What formula do I use to solve this? If John wants to retire with $10000 per month, how mich principal is necessary to generate this amount of monthly income if the interest rate is 6%

Q: Your daughter will start college one year from today, at which time the first tuition payment of…

A: Using excel PV function

Q: If your account earns 9% interest compounded monthly, how much will you need to deposit each month…

A: Present Value of Annuity: It represents the present value of a future stream of annuity cash flows.…

Q: Spencer would like to purchase a new car for $12,000.  How much will his monthly payments be if he…

A: The monthly payment amount can be calculated with the help of present value of annuity function.

Q: You want to be able to withdraw $40,000 from your account each year for 15 years after you retire.…

A: The Present Value of this withdrawal is computed as follows: Withdrawal = $40,000 Time period = 15…

Q: ohn wants to retire with $10,000 per month, how much principal is necessary to generate this amount…

A: in this we have to calculate Present value of perpetuity.

Q: Luis has $160,000 in his retirement account at his present company. Because he is assuming a…

A: Given: Amount in retirement account = $160,000 Annual payment = $2,000 Years =22 Interest rate = 8%

Q: Suzan Long is considering buying a home for$350,000.(a) If she makes a down payment of $50,000…

A: In this problem, a person purchases a home for $350,000 and make down payment of $50,000. The…

Q: Felix Jones, a recent engineering graduate, expects a starting salary of $35,000 per year. His…

A: Solution : Due to averaged Increment in salary was 5% for last several years & interest rate was…

Q: anny is saving towards his vacation. He has determined that the total cost including airfare and…

A: Given:   Cost of vacation 5000 Monthly savings  400 Time of deposit Month-end Annual…

Q: Jason has an opportunity to save $145 per month at an APR of 5.75% in a 401K plan through work. He…

A: 401K is retirement plan offered by different financial institution in which individuals make monthly…

Q: JOSH WANTS TO BUY A HOUSE AND WOULD NEED A $200,000 LOAN. HE WILL AMORTIZE THE LOAN FOR OVER 15…

A: Solution Firstly lets calculate the annual installment Annual installment          = loan amount/…

Q: How many years would it take save an adequate amount for retirement if he deposits $2,100 per month…

A: Deposit = 2100 per month Interest Rate = 11%/12 per month Future Value Required = 1,000,000

Q: John and Diane need to have $397,000.00 available for retirement. How much will they have to invest…

A: Future value is the expected value of any current asset as per a growth rate.

Q: Jace wants to save to buy a car. Jace plans to invest some of their pay every month into an account…

A: Monthly payments refers to the periodic payment. Periodic payment can be made monthly, quarterly,…

Q: Luis has $170,000 in his retirement account at his present company. Because he is assuming a…

A: This account works as a combination of two separate account: fixed principal of $170,000 compounded…

Q: Your employer offers a 401(k) plan with a 17% match, and you set a goal of retiring in 35 years with…

A: Given: Value today = $1.1 million or $1100000 Inflation rate = 1.5% Annual rate = 1.2% Number of…

Q: Your employer offers a 401(k) plan with a 16% match, and you set a goal of retiring in 31 years with…

A: 401(k) is a type of retirement plan which allows investor to accumulate funds for retirement by…

Q: How much should John save today if he wishes to obtain n$ 547.00 in 5 years time? He expects to earn…

A: John should save today if he wishes to obtain n$ 547.00 in 5 years time if he expects to earn 3%…

Q: A couple plans to pay their child's college tuition for 4 years starting 18 years from now. The…

A:

Q: You start working at age 23 and you plan to deposit $5,100 in a savings account every year (end of…

A:

Q: Sam Long anticipates he will need approximately $225,000 in 15 years to cover his daughter's college…

A:

Q: How many years would it take save an adequate amount for retirement if he deposits $2,100 per month…

A: A study that proves that the 1value of money today is higher than the future value of money is term…

Q: amie is saving ₱10,000 at the end of each month. How soon can he retire if he wants to have a…

A: Monthly saving = P 10,000 Future value (FV) = P 250,000 Annual interest rate = 4.36% Monthly…

Q: What semi-annual deposits does Adrian have to make?

A: Time value of money (TVM) refers to the method or concept which is used to determine the amount of…

Q: Kyle needs to have ₱ 37,000,000 for retirement in 10 years. His account earns 3% interest.  How…

A: The present value is the value of the sum received at time 0. It is the current value of the sum…

Q: How long would it take for Nico to save an adequate amount for retirement if he deposits R40,000 per…

A: Annual deposit (P) = R40,000 Interest rate (r) = 12% Accumulated amount (FV) = R1,000,000 Period in…

Q: Bozo decides to take out a loan for $50,000 for 5 years at 7% monthly. If he pays an extra $200 per…

A: The periodic payment is the amount that will be paid every period until the loan amortized which…

Q: Kourtney currently works at Bruin Productions and decide to finally plan for the future, she wants…

A: Information Provided: Future value = $250,000 Term = 10 years Interest rate = 6.1% compounded…

Q: Kobe is retiring in 19 years, and wants to save some money. He will make bi-weekly deposits of…

A: Bi-weekly Deposit = $513.38 Time Period = 19 Years Interest Rate = 2.750% compounded semi-annually

Q: You want to be able to withdraw $1, 500 from your account each month for 20 years after you retire…

A: The given problem can be solved using PV and PMT  function in excel. PV function computes current…

Q: Suppose a woman has decided to retire as soon as she has saved $800,000. Her plan is to put $950…

A: Given: Future value =$800,000 Deposits per month = $950 Annual interest rate =2.4% So, monthly rate…

Q: Brayden and Noah plan to purchase a home for $140,000. They will pay 20% down and finance the…

A: An annuity is a series of cash flows that involve an equivalent amount occurring at equal time…

Q: If John wants to retire with $10,000 per month, how much principal is necessary to generate this…

A: Interest amount = Principal * Rate / 100 Or, Principal = Interest amount / Rate * 100

Q: (Refer to this word problem In order to plan for their retirement, a married couple decides to…

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

Q: You want to be able to withdraw $35,000 from your account each year for 25 years after you retire.…

A: Given Information:- in the question, you want to withdrawal $35000 each year from you bank account…

Q: Melissa wants to retire with $45,000 per month.she needs $4,500,000 in principal at the time she…

A: Simple interest is computed by multiplying the daily interest rate by the principal and  later by…

Q: Can you help me work out this problem in detail?   Ben wants to receive $6,000 a year for 10 years.…

A:

Q: If John wants to retire with $10,000 per month, how much principal is necessary to generate this…

A: This fund would pay simple interest after the retirement @ 8% , that means it. To calculate the we…

Q: what effective annual rate of return would rayne need to earn if she deposits 1,000 per month into…

A: Monthly deposit (PMT) of $1000 is made for a period of 36 (12*30) with a future value of the deposit…

Q: Suppose that you are obtaining a personal loan from your uncle in the amount of $20,000 (now) to be…

A: Present value: The money having at present has more value than receivable in future. Formula: FV =…

Q: Hudson would like to purchase a new car for $12,000. How much will his monthly payments be if he…

A: Loan amount (PV) = $ 12000 Interest rate = 6.5% Monthly interest rate (r) = 6.5%/12 =…

Q: Rickey would like to have $2500 per month for 20 years after retirement. How much should he save in…

A: Present value refers to the current valuation for a future sum. Investors determine the present…

Q: Your parents are planning to save for their retirement. A retirement plan is a financial arrangement…

A: The Future Value of the annuity refers to the sum value of all the payments which is occurred…

Q: You decide to replace your income of $70,000 a year in retirement for 30 years. How much do you need…

A: Interest rate (r)= 3% Compounding (k)= annually Time period (n)= 30 years Retirement Income (d)=…

Q: Jane wants to borrow $100,000 from the bank for up to 3 years at an APR of 8.5% with interest…

A: Interest is an extra amount which borrower has to pay on the deposited amount for the period. It is…

Q: Maryanne purchases a house for $380,000 and takes a mortage for the full amount. Her mortgage…

A: Since you have posted a question with multiple sub-parts, we will solve the first three subparts for…