Today you deposit $1000 into a new investment account. You make the same deposit one month later, and continue making the same monthly deposit each and every month. You make the last deposit two years from today. If the balance in the account immediately after you make the last deposit is $26,559.12, what is the monthly interest rate the account pays (rounded as shown in the answers below)? O 0.087% O 0.050% O None of the other answers are correct O 0.500%

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A: Perodic Payment(PMT) is $6,000 Per Year Interest rate is 10.3% Time Period 25 years & 50 Years…

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A: Future value is referred to as the value of the current asset in future date on the basis of an…

Q: You are to make monthly deposits of $625 into a retirement account that pays an APR of 11.4 percent…

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Q: If you make quarterly deposits of $415.00 into an ordinary annuity earning an annual interest rate…

A: Future value of an annuity depends on the regular payments and interest rate applicable on the…

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Q: You deposit $7,000 into an account earning interest at a 7% APR.  You keep the money in the account…

A: Initial deposit = $7,000 Interest rate = 0.07 or 7% Period = 5 years Money in account at the end of…

Q: You deposit $4,000 today in a bank that promises to pay an annual interest of 8%? a. What is future…

A: (1) (a.) FV =PV*(1+r)^n =4000*(1+8%)^12 =10072.68 (b.) If rate =8% with monthly compounding FV…

Q: You deposit 54000 in an account that pays 6% interest compounded semiannually After 4 years the…

A: First, calculate value after 4 years:  Future Value (End of 4 years)=Deposit×1+Interest…

Q: enny puts $200 into a savings account today, the account pays an annual interest rate of 5%, but…

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Q: If you deposit $20,000 per year for 18 years (each deposit is made at the beginning of each year) in…

A:

Q: You just deposited $3,500 in a bank account that pays a 4.0% nominal interest rate, compounded…

A:

Q: You plan to deposit $4,900 at the end of each of the next 15 years into an account paying 11.3…

A: Solution- Given that P=$4900 r=11.3% n=15 years Future value of Annuity- =P * [ (1+r)^n -1] /r

Q: You want to be able to withdraw $8500 from an account at the end of each 6-month period (that is,…

A: Given that;Periodic withdrawal amount is $8500Interest rate is 2.9% per year

Q: Suppose you are depositing an amount today in an account that earns 5.25% interest, compounded…

A: The amount of deposit to be made today can be calculated using the Present Value Formula

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A: The future value is the amount that will be received at the end of a certain period. In simple…

Q: Suppose are going to make monthly deposits into an account with an annual interest rate of [8] 2.5%…

A: For calculating the monthly deposit as ordinary annuity; the $1,000,000 amount shall be taken as the…

Q: You make a one-time $3,088 deposit into an account which pays 2.8% compounded weekly. If you don't…

A: using excel fv function

Q: Suppose we are going to make monthly deposits in to an account with an annual interest rate of 4.1%…

A:

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A: Future value is the expected value of an investment at a future date at given rate of return. given:…

Q: How long will it take to save $2581.00 by making deposits of $227.00 at the end of every month into…

A: Amount to be saved is $2581.00 Interest rate is 7% compounded monthly Monthly deposit $227 To Find:…

Q: You plan to make five deposits of $1,000 each, one every 6 months, with the first payment being made…

A: Hi there, Thanks for posting the question. But, per Q&A honor code, The solution for the first…

Q: Assume you have secured a loan of $10,000 from a bank which will be paid in one year. The fin bank…

A: Loan: The duration of a loan, or the amount of time it takes for a loan to be repaid in full when…

Q: You plan to deposit $500 in a bank account now and $600 at the end of the year. If the account…

A: Solution: The amount in account after second deposit will be the future value of first deposit and…

Q: An investment promises to pay into an account that pays you 6 percent annually, $150 per month for…

A: In this question, first of all, we have to calculate the future value of the annuity in the next 20…

Q: An investment promises to pay into an account that pays you 6 percent annually, $150 per month for…

A: For this first find out future value factor annuity and find future value and than find value at end…

Q: You plan to make 15 annual deposits in a saving account that pays 6% interest compounded annually.…

A: Future Value = Present Value * (1+r)^nWhere,r = rate of interest per periodn = no. of compounding…

Q: Suppose an investor plans to make monthly deposits into an account that pays 9% interest, compounded…

A: Here we will use the formula to calculate the amount to be paid monthly. We will take the period as…

Q: You plan to deposit $500 in a bank acoount now and $300 at the end of the year f the account eams S%…

A: The conceptual formula used:

Q: how much is this account worth in today's dollars?

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Q: You are planning for your future by depositing lump sum into a time deposit account, what amount…

A: Annuity is a series or level of cash flows that occur at the particular time periods.  It is the…

Q: You plan to deposit $5,600 at the end of each of the next 20 years into an account paying 10.8…

A: making periodic payments is called annuity, thus we will be finding future value of annuity. We can…

Q: You plan to deposit $700 in a bank account now and $900 at the end of one year. If the account earns…

A: Simple interest is a method of calculating the percentage of interest paid on a sum over a defined…

Q: If you deposit $110 every month for the next 7 years, with first deposit to be made today and all…

A: In this we have to calculate equivalent monthly compounding rate and calculate the future value.

Q: You have $29,307.61 in a brokerage account, and you plan to deposit an additional $4,000 at the end…

A: The number of years required to accomplish the goal can be find out by using the future value of…

Q: If you invest $2,589.70 in an account earning an annual interest rate of 2.539% compounded monthiy,…

A: In order to achieve a goal in future, an investment can be made at present date so that when the…

Q: You want to be able to withdraw $4500 from an account at the end of each 6-month period (that is,…

A: Using Excel PV function

Q: You invest $1,000 in a certificate of deposit that matures after 10 yaers and pays 5 percent…

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Q: Assume  you have secured a loan of $10,000 from a bank  which will be paid in one year. The fin bank…

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A: In order to take investment decisions, the investor will look forward for evaluation. The evaluation…

Q: Suppose that for retirement purposes, over the course of 27 years, you make monthly deposits of…

A: given information monthly deposits = $480  interest rate = 4.954%

Q: You will be able to deposit $4,000 at the end of each of the next 5 years in a bank account paying…

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Q: An investment promises to pay into an account that pays you 6%  annually, $150 per month for the…

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Q: You have $23,067.36 in a brokerage account, and you plan to deposit an additional $6,000 at the end…

A: The computations as follows: Hence, it will take 14 years to reach your goal.