Jenny Sherrer has $29,000 to invest and believes that she will earn 8% compounded semiannually. Find the additional amount earned if she invests for 7 years instead of 4 years.

Q: Karen takes an 8-year car loan of $50,000 at 2.14%, compounded monthly. If the payments are done at…

A: Monthly Compounding Loan Amount = 50,000 Time Period of loan = 8 years or 96 months Interest rate =…

Q: Your father paid $10,000 (cf occurs at t=0) for an investment that promises to pay $850 at the end…

A: Expected rate of return can be described as the total profit or loss on a particular investment over…

Q: Alex invested $10,500 in an account that pays 6 percent simple interest. How much money will he have…

A: Simple interest is the method of calculating interest on the amount of investment. A fixed amount is…

Q: Rebecca wants to set aside some money for a vacation in 8 years. How much does Rebecca need to set…

A: AMOUNT REQUIRED AFTER 8 YEARS(A)=$4700 RATE OF INTEREST(R)=13% COMPOUNDED ANNUALLY TIME PERIOD=8…

Q: A housewife bought a brand new washing machine costing P12,000 if paid in cash. However, she can…

A: Present value of annuity due can be used to calculate the periodic payment.

Q: Skeng would like to receive equal instalment of $250,000 at the end of each year for the next 8…

A: FORMULA PVA = P*[1-(1+R)-N]/R Where PVA - Present value of annuity P - Annual payment amount i.e.…

Q: Togo's monthly salary is $1080 and his monthly expenses are on average $750. Togo is looking at some…

A: Investments providing a compounding interest rate calculate interest on the principal as well as…

Q: Ms. Lun is earning P20,000 per month.  She plans to invest in an insurance company an amount…

A: Monthly Earning of Ms. Lun P20,000 Annual Earning of Ms. Lun (P20000 * 12) P2,40,000 Amount…

Q: Ellie is 30 years old and just started working for Microsoft. She is paid on the 1" of each month.…

A: Disability Insurance is the security towards any risk undertaken by an employee while working in a…

Q: Maria saves ​$32 at the end of each week and deposits the money in an account paying 12%…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: Nine  years  from  now,  Sam  wants  to  have  an  amount  available  to  deposit  into  an  account…

A: ANSWER GIVEN ON THE NEXT SHEET

Q: if you owe $35,000 payable at the end of eight years, what amount should your creditor accept in…

A: Amount due after 8 Years (FV) = $ 35000 Interest rate (r) = 13% Period (n) = 8 Years

Q: Susan Orman wants to pay $1500 semiannually to her granddaughter for 10 years for helping her around…

A:

Q: Sharon Nguyen has $25,000 to invest and believes that she can earn 6% compounded semiannually.  Find…

A: Present Value = $25000 Interest Rate(r) = 6%/2 =3%  semiannually Years =10 Terms(n) = 10*2 = 20

Q: Ginny has already accumulated $15,000 in her RRSP. If she contributes $2,000 at the end of every six…

A: Annuity refers to series of equalized payments that are made at end or start of specific interval…

Q: Kim Baker invested $250 at the end of every 3-month period, for 5 years, at 8% interest compounded…

A: If money has been deposited in an account at the beginning of every period for a specified duration…

Q: Carol saved P12,000 at the end of every six months in an educational plan earns 7% per year…

A: Present value is the sum of money that must be invested in order to achieve a specific future goal.…

Q: Belle decided to start a new investment account.  She deposits $1,000 into an account that earns…

A: Using excel FV function

Q: Caroline invest $100 on the last day of each month into an account earning 8% interest, compounded…

A: A theory that helps to compute the present or future value of the cash flows is term as the TVM…

Q: Zach depsoits a $38,000 one-time lump sum in an account with an APR of 7% that is compounded…

A: Future Value refers to the value of the current asset or investment or of cash flows at a specified…

Q: Jo wants to accumulate $40,000 to use for an around the world trip. She plans to accumulate the…

A: Account balance at the end of the sixth year = Annaul amount deposited x Future value factor (4%, 6…

Q: Jessica invests $4500 today and another $1,000 a year from now until 5 years. She also increases her…

A: Investment in year 0 = 4500 for 10 years Investment in year 1 = 1000 for 9 years Investment in year…

Q: Hannah wants to have $ 7500 to help pay for a new deck in 16 years. If she wants to put her money…

A: GIVEN, Future Value  = $7500 Interest rate(r)  = 6.25/100 = 0.0625 Time Period(t) = 16 years Present…

Q: Engineer Patawaran purchased a lot and agreed to pay Php 33,000.00 a month for two years. If money…

A: Monthly Payment = 33,000 N = 24 months Annual Rate = 9%   Interest Rate = Annual Rate / 12  = 9%/ 12…

Q: Being cautious with money, Cyril has contributed $1,700 at the start of every month into an RRSP,…

A: value of investment in 10 years from now can be calculated using following function in excel. FV…

Q: An individual has $1,000 to invest. He wants to accumulate $3,670 and can earn 8% annual interest on…

A: In this question we need to compute the number of years required to accumulate $3670. Other details…

Q: value of the investment after 5 years b) How much interest was earned

A: An annuity is the fixed amount that is deposited at a fixed interval of time over a predetermined…

Q: A man inherited regular endowment of P103,000 every end of 2 months for 10 years. However, he may…

A: There are 6 bi-monthly period in a year N = 6*10, FV = 0, PMT = 103,000, rate = 14%/6 use PV…

Q: Jianne invested Php 50,000 in a friend's business with a definite annual interest rate of 4%. How…

A: Future value is the value of current asset or investment at a future date. Future value is…

Q: Maria invested R15 000 for a period of 5 years at an interest rate of 10% per year compounded semi-…

A: Compounding interest semiannually means that the principal of a loan or investment at the start of…

Q: Rose, recently purchased a new automobile for $25,000. She made a $5,000 down payment and financed…

A: Using excel PMT function

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: Victoria buys a property for $2,500,000 by paying $500,000 down payment and the rest on a 15-year…

A: The amount taken on credit or financed by the person is ascertained by deducting the down-payment…

Q: Abel wants to determine the amount of money he would obtain from the interest of PHP 2,000 at 16%…

A: Time value of money (TVM) refers to the method or technique which is used to measure the amount of…

Q: Ali deposits BD 2,500 in a savings account that pays interest at the rate of 5.5% per year,…

A: Amount is the sum of the initial principal amount and interest accumulated on it during the time…

Q: Phil Nelson anticipates he will need approximately $227,000 in 11 years to cover his daughter’s…

A: The money that is required to be invested today by PN is the present value of the amount of $227,000…

Q: If Ellen won $250,000 the last week in February, 1996 and invested it by March 1, 1996 in a "sure…

A: Amount invested = $250000 in 1996 Interest rate (r) = 8% Let A = Annual withdrawal from 2004 n = 15…

Q: Marcus bought a luxury car worth P2,000,000. He then decides to pay in a 6 year long installment…

A: Financing the purchase of certain high-priced products is a common practice of purchasers.…

Q: Alice Adams invests $3,000 at 9% compounded semiannually for 8 years. a)How much will she have after…

A: Investment amount (PV) = $3000 Annual interest rate = 9% Semi annual interest rate (r) = 9%/2 = 4.5%…

Q: Marites, a self-employed individual, is opening a retirement account at a bank. Her goal is to…

A: First deposit (F) = A1 Accumulated amount needed = Php 1000000 Number of deposits (n) = 20 Growth…

Q: Aunt Tillie has deposited $33,000 today in an account which will earn 10 percent annually. She plans…

A: We need to calculate future value of investment by using this formula FV = PV(1+i)n where FV =Future…

Q: Tanysha plans to invest $15,000 at the beginning of each year for the next 10 years. If her invested…

A: An annuity is defined as the series of payment made each year for a definite period of time. In…

Q: Each month Lara invests $100 in an account earning 4% annual interest compounded monthly. a) Find…

A: PV= $100 r= 4% compounded monthly n= 20 years FV=?   FV= PV(1+r)n FV= $100(1+0.04/12)20*12 FV=…

Q: An individual has $1,000 to invest and wants to accumulate $1,470 in 5 years. What interest rate,…

A: In this question we need to compute the interest rate from following details : Present value of…

Q: Each month Lara invests $100 in an account earning 4% annual interest compounded monthly. a)find the…

A: Annuity refers to an investment which involves a series of regular payments for a certain period of…

Q: Tandang Sora has deposited P33,000 today in an account which will earn 10 percent annually. She…

A: Given information: Present value : P33,000 Rate of interest : 10% Time period : 7 years Future…

Q: Steffi Derr expects to invest $10,000 annually that will earn 8%. How many annual investments must…

A: Future value: It can be defined as the value of an investment or any asset at a specified future…

Q: Jacqueline invests $12000 for 8 years and 8 months. The account earns 11% semiannually. What is n…

A: Investment = $12000 Time of Investment = 8 Years and 8 Months Interest Rate = 11% per year…

Q: A woman deposits $12,000 at the end of each year for 15 years in an investment account with a…

A: The question is based on the concept for calculation of the future value by use of compounding…