A $1000 deposit in an account earns interest at an annual nominal rate of 8.00%. Interest is compounded monthly in the account. How much money will be in the account after 10 years

Q: What is the future value of a single $5,000 deposit earning 8 percent interest, compounded monthly,…

A: Formula:

Q: You deposit $ 330 each month into an account earning 5.6 % interest compounded monthly for 2 years.…

A: Interest is the amount earned or paid by investing or borrowing the amount from another party.…

Q: What weekly deposits should be made into a savings account paying interest at 8.9% / year compounded…

A: Formula used in calculation: Where,A = Weekly depositsFVA = Future value of the annuity (or…

Q: How much must be deposited at the beginning of each year in an account that pays 3% compounded…

A: Time value tells that amount received today is of more value than that of receiving the exact value…

Q: suppose that $47,700 is invested in certificate of deposit for 3 years at 6.2% annual interest to be…

A: The deposit facility provided by commercial banks in which the deposited amount is repaid only at…

Q: Deposits of $1000 are made semiannually into an account which earns 8% semiannually. If the deposits…

A: given data $1000 deposit are made semiannually for 9 years  it earns 8%  compounding interest…

Q: An individual makes 6 annual deposits of P2,000 in a savings account that pays interest rate of 4%…

A: Annual deposit = P 2000 Number of annual deposit = 6 Interest rate for first 8 years = 4% Interest…

Q: Deposits are made at the end of years 1 through 7 into an account paying 6% per year interest. The…

A: Future value  is the worth of any asset or any sum of money at a future date when such asset or…

Q: A bank pays simple interest at the rate of 8% per year for certain deposits. If a customer deposits…

A: Formula: Interest amount = Deposit amount x Time period x Interest rate

Q: Assume $300 is deposited every three years into an account earning an annual effective interest rate…

A: A sum of money is worth more now than it will be at a later time due to its potential for profits in…

Q: Find the future value of each deposit if the account pays (a) simple interest, and (b) interest…

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

Q: You deposit $7,000 into an account earning interest at a 7% APR.  You keep the money in the account…

A: Initial deposit = $7,000 Interest rate = 0.07 or 7% Period = 5 years Money in account at the end of…

Q: How much interest will an account earn if you deposited $605 at the end of every six months for 11…

A: Amount deposited$605Number of years11Interest rate3.50%

Q: You are buying a house for $150,000.00 with a downpayment of $30,000.00. The loan will be paid back…

A: Mortgage loans make home buying quite easy because paid by equal fixed monthly payments that are…

Q: What it the amount in an account after 3 years if $200 is deposited each quarter into the account,…

A: Compound = Quarterly Time = t = 3 * 4 = 12 quarter Payment = p = $200 Interest rate = r = 7 / 4 =…

Q: An investor deposits £1,000 into an account that pays monthly compounded interest of 9% (nominal…

A: The given problem can be solved using FV function in excel. FV function computes amount required in…

Q: An account pays 4 percent interest (yearly effective). 10,000 dollars is deposited into that account…

A: A theory that helps to compute the present or future value of the cash flows is term as the TVM…

Q: after six months you deposit R1700 jnto an ordinary savings account, at 7,5% interest per anum,…

A: In this we have to calculate future value using future value formula.

Q: Suppose you make quarterly deposits of $1,500.00 into an account that pays an interest at a rate of…

A: Answer: Calculation of the balance in the account at the end of year 2: Formula, we will use here,…

Q: If a deposit of $100 is made on the first day of each month into an account that pays 6% interest…

A: The compounding method is used to determine the future value of cash that is deposited today. Given;…

Q: A person deposits $200 every month for 7 years. If the account pays 4% compounded monthly then how…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: You deposit $3,500 at the end of the year (k = 0) into an account that pays interest at a rate of 7%…

A: Initial deposit = $3,500Interest rate in 1st year - 7% (Compounded annually)After 1 year, interest…

Q: A deposit of $6,000 earns interest at 7% p.a. compounded quarterly for four years and five months.…

A: Future Value represents the projected worth of an investment or sum of money at a specified future…

Q: A regular deposit of $120 is made at the beginning of each year for 20 years. Simple interest is…

A: Simple interest is the interest paid or computed only on the principal amount of money. It odes not…

Q: How much interest will an account earn if you deposited $605 at the end of every six months for 11…

A: The objective of the question is to calculate the total interest earned on an account where $605 is…

Q: Consider a $1,800 deposit earning 10 percent interest per year for 7 years. How much total interest…

A: Interest on interest is that under which is earned by the investor on his interest earned amount…

Q: Determine the amount of money in a savings account at the end of 5 years, given an initial deposit…

A: Compounding: It is the practice by which the interest is credited both to an existing principal…

Q: An initial deposit of $9000 is made into an account now, and a second deposit of $21000 is made into…

A: Compounding frequency is the number of times a sum of money earns a quoted nominal interest in a…

Q: The stated interest rate on your account is 8% interest, compounded monthly if you deposit $50 each…

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

Q: A payment of $4,500 was made into an account at the end of every 3 months for 12 years. a. If the…

A: The FV of an investment refers to the combined value of the cash flows of the investment at a future…

Q: You invest $4,000 in an account that pays a fixed annual rate of 6% interest compounded yearly. How…

A: In the present question we require to calculate the future value after 7 years from the following…

Q: Payments of $1000 each are made at the end of every year for 6 years to a savings account. Calculate…

A: Future value is an estimate of future cash flows ​​that may be received at a future date, discounted…

Q: how, secol deposit ears. During the first 10 years, the account earns interest quoted at 10 years…

A: In this future value of investment is to be calcualted.

Q: $480 is deposited at the beginning of every 6 months into a savings account. This will continue for…

A: An account where deposit made by accountholder is credited and credit balance is added with interest…

Q: Annuities At the end of each quarter, $1000 isplaced into an account that pays 12%,…

A: The future value of ordinary annuity is the group of instalment payment of fixed amount at a certain…

Q: A payment of $250 was made at the beginning of each month for 7 years into a savings account. After…

A: It is a case of calculation of interest earned on savings done for a period of time. It uses the…

Q: You deposit $1,000 at the end of the year (k = 0) into an account that pays interest at a rate of 6%…

A: Compound interest also referred to as interest on interest, reinvests the interest earned in a…

Q: An engineer deposits $8500 every semiannual(first deposit will be 6 months later) into a savings…

A: Semi Annual Deposit = 8500 Total Semi Annual Periods = 32 (16 years) Interest Rate = 18% Monthly…

Q: You deposit $1,000 in the bank at an annual interest rate of 8%. Interest is compounded once per…

A: Present Value, PV = $1,000 Interest rate per period, r = 8% Number of compounding periods, n = 1 The…

Q: Sixty monthly deposits are made into an account paying 8% nominal interest compounded monthly. If…

A: Payment per period can be calculated using PMT function in excel.   PMT(rate, nper, pv, [fv],…

Q: how much interest will an account earn if you deposited $435 at the end of every six months for 7…

A: The objective of the question is to calculate the total interest earned on an account where $435 is…

Q: How much must be deposited at the beginning of each month in an account that pays 6% compounded…

A: Monthly rate = 6%/12 = 0.5% Number of periods = 7*12 = 84 Future value required is $31,000 Find…

Q: You want to accumulate $12000 in a 5% account by making a level deposit at the beginning of each of…

A: The problem involves accumulating $12,000 in a 5% interest account over the next 9 years through…