Which of the following transactions would best use the present value of an annuity due of 1 table?

Q: If you deposit 500 pesos at the end of each year for 3 years into an annuity that pays 5% annual…

A: An annuity is a contract between you and an insurance company in which you pay a lump-sum payment or…

Q: Vusa has invested $420000 in an annuity that pays interest at the rate of 3.6% per annum,…

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

Q: A deposit of 120 000.00 Php is placed into a college fund at the beginning of every month for 10…

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

Q: An accountant is entitled to received 35,000 pesos at the beginning of each year for 18 years. What…

A: Annual receipt (C) = P 35,000 Number of annual receipts (n) = 18 Interest rate (r) = 3%

Q: Janess company bought a new machine and agreed to pay in equal annual installment of P300,000 at the…

A: Solution: Amount should be reported as note payable if financial statements were prepared today =…

Q: Milo Corp. wants to accumulate $ 500,000 for a payment that will become due in 5 years. That is , at…

A: Using excel PMT function

Q: ABC company must repay the bank a single payment of $50,000 cash in 5 years for a loan it entered…

A: Given, Repayment in 5 years = $50,000 Present value of 1 at 8% = 0.6806

Q: A group of private investors purchased a condominium complex for $3 million. They made an initial…

A: The loan amount (PV) is $264,000 ($300,000 × (1-12%). The number payments (n) are 56 (14 × 4). The…

Q: find the required quarterly payment

A: Cost of condominium  = $4 million Down payment = 15% Interest rate = 15% per year Years = 13

Q: machine selling for $10000 may be purchase by paying a $1000 deposit and the balance in equal…

A: in this problem we have to calculate present value FACTOR and from that we can get monthly payments.

Q: Omega Inc. purchased a deffered annuity which pays $23,000 at the beginning of every three months…

A: An annuity is a stream of cash flows that occurs at equal time intervals. This series of cash flows…

Q: Thrifty Industries borrowed $150,000 amortized over 10 years at a rate of j12-4.8% with monthly…

A: EMI or monthly mortgage payments are the fixed amount paid by the borrower to the lender that…

Q: 2. Assume that on March 1, 2020 Floryn Company is to make annual investment of Php 200,000 for four…

A: The concept of the time value of money states that the current worth of money is more than its value…

Q: For equipment upgrades, a business borrowed $400,000 at 8% compounded semiannually for 7 years. What…

A: Loan payments are given by,                       L = E(1-(1+r)n)/r Where L = loan taken = $400000 r…

Q: A loan of £4,000 is to be repaid over 5 years by a level annuity payable monthly in arrears. The…

A: Calculation of monthly payment: Periodic payment = [P x R x (1+R)^N]/[(1+R)^N-1]Where,P= Loan…

Q: Ferris Bueller has borrowed from the Ferrari Bank at a rate of 7% and will repay the laon with…

A: The current worth of the cash flows or an asset after discounting is termed as the present value.

Q: 1. Mary made a loan of P58,000 to supply her new business. It is to be amortized by ten equal…

A: We need to use RATE function in excel to calculate interest rate. Formula is =RATE(NPER,-PMT,PV)

Q: Use the formula for the value of an annuity to solve:To offer scholarship funds to children of…

A: The future value of the annuity is the future worth of a cash flow series at a certain rate of…

Q: The Sandersons are planning to refinance their home. The outstanding principal on their original…

A: Outstanding principal (P) = $110000 n = 240 months Initial interest rate = r = 5% per annum =…

Q: The total maintenance expense of a certain machine is 15,845 and can be disbursed by paying 3,458 at…

A: Annual equivalent cost is that is equivalent to the cost today considering the interest rate and…

Q: A local retail franchise must buy a new piece of equipment in 6 years that will cost $89,000. The…

A: Payment per period can be calculated using PMT function in excel.   PMT(rate, nper, pv, [fv],…

Q: The BBB Corporation, a small plastic toy manufacturer, wants to determine the present value of an…

A: The formula of present value of the annuity identifies 3 variables, .i.e., the interest rate, cash…

Q: How much must be invested at the beginning of each year at 11%, compounded annually, to pay off a…

A: The problem relates to ANNUITY DUE. Annuity due is an annuity whose payment is due immediately at…

Q: A 25-year annuity was purchased with $225,000 that had accumulated in a RRSP.  The annuity provides…

A: DefinitionRRSP:  A Registered Retirement Saving Plan is an investment cum retirement saving plan for…

Q: The Sandersons are planning to refinance their home. The outstanding principal on their original…

A: First, we need to find the current instalment which is given by  Loan amount = PV of all instalments…

Q: If P8,000 is deposited in the bank each year for 10 years, how much annuity can aperson get annually…

A: Future value = p/r * ((1+r)n - 1) P = 8000 r = 12% N = 10 Future value = 140,389.88

Q: Select the correct answer and explain A loan of $ 45,000 is obtained at 17.5% per annum, to be paid…

A: Total Loan amount is $45,000 Rate of interest is 17.5% Time period is 2.5 years or 5 semesmter…

Q: 1. Determine present worth and the accumulated amount of an annuity consisting of 6 payments of…

A: Since you have asked multiple questions, we will solve the first question for you. Please ask…

Q: Lukas Center acquired a new Laser Machine worth ₱580,000.00. The center plans to pay 35% advance…

A: Amortization is the action or process of gradually writing off the initial cost of an asset.

Q: Gary King will deposit $27500 into an account today that earns 13% per year compounded annually.…

A: Given information: Principle amount = $27,500 Rate of interest = 13% Period = 5 years

Q: A $3,000,000 apartment complex loan is to be paid off in 10 years by making 10 equal annual…

A: Solution:- When a loan is taken, the borrower has to repay the debt either in equal installments or…

Q: Suppose a friend tells you about an annuity that pays 6% annual interest, compounded semi-annually.…

A: value of investment is Future value of periodic payments

Q: A real estate development company is planning to build five homes, each costing $195,000, in 2…

A: We need to determine the cost of 5 homes then use the periodic interest rate, number of periods to…

Q: 1. What is the present worth of a P1000 annuity starting at the end of the third year and continuing…

A: Hi, there, Thanks for posting the question. As per our Q&A honour code, we must answer the first…

Q: Electro Corporation bought a new machine and agreed to pay for it in equal annual installments of…

A: The fixed assets such as machinery are recorded in the books of account are recorded in the books at…

Q: Assume that Kikay Company is to make annual investment of P500,000 for five years. The interest for…

A: Annuity means where regular payment is made at the end of regular period and full amount with…

Q: A principal of $20,500 generates an income of $3,000 at the end of every 2 years at an effective…

A: Since in this question, we have to calculate the term of the annuity and as per the 3% effective…

Q: Determine the present value of $170,000 to be received at the end of each of four years, using an…

A: Solution a:   Amount PV Factor Present Value First Year $170,000.00 0.94787 $161,138 Second…

Q: How much (in $) should the company invest now to have sufficient funds to build the homes in the…

A: Present Worth: It is the present value of the sum of the amount discounted at a specific rate of…

Q: A company offer annual payments of $1675 at the end of each year for the next FIVE years. a) What…

A: Annuity is a concept of regular equal payments made at equal interval of time. It is used to…

Q: Use the appropriate formula to find the future value (in $) of $900 deposited at the beginning of…

A: “Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only…

Q: What is the final answers and the cash diagram of the following: 1. Mr. Reyes borrows P600,000 at…

A: NOTE:  As per our policy, we only answer one question when different questions are posted.…

Q: Provide manual solutions to below mentioned problems. An engineer is entitled to receive P25,000 at…

A: Annuity Amount  = 25,000 Beginning of year receipts N = 18 years Interest Rate = 4%

Q: A group of private investors purchased a condominium complex for $2.5 million. They made an initial…

A: Loan amount = Cost * (1- Down payment) Loan amount = $2,500,000 *(1-12%) Loan amount = $2,200,000

Q: Your company borrows $300,000 from the investment bank for building upgrades. It agrees for a (5)…

A: Loan = 300,000 Time Period = N = 5 years Annual Payment in first 4 years , interest rate and final…

Q: Use the future value of an annuity due formula to calculate how much (in $) you would have in the…

A: In this question, if the amount is deposit at the beginning of the year then the period we will use…

Q: The Del Corporation borrowed $9.000,000 at 8% interest per year, which must be repaid in equal EOY…

A: Installment is the amount of periodic payment a borrower has to make to its lender in order to pay…

Q: loan of £4,000 is to be repaid over 5 years by a level annuity payable monthly in arrears. The…

A: Given information : Loan amount 4000 Time period (years)  5 Interest rate 1% Note : I will…

Q: A winner of the multi-state lotto won a one-time payout and decided to invest part of it into an…

A: Present value (PV) = $ 9,500,000 Interest rate = 3.1% Monthly interest rate (r) = 3.1%/12 =…