I want to save for a vacation. My plan is to put $200.00 each month into an ordinary annuity that earns an annual interest rate of 1.5% for the next 2 years. How much will be in the account after 2 years? Round your final answer to the nearest cent. Assume the interest rate stays the same while the account is open. Future Value What is the sum of all of my deposits? Round your final answer to the nearest cent. Total Deposited How much interest, in total, did my money earn? Round your final answer to the nearest cent. Interest

Q: Approximately how much must be saved for retirement in order to withdraw $100,000 per year for the…

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

Q: a) How much is in your account on retirement? b) Suppose you set up your account as a perpetuity on…

A: “Since you have posted a question with multiple subparts, we will solve the first three subparts for…

Q: You would like to save $250,000for retirement. If you are planning to retire 30 years from now, how…

A: The monthly deposit is the amount that is paid every month until the maturity of the period.

Q: If you deposit $100 in a savings account at the end of each month for 2 years, the balance will be a…

A: Ordinary Annuity means a series of equal payments that are made over a fixed length of time at the…

Q: If you make quarterly deposits of $415.00 into an ordinary annuity earning an annual interest rate…

A: Future value of an annuity depends on the regular payments and interest rate applicable on the…

Q: You would like to have $600,000 when you retire in 40 years. How much should you invest each quarter…

A: Here, To Find: Part a). Amount of deposit each quarter =? Part b). Total money deposited into the…

Q: To save for a down payment on a home, you invest in an annuity that pays 7.0% annual interest,…

A: The interest earned on the annuity can be calculated with the help of future value of annuity…

Q: Jenny puts $200 into a savings account today, the account pays an annual interest rate of 5%, but…

A: Compound interest: Compound interest (also known as compounding interest) is the interest on a loan…

Q: Suppose you want to have $800,000 for retirement in 25 years. Your account earns 7% interest…

A: Future Value = $800,000 Time period = 25 years  Interest rate = 7%

Q: To save for retirement, you decide to deposit $100 at the end of each month in an IRA that pays 5.5%…

A: Annuity refers to the periodic payments or receipts over a specified period of time.

Q: You would like to have $15,000 in 4 years for a down payment on a home. How much would you need to…

A: Future value or amount required for down payment = FV = $15,000 Semiannual period of annuity = t = 8…

Q: Assume that twenty years from now, you will need $50,000 and that your bank compounds interest at a…

A: “Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only…

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: Imagine that you deposit \$6,000$6,000 a year, starting one year from today, for four years into a…

A: We need to use future value of ordinary annuity(payment due at end of period) formula to get money…

Q: If you set aside $5,000 per year (i.e., one deposit of $5,000 each year) in a Roth IRA for the next…

A: As per the facts, first contribution is done after one year so it is a case of Ordinary Annuity.…

Q: An investment will provide you with $100 at the end of each year for the next 10 years. What is the…

A: Time period is 10years Discount rate is 8% Annuity amount per year is $100 To Find: Present Value…

Q: You would like to save $250,000 for retirement. If you are planning to retire 30 years from now, how…

A: Future value of the retirement account should be (FV) = $250000 Number of periods of month payments…

Q: Avishek is saving up to buy a boat. He will make deposits of $787.50 at the end of every two weeks.…

A: The annuity payments that are made at the beginning of the year are called annuity due and the…

Q: You will deposit $30,000 per year into an account beginning today that pays 13 percent per year.…

A: Annual deposit (P) = $ 30,000 Annual interest rate (r) = 13% Future value (FV) = $ 1,000,000 Period…

Q: Suppose that you place $1,000 in a bank account each year for the next 20 years. How much would be…

A: Future value of annuity due can be calculated by using this equation Future value of annuity due…

Q: You decide to make monthly payments into a retirement fund earning 4.75% compounded monthly.  Note:…

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

Q: Suppose you have decided to put $200 at the end of every month in a savings account that credits…

A: Future value of annuities includes the amount being deposited and amount of compounding interest…

Q: You want to save the down payment required to purchase a vacation home at the end of four years. If…

A: FUTURE VALUE OF ANNUITY  (FVA) FORMULA: FVA=A×1+rn-1r where, r=rate of interest n = number of years…

Q: You plan to deposit $6,000 at the end of each of the next 25 years into an account paying 10.3…

A: Future Value: The worth of a asset today at a future date based on an expected rate of growth is…

Q: You would like to have $550,000 when you retire in 40 years. How much should you invest each quarter…

A: Required Amount at retirement is $550,000 Time period is 40 years Interest rate is 6.4% Compounded…

Q: You are offered an annuity that will pay $11,000 per year for 24 years (the first payment will occur…

A: As per our guidelines we are supposed to answer only one question (if there are multiple questions…

Q: You would like to save $250,000 for retirement. If you are planning to retire 30 years from now, how…

A: Dear student we need to use excel for calculation of monthly deposit(PMT) by using PMT functions.

Q: You are planning to make monthly deposits of $450 into a retirement account that pays 10 percent…

A: An annuity is a series of equivalent periodic cash flows for a specific duration. The future value…

Q: You would like to have $1,000,000 when you retire in 40 years. How much should you invest each…

A: Given:

Q: Christine would like to know the value of their savings, assuming that they deposit $750 each month…

A: Monthly deposit (P) = $750 Growth rate (g) = 3% Period = 25 Years Number of deposits (n) = 25*12 =…

Q: You would like to have $650,000 when you retire in 40 years. How much should you invest each quarter…

A: a. GIVEN, future value (FVA) = $650,000 n = 40 m =4 rate of interest (r) = 3.6% applying the formula…

Q: Suppose you have decided to put $200 at the beginning of every month in a savings account that…

A: Compound Interest Formula: Future Value of Annuity (A)=P×1+rnn×t-1rn Where, A=final amountP=initial…

Q: Suppose that each week, you deposit $43 into a savings account whose annual rate is 1.8% with weekly…

A: We need to use future value of annuity formula to calculate balance of account after 14 years. FV…

Q: Suppose you want to save $220,000 for retirement. You will do so by putting monthly deposits into an…

A: Retirement planning involves the set of activities that determines the income goals that an…

Q: Suppose you have decided to put $500 at the beginning of every month in a savings account that…

A: Monthly deposit (m) = $500 Monthly interest rate (r) = 0.00416666666666667 (i.e. 0.05 / 12) Number…

Q: If you deposit $250 each month into an individual retirement account (IRA) that earns 4.8% interest…

A: We can use advance calculators or Excel to find the future value asked in the question.

Q: Suppose you plan to retire at age 70, and you want to be able to withdraw an amount of $60,000 per…

A: Given information: Withdrawal amount is $60,000 each year Number of withdrawals is 31 Interest rate…

Q: If you deposit $300 now into a savings account and increase your deposits by 10% each month. How…

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

Q: It is estimated that you will pay about $80,000 into the Social Security system (FICA) over your…

A: The future value is the value of the equal deposits at the end of the deposit period. The…

Q: Suppose that your bank pays 6% interest, compounded quarterly. Find out how much should be deposited…

A: Answer: Calculation of the amount that should be deposited now to yield an annuity payment of 1,500…

Q: Tom wants to put aside $120 at the end of each month into an account earning 6% compounded monthly,…

A: Here we have to use the concept of annuity and concept of time value of money to find the present…

Q: Suppose that for retirement purposes, over the course of 27 years, you make monthly deposits of…

A: given information monthly deposits = $480  interest rate = 4.954%

Q: Many people get ready for retirement by depositing money into a monthly or annual savings plan.…

A:

Q: Use the future value of an annuity due formula to calculate how much (in $) you would have in the…

A: In this question, if the amount is deposit at the beginning of the year then the period we will use…

Q: Suppose you are 35 years old and would like to retire at age 65. Furthermore, you would like to have…

A: Future value is amount that an investment will become after a certain period of time. It will…

Q: You expect to retire in 25 years. After you retire, you want to be able to withdraw $3000 dollars…

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

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%

Types of Insurance Contract

Insurance is a contract wherein an individual or entity gets financial protection from the insurance company for any damages or losses incurred. The individual or entity is called the insured, whereas the insurance company is called the insurer. The insured and the insurer enter a legal contract for a fixed term called the insurance term, and the contract is called an insurance policy.