You receive $100 today, $200 in one year, and $300 in two years. If you deposit these cash flows into an account earning 12 percent, the value in the account three years from now is ________.
Q: You deposited $8,000 six years ago into a bank account. Two years ago, you deposited an additional…
A: Here, Initial deposit = $8,000 Total future value = $89,187.52 Interest rate = 14% Time period for…
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A: The present value is the value of the sum received at time 0 or the current period. It is the value…
Q: You receive $100 today, $200 in one year, and $300 in two years. If you deposit these cash flows…
A: Formula FV = CF0*(1+R)3+CF1*(1+R)2+CF2*(1+R)1 Where FV - Value of account after 3 years R - Interest…
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A: Working note:
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A: As per bartleby guidelines, "Since you have asked multiple questions, we will solve the first…
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A: An effective annual rate is the modified interest rate from the nominal rate that represents the…
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Q: You receive $1,200 today, $2,200 in one year, and $3,300 in two years. If you deposit these cash…
A: It can be solved by following formula FV = PV (1 + r )n where FV = Future Value PV…
Q: 800
A: Formula to calculate the future value of ordinary annuity is: FV = C*[(1+I)^n - 1/i] Where C is the…
Q: Fifteen years ago, you deposited $12,500 into an investment fund. Five years ago, you added an…
A: Present value refers to the current valuation for a future sum. Investors determine the present…
Q: Fifteen years ago, you deposited $12,500 into an investment fund. Five years ago, you added an…
A: “Hey, since there are multiple questions posted, we will answer first question. If you want any…
Q: Assume you make 10 equal annual deposits of $2000 into an account paying 8% per year. How much is in…
A: The amount available 6 years after the last deposit will be the future value of this annuity.
Q: how many years your money will be doubled?
A: answer :- c) n= 6.12 years given present value PV= 10000 rate r=12% future value FV = 2*10000 =…
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A: Calculate the present value of amount as follows: Present value 3.5%= Future value / (1+rate)^years…
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A: Solution Continuous compounding is where the compounding is done continuously Mathematically Future…
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A: Given, The amount invested today is $2000 The rate of interest is 7%
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A: The deposit required to be made today can be calculated as the present value
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A: Here Investor has $8,675,309 to deposit for 1 year @ 12% in two options: Compounded annually…
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A: Given: Amount = $40,000 Interest rate = 8% Years = 10
Q: f you deposit $10,000 in a bank account that pays 10 percent interest annually, how…
A: Future value = Principal*(1+r/100) ^n Where, r = rate of interest n = no. of years
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: You are contributing money to an investment account so that you can purchase a house in six (6)…
A: Future Value: The future value is the amount that will be received at the end of a certain period.…
Q: If you want to have $22,327 in fifteen years, how much do you need to deposit in a bank account…
A: The deposit required today is calculated as the present value.
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A: Given information: Deposited an amount of $25,500 for 12 years Additional $15,000 added into…
Q: If you deposit $3,500today into an account earning an annual rate of return of 11percent, what…
A: Rate of return (r) = 0.11 or 11% Initial deposit (I) = $3,500 Future value (FV) = ? Future value…
Q: If Ms Chan is thinking of putting RM10,000 into the saving accounts at the end of each year for 10…
A: The annual deposit is RM10,000. The maturity is 10 years. The interest rate is 8%.
Q: K Suppose you receive $500 at the end of each year for the next three years. a. If the interest rate…
A: Present value is the value right now of some amount of money in the future. Formula : PV = FV x…
Q: If you deposit 3500 today into an account earning an annual rate of 11% what would your account be…
A: To calculate the amount of account after 40 years by using below formula Value of account after 40…
Q: You plan on saving $5,200 this year, nothing next year, and $7,500 the following year. You will…
A: Future value of a present value is the value of that amount after taking into account the time value…
Q: Fifteen years ago, you deposited $12,500 into an investment fund. Five years ago, you added an…
A: The effective annual rate is the actual rate earned after considering the compounding periods in a…
Q: You wish to have $20,000 in an account 8 years from now. How much moneymust be deposited in the…
A: Computation:
Q: You are depositing $3,000 today in an account with an expected rate of return of 10%. If you deposit…
A: Future value can be defined as the worth of money at a future date, computed in accordance with the…
Q: You have already $5,000 in your savings account today. You want to have $50,000 in your savings…
A: Data given: FV= $50,000 n= 10 years i= 5% p.a. Amount in savings account = $ 5000 Required: Amount…
Q: Suppose you receive $190 at the end of each year for the next three years. a. If the interest rate…
A: Present Value of annuity refers to the current value of all the series of payments or income at…
Q: Brianca plans to save $5,000, $1,000, and $42,000 a year over the next three years, respectively.…
A: Time value It tells that value received today has more value than that of receiving the same amount…
Q: Suppose that you have an opportunity to invest in a fund that pays 12% interest compounded annually.…
A: The investment is refer as engaging funds with an financial institution or bank at specific rate of…
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A: The given problem can be solved using FV function in excel. FV function computes amount balance in…
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A: Time Value of Money :— This concept says that value of money in present day is more than the value…
Q: How much money will you accumulate by the end of year 10 if you deposit $3,000 each for the next ten…
A: Annuity payment (PMT)= $3,000 Time period (n)= 10 years Rate of interest (i)= 5% per year Future…
Q: You deposit $204 today into a bank account that earns 1% annually. How much will be in your account…
A: Future value is the amount to be earned in near future due to compounding of amount to near future.…
Q: how much would you have saved at the end of six years? Round your answer to the nearest one dollar.
A: Future Value of Annuity = P x [{(1 + r)^n} - 1] / r Here, P = Periodic Deposit i.e. $46904 annually…
Q: how much annuity can a person get annually from a bank every year for 8 years starting 1 year after…
A: Time value of money (TVM) means that the amount of money received in the present period will have…
8) You receive $100 today, $200 in one year, and $300 in two years. If you deposit these cash flows into an account earning 12 percent, the value in the account three years from now is ________.
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- You put $250 in the bank for S years at 12%. A. If interest is added at the end of the year, how much will you have in the bank after one year? Calculate the amount you will have in the bank at the end of year two and continue to calculate all the way to the end of the fifth year. B. Use the future value of $1 table in Appendix B and verity that your answer is correct.Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $4,200 over the next 6 years when the interest rate is 8%, how much do you need to deposit in the account? B. If you place $8,700 in a savings account, how much will you have at the end of 12 years with an interest rate of 8%? C. You invest $2,000 per year, at the end of the year, for 20 years at 10% interest. How much will you have at the end of 20 years? D. You win the lottery and can either receive $500,000 as a lump sum or $60,000 per year for 20 years. Assuming you can earn 3% interest, which do you recommend and why?You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years. Which table will help you determine the value of your account at the end of 12 years? A. future value of one dollar ($1) B. present value of one dollar ($1) C. future value of an ordinary annuity D. present value of an ordinary annuity
- Refer to the present value table information on the previous page. What amount should Brett have in his bank account today, before withdrawal, if he needs 2,000 each year for 4 years, with the first withdrawal to be made today and each subsequent withdrawal at 1-year intervals? (Brett is to have exactly a zero balance in his bank account after the fourth withdrawal.) a. 2,000 + (2,000 0.926) + (2,000 0. 857) + (2,000 0.794) b. 2,0000.7354 c. (2,000 0.926) + (2,000 0.857) + (2,000 0.794) + (2,000 0.735) d. 2,0000.9264You put $600 in the bank for 3 years at 15%. A. If Interest Is added at the end of the year, how much will you have in the bank after one year? Calculate the amount you will have in the bank at the end of year two and continue to calculate all the way to the end of the third year. B. Use the future value of $1 table In Appendix B and verify that your answer is correct.Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $2,500 over the next 4 years when the interest rate is 15%, how much do you need to deposit in the account? B. If you place $6,200 in a savings account, how much will you have at the end of 7 years with a 12% interest rate? C. You invest $8,000 per year for 10 years at 12% interest, how much will you have at the end of 10 years? D. You win the lottery and can either receive $750,000 as a lump sum or $50,000 per year for 20 years. Assuming you can earn 8% interest, which do you recommend and why?
- If Bergen Air Systems takes out a $100,000 loan, with eight equal principal payments due over the next eight years, how much will be accounted for as a current portion of a noncurrent note payable each year?Calculating interest earned and future value of savings account. If you put 6,000 in a savings account that pays interest at the rate of 3 percent, compounded annually, how much will you have in five years? (Hint: Use the future value formula.) How much interest will you earn during the five years? If you put 6,000 each year into a savings account that pays interest at the rate of 4 percent a year, how much would you have after five years?How much would you invest today in order to receive $30,000 in each of the following (for further Instructions on present value In Excel, see Appendix C): A. 10 years at 9% B. 8 years at 12% C. 14 years at 15% D. 19 years at 18%
- How much must be invested now to receive $50,000 for 8 years if the first $50,000 is received in one year and the rate is 10%?How much would you invest today in order to receive $30,000 in each of the following (for further instructions on present value in Excel, see Appendix C): A. 20 years at 22% B. 12 years at 10% C. 5 years at 14% D. 2 years at 7%
