The 40-year-old makes a contract by paying the 6500 TL he has to the insurance company. If the evaluation is made with 3% interest rate, how much can the person receive when he reaches the age of 70?
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The 40-year-old makes a contract by paying the 6500 TL he has to the insurance company. If the evaluation is made with 3% interest rate, how much can the person receive when he reaches the age of 70?
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- Betty Kay has a contract in which she will receive the following payment for the next 5 year: $1,000, $2,000, $3,000, $4,000 and $5,000. She will then receive an annuity of $8,500 a year for the end of the 6th through the end of the 15th year. She is offered a $30,000 to cancel the contract. If the payments are discounted at 14 percent should she cancel the contract? Showallworkings.Betty Kay has a contract in which she will receive the following payment for the next 5 year: $1,000, $2,000, $3,000, $4,000 and $5,000. She will then receive an annuity of $8,500 a year for the end of the 6th through the end of the 15th year. She is offered $30,000 to cancel the contract. If the payments are discounted at 14 percent should she cancel the contract? Show all workings. Please use a Financial Calculator to answer this question. Do not use excelBetty Kay has a contract under which she will receive the following payment for the next 5years: $1,000, $2,000, $3,000, $4,000 and $5,000. She will then receive an annuity of $8,500a year for the end of the 6th through the end of the 15th year. She is offered $30,000 to cancelthe contract. If the payments are discounted at 14 percent should she cancel the contract? Showall workings.
- Donald buys a machine from Biden Manufacturer and signs a contract that calls for a down payment of $18000 and for the payment of $800 at the end of every month for 8 years. The interest rate is 12% p.a. compounded quarterly. If Joe missed the first 15 payments of $800, what must he pay at the time the 16th payment is due to discharge his indebtedness completely?Ms. Lun is earning P20,000 per month. She plans to invest in an insurance company an amount equivalent to 10% for his earnings. The insurance company offers 10% percent on his annual contributions at the end of each year, how much will she have at the end of the tenth year? a. 12,290 b. 20,000 c. 31,874 d. 382,498A self-employed person deposits $3,000 annually in a retirement account (called a Keogh or H.R. 10 plan) that earns 8 percent. How much will be in the account when the individual retires at the age of 65 if the savings program starts when the person is age 40?
- An employee is earning P 18,511 a month and he can only afford to purchase a car which will require a down payment of P 85,000 and a monthly amortization of 30% of his monthly salary. What would be the maximum cash value of a car he can purchase if the seller will agree to a down payment of P 82,000 and the balance payable in four years at 18% per year payable in monthly basis. The first payment will be due at the beginning of the first month.When your firm hires a new employee this year, it is obligated to contribute GBP £5,000 to a defined contribution plan for that employee, one year after the hire date. The contribution must be adjusted annually for inflation. Assume that inflation will be a constant 2.0% a year from this point forward. What is the pension cost to you of hiring a 30 year old who will be with the company for 32 years if the appropriate discount rate is 10%? Round your answer to the nearest pound.A man who is 30 years old at the start of the year, is considering getting an MFM degree. He currently earns $40,000 per year and expects to continue earning that amount for the rest of his working life (until age 65). He will give up his income for two years and will pay $20,000 per year in tuition, if he attends business school. In exchange, he expects a raise in his salary after completing his MFM. Assume that the post-graduation salary grows at a 5% annual rate and that the discount rate is 8%. What is the minimum expected starting salary after graduation for him that makes attending business school a positive-NPV investment? (Assuming that all cash flows happen at the end of each year.) Use Time Value of Money calculations.
- Rean gets a job with a starting monthly salary of 20,000.She is promised by her employer to receive a monthly increases od 1,725 each year. How much will her annual salary be after 10 yearsYour employer contributes $50 a week to your retirement plan. Assume that you work for your employer for another thirty years and that the applicable discount rate is 9 percent. Given these assumptions, what is this employee benefit worth to you in 30 years?Sam Smith is currently employed as a mechanical engineer and is paid$65,000 per year plus benefits that are equal to 30 percent of his salary. Sam wants to begin a consulting firm and decides to leave his current job.After his first year in business, Sam’s accountant informs him that he hasmade $45,000 with his consulting business. Sam also notices that he paid$6,000 for a health insurance policy, which was his total benefit during hisfirst year. What was Sam’s opportunity cost?