You plan to deposit $300 at the end of every year for 12 years starting at the end of year 1. Then after leaving the money in the account for several years, you plan to withdraw everything 15 years from today. How much is available to withdraw at the end of year 15 if the account pays 8% interest annually?" Question 3 Part C: Provide the value that can be withdrawn. Enter your answer in the form: 12345.67

Q: You plan to deposit $6,000 at the end of each of the next 25 years Into an account paying 10.3…

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

Q: Assume that you will be opening a savings account today by depositing $125,000. The savings account…

A: Note: Since it is not mentioned that whether withdrawals are made annually or quarterly, so we will…

Q: To supplement your planned retirement, you estimate that you need to accumulate R 220, 000 in 42…

A: Formulas: Future value = Annual payment *((1+rate)^years-1)/Rate

Q: You decide to make annual deposits of $300.00 for 12 years into an account which pays 5% compounded…

A: Annual deposits = $300 Time duration = 12 years Interest Rate = 5%  The future value of the annuity…

Q: Assume you deposit $5,400 at the end of each year into an account paying 10.5 percent interest. a.…

A: We will have to use the following formula to calculate the future value of an ordinary annuity:…

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 will make equal deposits into your retirement account each year for 10 years starting now (i.e.,…

A:

Q: you want to be able to withdraw $30000 each year for 25 years. your account earns 8% interest. How…

A: Given, Amount able to withdraw = $30,000 each year Time period = 25 years Interest rate = 8%

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

A: PV = 200, N = 1, rate = 5%/2, PMT = 0 use FV function in Excel balance in the account after 6 months…

Q: You want to be able to withdraw $50,000 from your account each year for 20 years after you retire.…

A: Here we will first have to find the present value of annual withdrawals of $50,000 for 20 years.

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

A: Compound interest: Compound interest (also known as compounding interest) is the interest on a loan…

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 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: Suppose an individual makes an initial investment of $2800 in an account that earns 7.8%. compounded…

A: Given information: Initial investment is $2,800 Interest rate is 7.8% Number of periods is 12 made…

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: You plan to deposit into your bank account $100 two years from now, $200 three years from now and…

A: A bank provides interest on the amount deposited or invested. Therefore, the withdrawal will consist…

Q: Suppose an individual makes an initial investment of $2,600 in an account that earns 7.8%,…

A: Here, Initial Investment is $2,600 Interest Rate is 7.8% Compounding period for deposit and…

Q: You plan to deposit $100 at the end of every quarter (3 months) for 8 years starting at the end 8f…

A: Compound interest is the nothing but an interest on a deposit computed on principal amount and the…

Q: You deposit $1,800 into a 9% account today. At the end of two years, you will deposit another…

A: Deposit now = $ 1800 Interest rate = 9% Deposit 2 years from now = $ 3000 Purchase 5 years from now…

Q: You deposit $200 each year in an account for 15 years and then $400 each year in the same account…

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

Q: You plan to deposit $200 at the end of every six months for 8 years starting at the end of month 6.…

A: Answer: Calculation of the amount that will be available to withdraw at the end of year 15: The…

Q: You want to be able to withdraw $1,000 from a savings account at the end of year 1, with withdrawals…

A: The present value of a growing annuity is the current value of an annuity which is growing at a…

Q: You will deposit $202 each of the next four years (the first deposit will occur one year from today,…

A: 92 COMPOUNDED ANNUALLY ROUNDED 2 DECIMAL 93 F G   94 INTEREST RATE 7.50%   95 NPER (n)  4…

Q: How much must you deposit each year into your retirement account starting now and continuing through…

A: Monthly deposit It is the minimum deposit amount required to pay in an account each month by the…

Q: Suppose that $10,000 is deposited into a saving account that earns 6% interest, compounded annually.…

A: Present Value of deposit (PV)=$10,000 Rate of interest (i)=0.06   Future Value after 5 years=…

Q: You initially deposit $3,000 in to a savings account for 5 years, paying 6% compounded annually.…

A: We will first establish the timelines  We deposit $3,000 for 5 years at an interest of 6%. t0 is…

Q: You initially deposit $3,000 in to a savings account for 5 years, paying 6% compounded annually.…

A: Savings accounts is referred to as an interest bearing deposit account, which used to held at the…

Q: account with an interest rate of 7.5% per year compounded monthly. You want to withdraw all your…

A: interest rate =7.5% monthly interest =7.5/12=0.625 Future value =Present value (1+i)n

Q: Starting next year, you will need $10,000 annually for 4 years to complete your education. (One year…

A: Here, Annual withdrawal is $10,000 Time Period of Withdrawal is 4 years Interest Rate is 6%

Q: You want to be able to withdraw $45,000 from your account each year for 20 years after you retire.…

A: After retirement: payment amount = $45000 number of year = 20 rate of interest = 7%   Before…

Q: You will make equal deposits into your retirement account each year for 10 years starting now (i.e.,…

A: Present value at 30 is:

Q: If you deposit $25,000 per year for 13 years (each deposit is made at the end of each year) in an…

A: The question is based on the concept time value of money. The future value is defined as the value…

Q: You plan to make a series of deposits in an individual retirement account. You will deposit $1,000…

A: According to the time value of money concept, money available today has interest earnings ability.…

Q: You want to be able to withdraw $5000 from an account at the end of each year for the next 12 years.…

A: Information Provided: Payment = $5000 Term = 12 years Interest rate = 5.5% compounded 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: how much is this account worth in today's dollars?

A: Present value: It is the present worth of the annuity cashflows discounted over a period of time.…

Q: You deposit $76000 into an account that pays 5% compounded annually. You leave the money in the…

A: Time value tells that the money received today is of more value than that of receiving the exact…

Q: You decide to save $9300 by making annual deposits for 5 years into an account that pays 7%…

A: Given:   Amount to be saved  9300 Number of annual deposits 5 Time of withdrawal in years 7…

Q: You plan to withdraw the amounts given below over the next five years from a savings account that…

A: GIVEN, R=9% YEAR CASHFLOW 1 0 2 24000 3 14000 4 26000 5.00 42000

Q: As part of your retirement plan, you have decided to deposit $6,000 at the beginning of each year…

A: Answer 1) Calculation of worth of account after 10 years if the annual rate of interest is 3% Amount…

Q: You want to be able to withdraw $30,000 from your account each year for 30 years after you retire.…

A: The amount of the deposit can be calculated by using the present value and future value of annuity…

Q: Starting next year, you will need $5,000 annually for 4years to complete your education. (One year…

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

Q: You deposit $66000 into an account which pays 7% compounded monthly. You leave the money in the…

A: Deposit amount =$66,000 Rate of interest (i)=7%12=0.005833 Duration (n)=8*12=96 periods

Q: You want to be able to withdraw $45,000 each year for 25 years. Your account earns 10% interest. a)…

A: Annual withdraw each year(P) = $45,000 Interest Rate(r) =10% Years(n) = 25

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

A: We need to use future value formula to calculate future value of single deposit and future value of…

Q: Suppose that you invest $20 000 in an account paying 8% interest. You plan to withdraw $2000 at the…

A: Investment = $ 20,000 Annual interest rate = 8% Annual withdrawal = $ 2000 Period = 15 Years

Q: You deposit $63000 into an account that pays 5% compounded monthly. You leave the money in the…

A: Future value (FV): It is the worth of any current asset at any future time with respect to an…