Jordan purchased an annuity that had an interest rate of 4.00% compounded semi-annually. It provided her with payments of $1,000 at the end of every month for 6 years. If the first withdrawal is to be made in 4 years and 1 month, how much did she pay for it?

Q: Shawn purchases a retirement annuity that will pay him $1,000 at the end of every six months for the…

A: Present value of annuity Annuity is a series of equal payments at equal interval over a specified…

Q: Adam purchases a retirement annuity that will pay him $1,500 at the end of every six months for the…

A: Semi Annual Payment  $              1,500.00 Time Period (years) 8 Interest rate 4% Monthly…

Q: Andrea is depositing P4, 000 each month in an ordinary annuity that pays 2% interest compounded…

A: Note: We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

Q: Asa has invested money from the settlement of an insurance claim. She plans to withdraw $1,920 from…

A: Fist we need to calculate present value of all withdrawals by using present value of ordinary…

Q: Laura purchases a retirement annuity that will pay her $2,500 at the end of every six months for the…

A: Present value of annuities will be the equivalent value of future cash flow to be received in the…

Q: Sarah secured a bank loan of $185,000 for the purchase of a house. The mortgage is to be amortized…

A: Repayment of loan is made in fixed instalment of same amount which includes interest and part of…

Q: Amishi deposited $800, at the end of each six months for 19 years in a savings account. If the…

A: The future value of an annuity is the value of a series of equal payments each period calculated at…

Q: Sammi deposits $12000 at the beginning of each 6-month period into a special savings account. This…

A: Annuity due refers to the series of equal payments that are made at the beginning of each period at…

Q: fran purchased an annuity that provides 6200 quarterly payments foe the next 10 years. The annuity…

A: Annuity Extension ratio (Return on capital per payment) = Cost of annuity / (Number of years* 4…

Q: Helen contributed $500 at the end of every month for the past 5 years into an RRSP account, earning…

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

Q: Karen deposits 700 each month into an annuity that pays 12% annual interest at the end of each year.…

A: solution given Deposits each month (p) 700 Rate of interest (r) 12% Time period…

Q: Lily purchased a boat valued at $19 000 on an installment plan requiring equal monthly payment for…

A:

Q: Jennifer invests $2,400 at the end of each year for 11 years in an ordinary annuity at 10% interest…

A: Periodic Payment = $2,400 Time Period = 11 Years Interest Rate = 10%

Q: Anna purchases a retirement annuity that will pay her $2,000 at the end of every six months for the…

A: A concept through which it is studied that the current worth of money is higher than its future…

Q: Mary buys a 20 year annuity immediate for $100,000 subject to 6% effective annual interest rate. The…

A: Total number periods in annuity are 20 Purchase price of annuity is $100,000 Effective interest rate…

Q: Karen deposits 300 each month into an annuity that pays 8% annual interest at the end of each year.…

A: Future value of annuity =PMT [{(1+i) n-1}/i]*(1+i) Where i=periodic interest rate n=number of…

Q: Robert has borrowed $339,000 to purchase a house in the current year at 5.5% interest rate, with a…

A: Mortgage/ Borrowings:  Borrowings are the loan which is taken by the individual to meet its…

Q: While buying a new car, Julia made a down payment of $800.00 and agreed to make month-end payments…

A: Loan is contract between lender and borrower where lender provide funds to borrower that is repaid…

Q: Shelby purchases a retirement annuity that will pay her $3,000 at the end of every six months for…

A: Present value of the money would be price that maximum price that can be paid for that kind of…

Q: Reggie availed of a deferred payment scheme from a bank that gave her an option to pay ₱5,500…

A: solution given Monthly payment 5500 Rate of interest 12% annual Compounding…

Q: Amanda purchases a retirement annuity that will pay her $2,500 at the end of every six months for…

A: The term "annuity" depicts a series of cash flows with equal amounts occurring at equal time…

Q: Leon and Heidi decided to invest $2,500 annually for only the first eight years of their marriage.…

A: Amount invested annually “PMT” = $2500 Number of years of investment “n” = 8 Annual rate “r” = 8%…

Q: CFJ deposited P175,000 every 6 months for 5 years with an interest of 12% compounded semi-annually.…

A: The future value can be calculated using the FV Function in excel. FV = (RATE, NPER, PMT, PV, TYPE)…

Q: Jennifer opted for the plan that will pay her $ 52,000 annually for 15 years. The cash will be paid…

A: Honor code: Hi, there, thanks for posting the question. As per our Q&A honor code, we must…

Q: Jane bought a $3,000 audio system and agreed to pay for the purchase in 10 equal annual installments…

A: Compute the amount of the annual installment. Amount to be borrowed is $3,000, Rate of interest is…

Q: Anne purchased an annuity from an insurance company that promised to pay her $11,000 per year for…

A: Part of each $11,000 payment represents a return of the original $87,450 investment, plus $22,550…

Q: Amy purchases an annuity that will give her payments of R at the end of each quarter for seven…

A: An Annuity Due is a stream of regular periodic payments made at a beginning of period for a…

Q: John borrows $15000 for 5 years at an annual effective interest rate of %9. At the end of each year…

A: Computation:

Q: Minu deposits $950 at the end of each quarter for 6 years in an account that earns 1.8% per year…

A: As the number of compounding period increase than the effective interest rate increases and more…

Q: Diane wants to receive annuity payments of $2500 at the beginning of each quarter for eight years.…

A: The present value of annuity refers to the current value of the future payments from the payment…

Q: Sarah secured a bank loan of $165,000 for the purchase of a house. The mortgage is to be amortized…

A: Given information: Bank loan amount is $165,000 Term of mortgage payments is 15 years Interest rate…

Q: Tameshia deposits $5500 in her retirement account every year. If her account pays an average of 6%…

A: We get future value of depositsUse FV function in excel Type =FV and press tab key. Type 6%,  (this…

Q: Cindy and Rick purchased a home for $145,000 and financed it with a 30-year fixed-rate loan at 6.25%…

A: Introduction Mortgage Loan: A mortgage is a loan that a borrower takes out to buy or retain a house…

Q: Asa has invested money from the settlement of an insurance claim. She plans to withdraw  $4,640 from…

A: The cash flows discussed here are a form of an annuity. To compute the value of insurance claims we…

Q: When she was 6 years old, Jane’s parents set up an annuity for her college education, with the first…

A: Since, the payments are semiannual, Number of payment periods = 2 * years  Since payment will…

Q: Mdm. Chan, a retiree, purchased an annuity product with a lump sum of $200,000. The annuity promises…

A: An annuity is the fixed payment that an investor receives from an investment or fixed deposits made…

Q: Sarah secured a bank loan of $200000 for the purchase of a house. The mortgage is to be amortized…

A: Excel Spreadsheet: Excel Workings:

Q: To help out with her retirement savings, Kaitlin invests in an ordinary annuity that earns 4.8%…

A: Rate of Interest = 4.8% Compounded Monthly Time Period(t) = 18 years  n = 12 Future Value = $97,000…

Q: Peter makes a deposit at the end of every three months into a savings account that earns interest at…

A: Interest earned on savings - 3.2% quarterly Period for which it is saved - 9 years Conversion of…

Q: Sarah secured a bank loan of $200,000 for the purpose of purchasing a home. The mortgage is to be…

A: Calculation for remaining balance for repaying loan after 5 years is shown below: Hence, the…

Q: Stephanie purchases a retirement annuity that will pay her $3,000 at the end of every six months for…

A: formula for annuity PVA=A×1-11+rmn×mrm where, r=rate of interest m =frequency of compounding A=…

Q: Suppose Brianna invests $1300 each year for 5 years, in annuity that pays 6% annual interest,…

A: Future value of annuity  = P * [ (1+r)^n  - 1 ] /r  Where, P = 1300 r = 6% n = 5 years

Q: Hank made payments of $106 per month at the end of each month for 30 years to purchase a piece of…

A: Here, Monthly payment = $106 per month Total number of years = 30 years Selling price of property =…

Q: blake purchased an annuity that had an interest rate of 2.50% compounded semi- annually. it provided…

A: Solution- 2.50% interest rate semianually=2.52=1.25%=1.25100=1+r6-1=1+r=1.002072Monthly…

Q: Annette has just inherited $180,000. She invests this money at a rate of return of 6.47% per year…

A: Given: Present value $180,000 Rate 6.47% Another annuity $2,851 Years 20 Compounding…

Q: Dana has made a down payment of $100,000 on a recent home purchase for $300,000. She was able to…

A: Using excel PMT function

Q: Maryanne purchases a house for $380,000 and takes a mortage for the full amount. Her mortgage…

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

Q: Jane bought an audio system and agreed to pay for the purchase by making four equal annual…

A: The total cash payments of $4,200 are the sum of the total amount of installment paid in 4 years,…

Q: Lisa purchased an annuity that had an interest rate of 3.00% compounded semi-annually. It provided…

A: The purchase price of an annuity corresponds to current worth of annuity payments that make investor…

Q: Sarah secured a bank loan of $200,000 for the purchase of a house. The mortgage is to be amortized…

A: Here, Loan Amount is $200,000 Time Period is 15 Years Therefore, Monthly Time period will be:…