1. Sarah now has $2.000. How leaves it invested at 2% with annual compounding? * O a) $2,081 O b) $2,800

Q: What is the present value of 6 annual payments of $6,340 each with the first payment being received…

A: An ordinary annuity is a set of recurring payments that are received once the current period is…

Q: You invested $3000 in two accounts paying 5% and 8% annual interest. If the total interest earned…

A: Let "a" be the investment made in 5% annual interest-paying account

Q: years

A: Rate of interest r= 3% compounded annually, Given the t time period,t  = 7 years, Which means…

Q: (4B-1) FV Continuous Compounding If you receive $15,000 today and can invest it at a 6% annual rate…

A: The present value concept refers to the current worth of a future sum of money, considering the time…

Q: Kofi now has $500. How much would he have after 8 years if he leaves it invested at 6.7% with annual…

A: Future value = Present value × (1+ PIR)^n PIR = periodic interest rate = 6.7% = 0.067 in decimal N=…

Q: Assume you deposit $1,000 today in an account that pays 8 percent interest (compounded annually).…

A: Given: Present value = $1,000 Years = 4 Interest rate = 8%

Q: 1)   What amount invested each year at 3% annually will grow to $200,000 at the end of 25 years?…

A: Future value = $200,000 Interest = 3% Time =25 years So, amount invested each year = Using excel PMT…

Q: How long (in years) would $800 have to be invested at 11.4%, compounded continuously, to earn $400…

A: We need to use the concept of time value of money to solve the question. According to the concept of…

Q: Gina puts $ 4500 into an account earning 7.5% interest compounded continuously. How long will it…

A: When interest is compounded continuously: Future value = Present value *er*n

Q: a) How much will this investment be worth after 10 years? (Round your answer to the nearest cent.) $…

A: Investment Amount = $49,000 Time period = 10 years Rate of interest = 8% compounded continuously.…

Q: 4. A person invests $500 in a CD that yields 4% compounded semi- annually. a) What is the total…

A: Solution a: Semiannual interest rate = 4%/2= 2% Nos of semiannual periods = 5*2 =10 Accumulated…

Q: Suppose you borrowed $3,000 at a rate of 8.8% and must repay it in 4 equal installments at the end…

A: Present Value = pv = $3000Rate of Retunr = r = 8.8%Number of Payment = n = 4

Q: Suppose a state lottery prize is to be paid in 25 payments of $240,000 each at the end of each of…

A: Given,  The payment is $240,000 Term of investment is 25 years

Q: Suppose Ted invests $ 6500 in an account that pays 5.8 % interest compounded continously what is the…

A: Normal interest rate (i) is the rate of return stated on a financial agreement that does not count…

Q: How long will it take for the amount in the account to grow to $ 8150?

A: Compound interest can be defined as the amount of interest charged on interest. It is the additional…

Q: . Rusty Kryz invested Php100 000 in a company that gives 9% annual interest compounded quarterly.…

A: The future value (FV) is the value of a current asset at a future date which is based on the assumed…

Q: Suppose you borrowed $45,000 at a rate of 8.4% and must repay it in 5 equal installments at the end…

A: First we will calculate the amount of installment with the help of following formula Installment =…

Q: You deposit $400 at the end of each month into an account earning 3.7% interest compounded monthly.…

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

Q: Jose now has $100. How much would he have after 8 years if he leaves it invested at 5% with annual…

A: Future Value refers to the compounded value of a single cash flow received today or multiple cash…

Q: What's the rate of return you would earn if you paid $3,480 for a perpetuity that pays $70 per year?…

A: The objective of this question is to calculate the rate of return on a perpetuity. A perpetuity is…

Q: How much money you will have if you invest a principal of $2000 compounded at 10 percent for 30…

A: Following formula will be used:

Q: Steffi Derr expects to invest $5,000 annually that will earn 10%. How many annual investments must…

A: The concept of time value of money will be used here. As per the concept of time value of money the…

Q: What equal annual deposits must be made at t = 2, 3, 4, 5, and 6 in order to accumulate $25,000 at t…

A: Future value is the value of current cashflow compounded to the future date at specified rate.…

Q: Use the formula FV = P(1 + R)N Barry Newman's savings account has a balance of $4,088. After 25…

A: Interest is the amount which is paid for the amount borrowed or received for the amount given or…

Q: You deposit $10,000 in an account earning 4% interest compounded monthly. a. How much will you have…

A: Compound Interest is the interest on a deposit or loan calculated on the initial principal and the…

Q: If for the next 30 years you place $2,000 in equal year-end-deposits into an account earning 5% per…

A: Future Value of Ordinary Annuity refers to the concept which gives out the compounded or future…

Q: 6. Atlas Co sales last year were $4,350, its operating costs were $3,625, and its interest charges…

A: earnings before interest and tax = (sales - operating cost)

Q: Shawn Bowker invested $10,000 in a money market account that will pay 5.75 percent compounded…

A: Simple interest denotes the interest earned remains the same for each period as the principal amount…

Q: Asante invested his $1000 in his account five years ago. The account yields interest of 20% per…

A: Time value of money is a concept where interest component for the time period money used is…

Q: Suppose you invest $3,800 today in an account that earns a nominal annual rate (inom) of 12 percent,…

A: Compound = Quarterly = 4Present Value = pv = $3800Interest rate = r = 12 / 4 = 3%Time = t = 12 * 4 =…

Q: Faith saves for retirement by depositing $550 each month into an account which earns an APR of 3.5%…

A: The amount invested in financial instruments at a specified APR could be compounded at any frequency…

Q: How much will $7500 in savings today be worth 5 years from now if it earns 6%, compounded monthly?…

A: Compound = Monthly = 12Present Value = pv = $7500Time = t = 5 * 12 = 60Interest Rate = r = 6 / 12 =…

Q: . If you were to deposit $399.27 into an account today that pays 8% interest annually, with a…

A: Present Value = pv = $399.27Interest Rate = rate = 8%Payment = pmt = $100Time = nper = 5 Years

Q: What amount should be deposited today at 4.56% compounded monthly to have $5000 in 3 years?

A: Interest Rate = 4.56%No. of years = 3Future Value (FV) = 5000

Q: Paul Bautista needs R$26,000 in 4 years. Click here to view factor tables What amount must he invest…

A: Future Value = fv = $26,000Time = t = 4Interest Rate = r = 8%

Q: hristian now has $5 a. $753.92 b. $712.98 c. $750.06 Od. $766.48 e. $526.00

A: Future value of money is much more than the actual deposit due to compounding of the interest rate.

Q: If you invest $12,000 today, how much will you have: In 6 years at 7 percent? a. 5. In 15 years at…

A: The future value (FV) is a financial concept that represents the projected worth of a sum of money…

Q: 0. Aira invested ₱ 7,000.00, part at 4% and the remainder at 8% simple interest. How much is…

A: Interest means the extra amount which we received because of investment made and will be paid in…

Q: If $10,000 is invested in a certain business at the start of the​ year, the investor will receive…

A: Basic Details: 1. Amount Invested = $10000 2. Annual Cash Flow = $3000 3. Term = 4 Years 4. Interest…

Q: If you invest $7,000 at 12% compounded continuously, how much would it be worth in three years? (a)…

A: Introduction: The amount which is invested today is referred to as present value. The amount that is…

Q: A perpetuity of $5,000 per year beginning today, offers a 10% retur A. $33,333.33 B. $55,000.00 O C.…

A: Perpetuity is the payment forever and today value is the equivalent deposit required today that will…

Q: How long (in years) would $200 have to be invested at 6%, compounded continuously, to amount to…

A: Future Value(FV) is anticipated value of any Current Amount in future time period. It is computed by…