Present and future value tables of $1 at 3% are presented below. PVAD $1 N FV $1 PV $1 1 1.03000 0.97087 FVAD $1 1.0300 1.00000 2.0909 1.97087 3.1836 2.91347 4.3091 3.82861 4.71718 5.57971 6.41719 FVA $1 PVA $1 1.0000 0.97887 2 1.06090 0.94260 2.0300 1.91347 3 1.09273 0.91514 3.0909 2.82861 4 1.12551 0.88849 4.1836 3.71710 5 1.15927 0.86261 5.3091 4.57971 5.4684 6 1.19405 0.83748 6.4684 5.41719 6.6625 7 1.22987 0.81309 7.6625 6.23028 7.8923 8 1.26677 0.78941 8.8923 7.01969 9.1591 9 1.30477 0.76642 10.1591 7.78611 10.4639 10 1.34392 0.74409 11.4639 8.53020 11.8078 8.78611 11 1.38423 0.72242 12.8078 9.25262 13.1920 9.53020 12 1.42576 8.70138 14.1920 9.95400 14.6178 10.25262 13 1.46853 0.68095 15.6178 10.63496 16.0863 10.95400 14 1.51259 0.66112 17.0863 11.29607 17.5989 11.63496 15 16 1.68471 0.62317 20.1569 12.56110 28.7616 12.93794 7.23028 8.01969 1.55797 0.64186 18.5989 11.93794 19.1569 12.29607 Carol wants to invest money in a 6% CD account that compounds semiannually. Carol would like the account to have a balance of $50,000 five years from now How much must Carol deposit to accomplish her goal?
Present and future value tables of $1 at 3% are presented below. PVAD $1 N FV $1 PV $1 1 1.03000 0.97087 FVAD $1 1.0300 1.00000 2.0909 1.97087 3.1836 2.91347 4.3091 3.82861 4.71718 5.57971 6.41719 FVA $1 PVA $1 1.0000 0.97887 2 1.06090 0.94260 2.0300 1.91347 3 1.09273 0.91514 3.0909 2.82861 4 1.12551 0.88849 4.1836 3.71710 5 1.15927 0.86261 5.3091 4.57971 5.4684 6 1.19405 0.83748 6.4684 5.41719 6.6625 7 1.22987 0.81309 7.6625 6.23028 7.8923 8 1.26677 0.78941 8.8923 7.01969 9.1591 9 1.30477 0.76642 10.1591 7.78611 10.4639 10 1.34392 0.74409 11.4639 8.53020 11.8078 8.78611 11 1.38423 0.72242 12.8078 9.25262 13.1920 9.53020 12 1.42576 8.70138 14.1920 9.95400 14.6178 10.25262 13 1.46853 0.68095 15.6178 10.63496 16.0863 10.95400 14 1.51259 0.66112 17.0863 11.29607 17.5989 11.63496 15 16 1.68471 0.62317 20.1569 12.56110 28.7616 12.93794 7.23028 8.01969 1.55797 0.64186 18.5989 11.93794 19.1569 12.29607 Carol wants to invest money in a 6% CD account that compounds semiannually. Carol would like the account to have a balance of $50,000 five years from now How much must Carol deposit to accomplish her goal?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
Subject:
Transcribed Image Text:Present and future value tables of $1 at 3% are presented below.
FVAD $1
PVAD $1
N FV $1 PV $1
1 1.03000 0.97087
PVA $1
0.97087
1.0300
1.00000
1.91347 2.0909 1.97087
2.91347
3.82861
4.71710
2 1.06090 0.94260
3 1.09273 0.91514
4 1.12551 0.88849
5 1.15927 0.86261
6 1.19405 0.83748
7 1.22987 0.81309
8 1.26677 0.78941
9 1.30477 0.76642
10 1.34392 0.74409
5.57971
6.41719
FVA $1
1.0000
2.0300
3.0909 2.82861 3.1836
4.1836 3.71710 4.3091
5.3091 4.57971 5.4684
6.4684 5.41719 6.6625
7.6625 6.23028 7.8923
8.8923 7.01969 9.1591 7.23028
10.1591 7.78611 10.4639 8.01969
11.4639 8.53020 11.8078 8.78611
12.8078 9.25262 13.1920 9.53020
14.1920 9.95400 14.6178 10.25262
15.6178 10.63496 16.0863 10.95400
17.0863 11.29607 17.5989 11.63496)
19.1569 12.29607
11 1.38423 0.72242
12 1.42576 0.70138
13 1.46853 0.68095
14 1.51259 0.66112
15
1.55797 0.64186 18.5989 11.93794
16 1.60471 8.62317 20.1569 12.56110 28.7616 12.93794
Carol wants to invest money in a 6% CD account that compounds semiannually, Carol would like the account to have a balance of $50,000 five years from
now How much must Carol deposit to accomplish her goal?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.Recommended textbooks for you
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Foundations Of Finance
Finance
ISBN:
9780134897264
Author:
KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:
Pearson,
Fundamentals of Financial Management (MindTap Cou…
Finance
ISBN:
9781337395250
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Finance
ISBN:
9780077861759
Author:
Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:
McGraw-Hill Education