Justin wants to save $45,000 to buy a new car in 5 years without obtaining a loan. He knows he can invest the money in a CD (certificate of deposit) earning 6.3% annually. How much money does Justin need to invest today?     $3514.78     $5314.80     $15433.78     $33,154.78

Q: Rick has an income of $100,000 that he is willing to spend over a year. If his bank account is…

A: Cash Management refers to make number and amount of withdrawals efficiently to make opportunity cost…

Q: ther wants to start food cart business. He promised to give back your money aft

A: Interest is the amount on the principal invested or loan, at a certain rate.

Q: Mike Wilson, is an Uber driver and wants to buy a new car in 6 years.  He estimates the vehicle will…

A: Future value of a present value is the value of that amount after taking into account the time value…

Q: Suppose Chris starts saving in 3 years from today. He will save $20,000 each year for 6 years (until…

A: The present value uses the principle of the time value of money and states that a particular sum of…

Q: Jane wants to buy a brand new Toyota Corolla, model year 2021. Today's out-of-the- door cost of the…

A: In this, we need to calculate the simple interest and then find out the monthly payment. Simple…

Q: minimum price Hank would need to receive for his car

A: SOLUTION: Loan amount = $20,000 Interest Rate = 9% Time period = 5 years PV=FV(1+i)n Loan Amount…

Q: A man decided to save to buy a new $30,000 car to take care of his family in his hometown.He has…

A: A. Time to be taken can be computed as follows : Calculations :

Q: Bayan wants to buy a house in six years. She hopes to be able to put down OMR 25000 at that time. If…

A: CD stands for certificate of deposit. In this instrument, a customer can deposit money in a bank and…

Q: To buy his favorite car, Larry is planning to accumulate money by investing his Christmas bonuses…

A: Future value = Present value * ( 1 + rate)time

Q: 4. Holly wants to have $200,000 to send a recently born child to college. She sets up a 529 plan and…

A: In this question,  we need to find the constant amount that Holly has to invest at the end of each…

Q: Pretend that you are saving up for a down payment on a car or house. Pretend that we get an…

A: A savings account seems to be an account that is opened by a salaried person. It is a very basic…

Q: Alvin’s Uncle Arnold gave him $16,000 from selling the old family farm. Alvin wants to start college…

A: Today’s worth of dollars at a later date is the Present Value of the dollar. For example, the value…

Q: Mike Smith just turned 16 years old. He wishes to buy a used car in one year, and he is willing to…

A: The value of money changes with time. Therefore, the time value of money considers the money…

Q: Jane is planning on saving for a car purchase in 8 years, however, she can only contribute to the…

A: Here we will use the concept of annuities and time value of money. The amount invested by Jane at…

Q: Mr. Emre has reached his sixtieth birthday and is ready to retire. Mr. Emre has no formal education…

A: Annual worth distributes present worth into equivalent uniform value over its useful life.

Q: In four years of employment, John was able to save P250,000 after he had invested on purchasing a…

A: The stock market is a location where traders may purchase and sell equities,investors can invest in…

Q: ie wants a new smart TV/sound system that costs $1,250. He does not have that much in cash to…

A: Hire purchase is a method of purchasing high-priced consumer items in which the buyer pays a deposit…

Q: Mr. Emre has reached his sixtieth birthday and is ready to retire. Mr. Emre has no formal education…

A: Real rate: It is the rate in which the effect of inflation has been adjusted.

Q: Sarah wants to save $20,000 to use for a down payment on a home. She deposits some money into a…

A: Individuals can save for expenditure by investing in financial instruments in which money grows at a…

Q: Raya is saving for a new car. He needs to have OMR 21000 for the car in three years. How much will…

A: Given: Future value = OMR 21,000 Interest rate = 8% Years = 3

Q: Bart Simpson, age 10, wants to be able to buy a car when he turns 16. The car costs 15,000 today and…

A: Time Value of money states that a dollar today is worth more than a dollar tomorrow, as it has…

Q: Kayla wants $7,000 saved in 4 years to make a down payment on a house. How much money should she…

A: Amount that needs to be invested now to meet her goal = 5795.20

Q: Jharold need P4,000 per year for four years to go to college. His father invested P5,000 in 7%…

A: Required:Amount in the account at the end of 21st birthday.

Q: How much should she invest at the end of every year in an investment fund that earns 9% annually to…

A: Time value of money (TVM) refers to the method used to measure the amount of money at different…

Q: Santo plans to invest his money for 10 years for his son's university education. His son Brian is 10…

A: We need to use the concept of time value of money (TVM) to solve the question. According to TVM, the…

Q: a 20 year old college student wants to save $3 a day for her retirement. Every day she places $3 in…

A: 1) For a period of 45 years (65-20) an amount of $1095 is deposited in the brokerage account each…

Q: Wally wants to buy a house instead of renting, and has found a bank that is ready to loan him a…

A: Here, Interest Rate is 5% per year Time Period to live in the house is 15 years Value of Home at the…

Q: If he accumulates $5,000,000, his parents have offered to match his savings. He invests $2,000,000…

A: This problem can be solved in light of present value and future value. The amount in a savings…

Q: George Robinson is a high school sophomore. He currently has $7,500 in a savings account that pays…

A: Given:

Q: Booker graduated from Baruch 10 years ago and now wants to buy his first condo. He has saved enough…

A: A mortgage is a sum of money obtained from outside sources such as banks and returned over time in…

Q: For college graduation, Jose's dad gives him $15,000 toward a car. Jose thinks it through: With 10K…

A: Investment amount (P) = $15000 Amount required = $35000 r = 12% n = 8 years

Q: 3) Nalani and Steven, both in their early 20s, recently married and want to plan to save money so…

A: Concept of the time value of money Time value of money is a core principle of finance according to…

Q: Jino sold his house. In addition to cash, he took a mortgage on the house. The mortgage will be paid…

A: C = Monthly payment i.e. P12,345 r = Monthly interest rate i.e. 0.01 n = Monthly period i.e. 120 (10…

Q: Aina just got her driver license, and she wants to buy a new car cost for RM70,000. She has RM3,000…

A: Cost of Car = Required Future Value = 70,000 Investment = 3,000 Union Bank Interest Rate = 10.8%/12…

Q: Paul wants to accumulate P150,000 in order to make the down payment for a new car. He plans to…

A: It can be calculated using  =NPER(rate,pmt,pv,[fv],[type]) Rate The interest rate for the loan.…

Q: Theadre Adams wants to open an accounting firm once she gets out of college in 4 years.  She has…

A: Future value of annuity is the value of stream of recurring cashflow compounded to future date at…

Q: Raya is saving for a new car. He needs to have OMR 21000 for the car in three years. How much will…

A: Present worth refers to the current value of the amount or series of cash inflows which an investor…

Q: Mr. Franklin wants to save for a new sports car that he expects will cost $38 000 four and one-half…

A: Given: Future value = $38,000 Periods = 4.5 years Interest rate = 6%

Q: erry wants to take the next three years off work to travel around rhe world. he estimates his annual…

A: Amount to be Invested Today = Annual Expenses  X Present value of annuity of $ 1 at 6% for 3 years

Q: Tait is entering high school and is determined to save money for college. Tait feels he can save…

A: Formula: Having amount when college starts = Investment amount x Future value of ordinary annuity…

Q: Your parents agree to pay half of the purchase price of a new car when you graduate from college.…

A: Future Value of an investment is value of an investment today which would earn an interest on the…

Q: Ed wants to start saving for retirement by investing in his 401(k). Over the next 30 years, he wants…

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

Q: If Cheryl has four years until she gets her driver’s license, will she have enough to buy a used car…

A: Future value: It is the value of the sum of money in the future, compounded at a specific interest…

Q: Your parents agree to pay half of the purchase price of a new car when you graduate from college.…

A: The simple interest is calculated by multiplying interest rate by principal amount for a certain…

Q: Trae needs to buy a car, but he doesn’t have any money for a down-payment and can only afford $190…

A: Time value of money (TVM) refers to the method used to measure the amount of money at different…

Q: Mr. Emre has reached his sixtieth birthday and is ready to retire. Mr. Emre has no formal education…

A: note : Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the…

Q: Jack and Jill are saving for a rainy day and decide to put ​$60 away in their local bank every year…

A: Future value is the value of current cashflow at the future date compounded at the specified rate.…

Q: A high school student received from his wealthy ant $15,000. He decided to put it in an account…

A: Here, Amount Received today (PV) is $15,000 Amount Required (FV) is $25,000 Interest Rate (r) is…