I am setting up a fund for my son to go to college. I figure that he will need Php50,000 by the time he is old enough to go to college. I found an account that pays 5.75% compounded monthly. How much will my monthly payment be to get my son set up for college in 17 years? How much interest will the account accrue?

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A: To open the "FV function" window - MS-Excel --> Formulas --> Financials --> FV.

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A: Quarterly withdrawals (P) = $2,982.00 Period = 6 Years Quarterly period (n) = 6*4 = 24 Interest rate…

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A: >Future value of any amount invested is the sum total of amount invested and the interest earned…

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A: Computation:

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A: Compound interest is referred as the in interest calculated on principal along with all accumulated…

Q: I am setting up a fund for my son to go to college. I figure that he will need $50,000 by the time…

A: An annuity is the sum of equal payments made for a certain period, at a particular rate of return.…

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A: Initial investment = $10,000 Period = 18 years Interest rate = 0.1024  Accumulated amount = ?

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A: Here, Annual Deposits is BD100 Interest Rate is 6.5% Current Age is 4 years Last Deposit is made on…

Q: (Refer to this word problem. , Samuel wishes to have P500,000 available for his son's college…

A: Accumulated value (F) = P 500000 t = 14 years = 28 semiannual periods r = 4.4% per annum = 2.2%…

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

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A: The present value function or concept can be used to determine the present value of a future sum or…

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A: The correct answer for the above mentioned is given in the following steps for your reference.

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A:

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A: Here, To Find: Amount of savings to invest each year for next five years =?

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A: Present value = Future annual withdrawals amount * Present value of discounting factor (8%, 5th to…

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A: Present value = Future value * Present value of $1 table factor

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A: It can be calculated using =NPER(rate,pmt,pv,[fv],[type]) Rate The interest rate for the loan. Nper…

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A: Using excel PV function

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A: given, future value = $120,000 r = 6% n = 4 years

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A: Given information: Future value is $150,000 APR is 7% Number of years is 6

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A: According to the time value rule, a sum of money today can earn an interest amount by investing it…

Q: Mr. J. J. Parker is creating a college fund for his daughter. He plans to make 15 yearly payments of…

A: GIVEN, YEARLY PAYMENT = $1500 N = 15 YEARS R = 12% LET FOUR YEARLY WITHDRAWAL = A  withdrawal from…

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: Ann and Tom want to establish a fund for their​ grandson's college education. What lump sum must…

A: Using excel PV function

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A: Provided a fixed rate of return, present value (PV) is the current value of a potential amount of…

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Q: on. How much should be deposited?

A: Present Value of Annuity: It represents the present worth of the future value of the annuity and is…

Q: how much do they need to invest at the end of each 6-month period for the next 18 years to begin…

A: The present value of an annuity: A=R[(1-(1+i)-n)i] A=35,000[(1-(1+0.03)-16)0.03] A = 439,639

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A: Annual contribution (P) = P 9,993 Period from 6th year to 19th year (n) = 13 Annual interest rate…

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A: Given information: Amount needed in next year $10,000 Number of years 4 Interest rate is 5%.

Q: Your aunt is planning to invest in a bank CD that will pay 7.5% interest semi annually. If she has…

A: SEMI ANNUAL INTEREST RATE  (7.50%/2) 3.75% PERIOD (4*2) 8 PRESENT VALUE $5,000 PMT 0

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A: Calculate the future value of the deposits by using the EXCEL FV function as follows: Working:…

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A: This problem can be solved in light of annuity and future value. Total amount in the deposit account…

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A: Given information :  Amount Required at the end of 18 years = RM 150,000 Annual rate of return = 6%…

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A: The formula to compute future value of annuity due: