James Rivera earned his degree in drafting at a community college and recently began his new career. He was happy to learn that his new employer will deposit $2500 into his 401(k)-retirement account at the end of each year. Find the amount he will have accumulated in 15 years if funds earn 8% per 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: Carolyn is helping to save for her granddaughter’s college fund. It will probably take 18 years…

A: Future value required (FV) = $150,000 Interest rate (r) = 6% Number of annual payments (n) = 18…

Q: A 25-year-old engineer is opening an individual retirement account (IRA) at a bank. Her goal is to…

A: Given information is: A 25-year-old engineer is opening an individual retirement account (IRA) at a…

Q: Beverly is considering starting her small family business in five years’ time. She has decided to…

A: Annuity is a stream of equal cash flows(deposits) over specified time. Where cash flow is due at the…

Q: salaries. Ben started investing $2,000 at the beginning of each year from his salary for retirement,…

A: Annual savings =$2000 Period =8 years  interest rate =12%

Q: Lindsay is 25 years old and has a new job in Web development Lindsay wants to make sure she is…

A: The question is based on the concept of accumulation for retirement, such accumulation uses…

Q: Sandy, a manufacturing engineer, just received a year-end bonus of Php 31, 000.00 that will be…

A: Given Information: Present value of Savings = Php 31,000 Rate of interest = 8% per year Time = 20…

Q: Jessica is 25 year old now and he wants to start saving up for her retirement fund.She will retire…

A: Retirement planning is the calculation of requirement of a lum sum corpus for the time period when a…

Q: Sandy, a manufacturing engineer, just received a year-end bonus of 26,000 dollars that will be…

A: Time value of money-It is based on the concept that money earned today is worth more than similar…

Q: Keith Stone has a 10-year-old daughter, Kate, who will be entering college in 8 years. Keith…

A: Time value of money is a concept that helps in determining the value of cash (or money) at a future…

Q: Ms. Ieda Silva plans to retire in 28 years and expects to live for 25 years after retirement. She is…

A: we can use discounting techniques to value the monthly deposits.

Q: Today is Hanan 23rd birthday. Starting today, Hanan plans to begin saving for her retirement. Her…

A: Annual Deposit =$1000 Amount Provided by her aunt = $10000 Years(n) = 42 Inteerst Rate(r) =10% =…

Q: LaQuesha Jackson has made a considerable fortune. She wishes to start a perpetual scholarship for…

A: The Equivalent uniform annual cost (EUAC)  is used to convert the cash payments or costs to…

Q: Ginger Rogers deposits $3,000 a year into her retirement account. If these funds have an average…

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

Q: A recent college graduate hopes to have 200,000 saved in their retirement account 25 years from now…

A: Here, Future value (FV) = 200,000 Number of years = 25 years Contribution per month = 150 Interest…

Q: our friend is celebrating her 30th birthday today and wants to start saving for her anticipated…

A: The question can be solved in excel as follows:

Q: Molly Lincoln, a 25-year-old personal loan officer at First National Bank, understands the…

A:

Q: a young woman, 22 years old, has just graduated from college. she accepts a good job and desires to…

A: Dear student, we need to use excel NPER function to calculate number of years of deposit that…

Q: Susan gets a job upon completion of her MSME degree with a mechanisms design firm. Her starting…

A: Working note:

Q: Lindsay is 25 years old and has a new job in Web development. Lindsay wants to make sure she is…

A: The question is based on the concept of future value calculation for an annuity type of investment…

Q: Zachary has opened a retirement account that will pay 4% interest each year. He plans to deposit 8%…

A: Interest Rate = 4%   Year N (Time to last deposit) Salary Sample Working Deposit Sample Working…

Q: Daryl wishes to save money to provide for his retirement. He is now 30 years old and will be…

A: To withdraw some annual amounts after retirement and to leave some amount after 25 years of his…

Q: A couple just got married and they are both 25 years of age.  They each plan to retire in 40 years…

A: Amount Required after retirement =200000 per  year After retirement years (n1) =20 Interest Rate(r)…

Q: A young engineer wants to provide his newly born daughter a lump sum of P 2.0M when she graduates…

A: Future value required (FV) = P 2,000,000 Period = 21 Years Number of monthly payments (N) = 21*12 =…

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: 4. Juan Masipag, a self-employed individual, is opening a retirement account at a bank. His goal is…

A: Amount to accumulate = Php 1000000 n = 20 years i = 8% g = 6% First deposit = A1 Amount to…

Q: Andy invested a certain amount of money which he saves in account that earns 4% per year, compounded…

A: Present value of annuity payments of $3500 for 10 years at 4% is calculated as below:

Q: Matt plans to start his own business once he graduates from college. He plans to save $3,000 every…

A: Compute the semi-annual interest rate as follows: Compute the no. of half-years as follows:

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: Mrs. Christell Lee deposited Php50,000 now in an account for the college education of her 3-yeard…

A: Future value from present value concept is used to determine the value of deposits before starting…

Q: An employee plans to retire in 30 years and wants to create a personal retirement fund where he can…

A: First we need to calculate present value of annuity of withdrawal by using this formula Present…

Q: Nicola Martin also just started working with the NCB as a sales representative and is just trying to…

A: As withdrawals and deposits are in annual terms we need to calculate effective annual rate

Q: Ashley invests $250 a month in her 401(k) retirement account, which earns an 8 percent annual…

A: Monthly payment (P) = $ 250 Annual interest rate = 8% Monthly interest rate (R) = 8%/12 = 0.6667%…

Q: How much will be in the account when the individual retires at age 65 if the savings program starts…

A: Future Value of Annuity: It represents the future worth of the present stream of annuity cash…

Q: Tala McLouf, a 21-year-old BBA graduate, likes to plan for her future ahead, and would like to save…

A: Since the question has more than 3 sub-parts, the first 3 subparts are answered. If you want the…

Q: raise in his salary after completing his MFM. Assume that the post-graduation salary grows at a 5%…

A: Given information : Current age 30 Current earnings $40000 Retirement age 65 Growth rate 5%…

Q: Mr. Nailor invests $19,000 in a money market account at his local bank. He receives annual interest…

A: In this question we need to calculate the holding period return for Mr. Nailor. First we need to…

Q: A young student 22 years old has just graduated from college. She accepts a good job and desires to…

A: Current Age = 22 Annual Deposit = 2000 Interest Rate = 15% End of year deposits Future Value =…

Q: After paying for their children's college education, Amy and Randy have $15,000 in annual savings.…

A: Annual saving (A) = $15000 r = 7.5% per annum n = 15 years We need to find the future value of…

Q: Nest egg at 4% 2b. Nest egg at 8%

A: 1.

Q: Jackie is 34 years old. She would like to have $850,000 in her retirement account when she is 65…

A: An annuity is a stream of equivalent periodic cash flows occurring at equal time intervals. The…

Q: A recent college graduate hopes to have $200,000 saved in their retirement account 25 years from now…

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

Q: I put $1000 in an account from my high school graduation gifts, and $2000 into the same account…

A: Future value = Present value(1 + Rate)^Time Future value of high school graduation gifts = $1,000(1…

Q: A young engineering student has just graduated in college. He is able to obtain his first job and…

A: Annual deposit = P 5000 Annual interest rate = 12% Future value = $ 2,000,000