5. Calculate the difference between the future values of $12,000 payable in 6 years at 5% simple and 5% compounded annually interest rates.

Q: Find the present value of the given future payment at the specified interest rate. $520 due in five…

A: Time value of money is a financial concept which is used to calculate the value of money in present…

Q: hat is the future value of 15 periodic payments of $26,000 each made at the end of each period and…

A: Future values of payments includes the principal payment and payment of interest and present value…

Q: Find the payment that should be used for the annuity due whose future value is given. Assume that…

A: Given,  The future value of annuity due is $15,000 Quarterly payments are made for 12 years Interest…

Q: Determine the present value of a $3,500 perpetuity if the interest rate is 7%. If interest rates…

A: Given: Amount = $3,500 Interest rate = 7%

Q: The future value is $

A: Future value of Ordinary Annuity = = payment per period * [(1 + Interest rate) n  - 1) /interest…

Q: The future value of regular annuity of $2,000 per year for 20 years is $73,888.32. What interest…

A: The future value is the amount that will be received at the end of a certain period. In simple…

Q: What will be the present value, if $5,400 is discounted back 4 years at an interest rate of 3%…

A: given data future value = 5400 time period N = 4 * 2 = 8 interest rate = 3%/2 = 0.015 discounting to…

Q: Find the future value of an ordinary annuity of $700 paid at the end of each year for 6 years, if…

A: Future Value: It refers to the amount or future worth of an asset at a particular date in the…

Q: What is the future value of $10,000 on deposit for 5 years at 6% simple interest?

A: The objective of this question is to calculate the future value of a deposit of $10,000 for 5 years…

Q: Calculate the future value after 3 years if $1,000 is deposited at 1.2% interest compounded monthly.

A: Calculate the future value after 3 years if $1,000 is deposited at 1.2% interest compounded…

Q: Compute the future value of annual payments of $1,000, paid for 4 years, using an interest rate of…

A: Future value can be defined as the future worth of the present cash flow that will be received from…

Q: What is the future value of a $1000 deposit made today, in 7 years, if r = 10% APR compounded…

A: The time value of money is used to determine the future value and present value of any amount given.…

Q: What is the future value of $3,100 in 17 years assuming an interest rate of 8.4 percent compounded…

A: The future value concept refers to the value of money in the future when it is kept as savings or…

Q: 5) Determine the present value at time 0 of payments of $1,000 at the start of each month for 5…

A: Present Value:  The present value is the value of cash flow stream or the fixed lump sum amount at…

Q: What is the future value of $2,520 in 12 years assuming an interest rate of 9.35 percent compounded…

A: Present  value = $2,520Number of years = 12Number of times compounded per year = 2…

Q: What is the future value of $700 deposited for one year earning 4 percent interest rate annually?

A: In the given question we need to compute the future value of $700 deposited today for one year at 4%…

Q: Calculate the future value of 6 payments at the end of the year of $10,000 with an annual interest…

A: 6 Payments at the end of the year = $10,000Interest rate = 8%Number of payments = 6

Q: Suppose an annuity pays $2000 at the end of each 3 month period for 3.5 years at an interest rate of…

A: given, A = $2000 n = 3.5 r = 4% pa but it is compounded quarterly therefore, frequency of…

Q: Qnl. A series of payments of 700 Riyals is made at the end of each quarter in an account for 5…

A: When an individual or company is making series of payments for the particular period of time then,…

Q: Classify the financial problem. Assume a 9% interest rate compounded annually. Deposit $200 at the…

A: Solution:- When an equal amount is deposited each year, it is called annuity. The accumulated value…

Q: Compute the present value of a $3300 deposit in year 2, and another #2800 deposit at the end of year…

A: Cash flow 1= 3300 Cash flow 2= 2800 Interest rate = 9%

Q: What single payment at the end of year 5 is equivalent to an equal annual series of payments of…

A: future value of lumpsum payment : fv=A×1+rn Future value of annuity: FVA=A×1+rn-1r therefore, r =…

Q: What's the future value of $1,200 after 5 years if the appropriate interest rate is 6%, compounded…

A: The objective of the question is to calculate the future value of an investment of $1,200 after 5…

Q: . A lump sum of $30,000 is invested at 6% compounded monthly for 15 years. For 15 years it then pays…

A: Present Value = $30,000 Interest Rate = 6% compounded Monthly Time Period = 15 Years

Q: The income stream b = (1000, 1500, 2500, 4000) consists of payments made at the end of the next four…

A: The present value is calculated by discounting the cash flows at an appropriate discount rate for a…

Q: A sum of 12,500 amounts to 15,500 in 4 years at the rate of simple interest. What is the rate of…

A: Simple interest is defined as an interest type, which is an easy method for the calculation of an…

Q: ) Find the amount to which $100 will grow at an interest rate of 16% compounded semiannually for 4…

A: 1- a  initial investment =$100 interest rate =16% compounding semiannual  semiannual interest =8%…

Q: 6.​If the current value of $1000 received five years from now is $680.50, what is the ​assumed…

A: Annual interest rate refers to the rate that is being charged by the lender by the borrower on the…

Q: The present value of a 6-year annuity is X. The annuity pays 5 at the end of the first month, 10 at…

A: Annuity are a series of payments being made at a regular period. Growing annuity with arithmetic…

Q: 5. Construct an amortization schedule for a four-year, RM10,000 loan at 6% interest compounded…

A: An amortized loan is a type of loan that requires periodic payments that are applied to both…

Q: The future value is $ (Round to 2 decimal places.)

A: interest rate =6% Period =4 years  Future value FACTOR =(1+r)n-1/r Future value FACTOR…

Q: Find the payment that should be used for the annuity due whose future value is given. Assume that…

A: The annuity is a set of payments made in exchange for a lump sum payment. It is widely used in…

Q: What is the present value of $1,500 due in 14 years at a 5 percent interest rate

A: Present Value refers to the value of cash flows today which is to be received at some future time…

Q: Assume a 9% interest rate compounded annually. What annual deposit is necessary to give $10,000 in…

A: Future Value  $             10,000.00 Time Period 6 Interest Rate 9.00%

Q: Find the payment that should be used for the annuity due whose future value is given. Assum…

A: Annuity is a series of equal periodic payments at equal interval of period till maturity. When these…