If you plan to put your graduation money into an account and leave it for 18 years while you go to college. If you receive 390 R.O in graduation money that you put it into an account that earn 17 % interest compounded semiannually. How much will be in your account at the end of each year?

Q: Shawn has set up an "automatic account builder" plan with an investment company. At the end of each…

A: The monthly deduction of $125 is an annuity. As the amounts are being deducted and deposited at the…

Q: To help you reach a $16,000 goal 8 years fromnow, your father offers to give you $4,000 now.You plan…

A: Steps to calculate annual deposits is shown: Calculate the FV of an amount given by the father at…

Q: When you were born, your parents started to deposit monthly $2,000 in the bank. The bank offers a…

A: FV Ordinary Annuity=C×(1+i)n−1i where, C=cash flow per period i=interest rate=0.1512…

Q: Assume today is 1 September, and this is the birthday of your two children, Ashley and Alex. Ashley…

A: Time value tells that money received today is of more value than that of receiving the exact value…

Q: You plan to start grad school in 5 years (at the end of year 5) and will graduate 3 years after you…

A: There are two types of basic annuities, i.e., ordinary annuity and annuity due. An ordinary annuity…

Q: Today us 1st september and the birth of tom. Tom will start college when he turns 18. Tom will take…

A: Present Value is the current value of the future sum of money at the specific rate of return.

Q: After retirement, you expect to live for 25 years. You would like to have a $95,000 income each…

A: Here,

Q: Suppose that Jacob would like to invest at the end of each month for the next 15 years into an…

A: Ordinary Annuity refers to series of equalized payments that are made at end of period for certain…

Q: Assume today is 1 September, and this is the birthday of your two children, Ashley and Alex. Ashley…

A: Present value of annuity due would be provided the current value of an amount which is accumulated…

Q: When your first child is born, you begin to save for college by depositing $500 per month in an…

A: The calculation is: Note: Concept utilized: 2.71828182 is a numerical constant value.

Q: You start working at age 23 and you plan to deposit $5,100 in a savings account every year (end of…

A:

Q: You plan to deposit $500 in a bank account now and $600 at the end of the year. If the account…

A: Solution: The amount in account after second deposit will be the future value of first deposit and…

Q: 1. Jefferson and Rio Morales are trying to decide on an account to help save for college for their…

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

Q: You want to be able to withdraw $35,000 from your account each year for 15 years after you retire.…

A: Given, Amount required each year after requirement us $35000. term of payment is 15 years Rate of…

Q: trust for her today which will provide 16 payments throughout the next four years as well as the…

A: *Answer:

Q: You want to be able to withdraw $45,000 from your account each year for 20 years after you retire.…

A: After retirement: payment amount = $45000 number of year = 20 rate of interest = 7%   Before…

Q: You would like to have $59,000 in 5 years for the down payment on a new house following graduation…

A: Future Value= $59,000; No. of periods= 5*4= 20 years, Interest rate per period = 4.24/4=…

Q: HOW MUCH SHOULD YOU DEPOSIT AT THE END OF EACH MONTH INTO A INVESTMENT ACCOUNT THAT PAYS 8% COMPOUND…

A: Calculation of Amount of Deposits and Total Interest:The amount of deposits is 338.49 and total…

Q: This month you want to give your daughter $2,000.00 to help pay for University. You plan to make…

A: Provided a certain rate of interest, present value is current value of future amount of money or…

Q: You will be in graduate school for the next two years. You borrowed some money from the bank for…

A: Monthly Payment  $   950.00 Monthly payment increase by 2% Time period  5 Beginning of payment…

Q: Assume today is 1 September, and this is the birthday of your two children, Ashley and Alex. Ashley…

A: Annuity means a series of finite no. of payments which are same in size and made in equal intervals.…

Q: To pay for your education, you've taken out $18,000 in student loans. If you make monthly payments…

A: Loan Amount = $18,000 Time Period = 10 Years Interest Rate = 3% compounded monthly

Q: After graduation you plan to work and stay for 10 years and then start your own business. You…

A:

Q: You want to be able to withdraw $50,000 from your account each year for 25 years after you retire.…

A: Here, Annual amount to withdraw = $50,000 Time in years after retirement = 25 years Time to…

Q: When you were born, your parents started to deposit monthly $2,000 in the bank. The bank offers a…

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

Q: When your first child is born, you begin to save for college by depositing $600 per month in an…

A: Annuity means number of payments which are equal in size and made at equal interval of time. Person…

Q: How much should Timothy's dad invest into a savings account today, to be able to pay for Timothy's…

A: Solution:- When an equal amount is deposited each period at beginning of period, it is called…

Q: what will be the amount in the account upon your retirement?

A: Future value of the retirement account is the total value that an individual will be able to…

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: Brad will graduate next year. When he begins working, he plans to deposit $6000 at the end of each…

A: Using Excel FV function

Q: Assume today is 1 September, and this is the birthday of your two children, Ashley and Alex. Ashley…

A: Annuity refers to series of equalized payments that are paid or received at start or ending of…

Q: How much should Brianna's dad invest in a savings account today, to be able to pay for Brianna's…

A: Amount of deposit is equal to present value of rental payments

Q: he college tuition is expected to increase with an average of 5% per year for the next 5 years. The…

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

Q: Determine the size of your investment account 23 years from now (when you plan to retire) if you…

A: Future value: It is the value of the current asset, depending on the assumed rate of the growth, at…

Q: You are saving for the graduation (4 years) of your two children. They are two years apart in age;…

A: Annuity refers to series of annual payment which are paid or received at start or end of specific…

Q: Beginning three months from now, you want to be able to withdraw $3,600 each quarter from your bank…

A: A series of fixed payments that are paid or received at an equal time interval is term as the…

Q: You decide to invest in an instrument that pays 5% annual capitalizable interest each semester. If…

A: The present value is the value of the sum received at time 0. It is the current value of the sum…

Q: Assume today is 1 September, and this is the birthday of your two children, Ashley and Alex. Ashley…

A: Ashley is 5 years old8 Time is taken to go to college =18 years - 5 years =13 years   Interest rate…

Q: Suppose Jennifer deposits $500 in an account at the end of this year. $400 at the end of the next…

A: We need to use compound interest formula to solve this problem A =P(1+i)n Where A= final payment…

Q: Manuel plans to set aside money for his young daughter’s college tuition. He will deposit money in…

A: Ordinary annuity is regular deposits at the end of each period. To calculate monthly deposits for a…

Q: You plan to buy the house of your dreams in 18 years. You have estimated that the price of the house…

A: Monthly payment refers to the periodic payments made towards the acquisition of an asset or security…

Q: A person wishes that his son becomes an Engineering graduate. To achieve this he starts saving every…

A: The concept of the time value of money states that the current worth of money is more than its value…

Q: When your first child is born, you begin to save for college by depositing $500 per month in an…

A: We need to compute the future value of the recurring payments every month for the period of 18 years…

Q: Tuition is expected to increase with an average of 5% per year for the next 5 years. The annual cost…

A: Mutual funds are pool of funds invested by the mutual fund companies on behalf of the investors…

Q: How much Alex must deposit annually if he wants to have $800,000 in 25 years by making equal annual…

A: Annual payments refers to the periodic payment which can be used for a variety of purposes like for…

Q: A high school student would like to save P50,000 for his graduation. How much should he deposit in a…

A: The amount required in the future is the future value of periodic deposits. This is the compounded…

Q: A mother wishes to set up a savings account for her son's education. She plans on investing $750…

A: Future value of ordinary annuity computes the total amount of periodic payments at a certain time…