1. An investor deposits P10,000.00 at the end of each year in an account which gives a nominal annual interest of 5% compounded continuously. How much sum will he accumulate in 10 years? And Draw the cash flow diagram.

Q: A person deposits an annual amount into a savings account that decreases at a constant rate of $ 500…

A: Here, First Deposit is $10,000 Constant Decrease in payment is $500 Interest Rate is 15% Last…

Q: If you were to make a deposit of $5,000 today in an investment account expected to pay 5% pa.…

A: The question is related to Time Value of money.When interest is calculated on total of previously…

Q: You invest $10,000 at the end of each 5 years. If i=4%, What is the value of the account at EOY 5?…

A: At the end of year 5, the value of the account where $10,000 is invested every 5 years at an…

Q: An investor makes 10 consecutive annual deposits of S.R. 1,500,000 in a saving account that pays…

A: Future Value (FV) is a financial concept that represents the projected worth of a sum of money at a…

Q: Suppose that every 2 years beginning 4 years from now you will receive $133 in perpetuity. Assuming…

A: With periodic cost of capital (r), period (n) and periodic payment (PMT), future value (FV) is…

Q: You put $6,150 in the bank for 15 years at 5%. Using the Future Value of 1 Table, what factor would…

A: Future Value is known as Terminal Value. The accrued amount of FVn  on principal amount after n…

Q: If the present value of a cash flow at an annual rate of interest of 6% is $50000, what is the…

A: We need to use Future Value formula below to calculate yearly cash flows. FV =PV(1+i)n Where FV…

Q: 1. If you deposit $28,688 annually at the end of every year in a bank account paying 5% annually,…

A:

Q: 4. You wish to accumulate RM100,000 at the end of 20 years. To do this, you need to deposit an equal…

A: We need to use future value of ordinary annuity formula to calculate annual payment to achieve goal.…

Q: You deposit $6000 into an account earning 8.8% annual interest, compounded quarterly.  How many…

A: Future Value(FV) worth of amount received today at some future date. FV is computed by compounding…

Stock Market Indices

Stock indexes are used to compare the price fluctuations of a group of stocks of similar companies, which are combined based on a similar industry or a particular market capitalization limit or type of market. The price comparison is based on a pre-determined standard method or indicators. These stock indexes are usually considered a base for comparison of a particular stock, and the performance of that particular company can be easily determined.