Maryam wants to accumulate SR150,000 at end of year 12. To do this she will deposit 10 equal annual amounts starting from end of year 1. The bank uses 9% interes compounded annually. What is the magnitude of the annual payments? Answers: SR 12,167 SR 9,873 SR 15,010 SR 10,531

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A: In this we have to calculate present value of cash flow withdrawal.

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A: A periodic payment is the set of payments that a borrower makes to the lender or the deposits that…

Q: Suppose you deposited $1,000 in a credit union account that pays 7% with dailycompounding and a…

A: Excel Spreadsheet:

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A: Effective annual rate is calculated using the formula: EAR=1+rmm-1=1+12%22-1=1.062-1=12.36%

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

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A: Amount Deposited each year is P10,000 Time period is 9 years Interest rate is 14 % compounded…

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A: 1) Simple interest rate of First City Bank (r) = 7% Compound interest rate of Second City Bank (i) =…

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A: Present Value of Ordinary Annuity refers to a concept that determines the value of cash flows at…

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A: In this we have to calculate the future value of the present value.

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A: the answer with complete calculation are as follows

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A: Deposit amount (D) = $235000 n = 3.5 years r = 8% Let annuity at the end of each year = A

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

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A: In finance, the term annuity represents a stream of cash flows that contain an equivalent periodic…

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Q: 9th deposit is m

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A: Present value of perpetuity = C/r C is perpetual cash flows and r is interest rate the time period…

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A: Future value = Present value * (1 + Interest rate)^number of years

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

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A: Number of annual deposits (n) = 6 Interest rate up to 6 years (r) = 10% Interest rate after 6 years…

Q: Elizabeth Brown has $23,000 that she can deposit into a savings account for five years. Bank A…

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A: Introduction: Amount which is deposited into an account now is referred to as present value. The…

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A: ASSUMING THE PRESENT VALUE (INVESTMENT)= 1000 FIND OUT FUTURE VALUE OF INVESTMENT    ANNUALLY…

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A: Comment: The Question is Multipart, so SME will answer only three subparts. For the rest of the…

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A: Borrowings are the liability that is used to finance the requirement of the funds. The borrower…

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A: Honor code: Since you have asked multiple questions, we will solve the one question for you. If you…

Q: Bank A pays 8% simple interest on its savings account balances. Bank B pays 7% interest compounded…

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Q: Robert wants to have $2,300 at the end of every three months for 8 years. The bank pays 8% interest,…

A: Here, To Find: Present value of annuity due =?

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A: Periodic withdrawal is calculated by present value of annuity formula. Present value of annuity…

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A: Interest rate = 2% quarterly compounded Monthly deposit (M) = P 3000 n = 5 years = 60 months