On his 40th birthday, Mr. Ramos decided to buy a pension plan for himself. This plan will allow him to claim P10,000 quarterly for 5 years starting 3 months after his 60th birthday. What one-time payment should he make on his 40th birthday to pay off this pension plan, if the interest rate is 8% compounded quarterly? A. P163,514.33 B. P33,538.38 C. P430,983.52 D. P397,445.14

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A: Solution Step (1) Individual Retirement Account [IRA] An individual retirement account (IRA) may be…

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A: Annuity grow by some constant amount of gradient and due to this growth amount grow much amount.

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A: Computation of present value at the age of 60 is as follows:

Q: 9. Daniel Plans to fund his individual retirement account, beginning at the end of each year with 20…

A: The future value is the future worth of the amount that will be paid or received at future.

Q: Macon would like to begin planning for retirement. He has as of his 60th birthday collected $200,000…

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Q: What is the total amount at the end of the 10th year of the above series?

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

Q: On his 40th birthday, Mr. Ramos decided to buy a pension plan for himself. This plan will allow him…

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A: Here,

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A:

Q: Timmie wishes his son Timmeus to receive P203B ten years from now. What amount should he invest if…

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Q: After graduating from school, Carl, 30 years old, wants to make a retirement plan for his future…

A: As your question contains multiple sub-parts, we would be answering only first three. For the…

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Q: s

A: Given  n =30 i =11%   Now Find the value of his account when he is 60 years old.

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A:

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A: Computation:

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Q: Samuel Survivor is planning to save for retirement 35 years from now. He expects to live 25 years…

A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…