays 8…
A: Given: Present value (PV) = $150 Rate of interest (r) = 8% = 0.08 Number of years (n) = 11
Q: If you need 6,000 5 years from now, how much of a deposit must you make in your savings account…
A: Future value (FV) = 6000 Number of annual payments (n) = 5 Annual interest rate (r) = 8%
Q: If you open a savings account that earns 6.5% simple interest per year, what is the minimum num-ber…
A: Simple interest is the type of interest that is earned on the original amount invested and not…
Q: Suppose you want to have $700,000 for retirement in 20 years. Your account earns 6% interest. How…
A: Computation as follows: Hence, amount to be deposited in each month is $1515.02.
How much will you need to save per month to have $200,000 after 12 years, if your account earns 5% interest per year, compounded monthly?
The formula used as follows:
Step by step
Solved in 2 steps
- You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years. Which table will help you determine the value of your account at the end of 12 years? A. future value of one dollar ($1) B. present value of one dollar ($1) C. future value of an ordinary annuity D. present value of an ordinary annuityCalculating interest earned and future value of savings account. If you put 6,000 in a savings account that pays interest at the rate of 3 percent, compounded annually, how much will you have in five years? (Hint: Use the future value formula.) How much interest will you earn during the five years? If you put 6,000 each year into a savings account that pays interest at the rate of 4 percent a year, how much would you have after five years?How much must be invested now to receive $50,000 for 8 years if the first $50,000 is received in one year and the rate is 10%?
- Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $4,200 over the next 6 years when the interest rate is 8%, how much do you need to deposit in the account? B. If you place $8,700 in a savings account, how much will you have at the end of 12 years with an interest rate of 8%? C. You invest $2,000 per year, at the end of the year, for 20 years at 10% interest. How much will you have at the end of 20 years? D. You win the lottery and can either receive $500,000 as a lump sum or $60,000 per year for 20 years. Assuming you can earn 3% interest, which do you recommend and why?You put $250 in the bank for S years at 12%. A. If interest is added at the end of the year, how much will you have in the bank after one year? Calculate the amount you will have in the bank at the end of year two and continue to calculate all the way to the end of the fifth year. B. Use the future value of $1 table in Appendix B and verity that your answer is correct.You put $600 in the bank for 3 years at 15%. A. If Interest Is added at the end of the year, how much will you have in the bank after one year? Calculate the amount you will have in the bank at the end of year two and continue to calculate all the way to the end of the third year. B. Use the future value of $1 table In Appendix B and verify that your answer is correct.