4.3 You decide to put R12,000 in a money market fund that pays interest at the annual rate of 8.4%, compounding it monthly.You plan to take the money out after one year and pay the income tax on the interest earned. You are in the 15% tax bracket.Find the total amount available to you after taxes.

The concept of time value of money is that the present value of money is higher when compared with…

Answered: 4.3 You decide to put R12,000 in a…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Similar questions

Your parents deposit $1000 in your bank account paying 5% per year. What would be the balance in your account after 10 years?
You decide to save $9300 by making annual deposits for 5 years into an account that pays 7% compounded annually. Once the payments stop, you plan to leave the money in the account for an additional 2 years. What size deposits do you need to make?
3. You invest some amount today for two years that pays 6% annually. The bank compounds annually. At the end of the two years, you will have $150. What amount must you invest today?
16) Would love the help.
you want to have $10,000 in 5 years and can earn 3.2% annually. How much must you deposit today to achieve your goal?
Assume that you want to have $ 2650 saved in a sinking fund in 1 year. The account pays 4.5% compounded monthly. What should be your monthly payments?
Assume that you want to have $ 4450 saved in a sinking fund in 1 year. The account pays 2% compounded monthly. What should be your monthly payments?
Suppose you have estimated that you will need $2,500 per month in your retirement to meet your expenses and live comfortably, and that you have found or chosen a fund (account) which pays monthly interest 4% APR . What principal, or balance, will your account need to maintain in order to be able to pay you this amount each month? Round/take your answer to the nearest cent.
3) You have a financial goal of putting a $10,0000 down payment on a home in 5 years. How much would you need to save each year if you could earn 8% annually? A) $1,423.44 B) $1,704.56 C) $1,990.50 D) $2,200.23
Suppose that you borrow $11,000 for five years at 5% toward the purchase of a car. whats the monly payment?
You buy a car for $34,000. You pay $10,000 down and finance the rest at 3% monthly over five years. If the payment is rounded up to the nearest dollar, what is the final payment?
You want to buy a $150,000 home. You plan to pay 5% as a down payment, and take out a 30 year loan at 4.9% interest for the rest. The bank will charge 3 points on the amount financed. a) What is the amount of the down payment? b) How much is the loan amount going to be? c) What will be the amount charged for 3 points? *1 point is 1 % of the mortgage amount d) Find the amount of the monthly payment. (Do not add the cost of the points to the loan amount) Hint: click here Question Help: D Video Message instructor %24

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