A woman invests $8750 in an account that earns 6% interest per year, compounded quarterly.  Find the value of her investment in 19 years.

Q: Alec, Daniel, William, and Stephen decide today to save for retirement. Each person wants to retire…

A: Future value is the amount that was deposited and the amount of compounded interest accumulated over…

Q: Who will have more money in their account after 20 years? How much more? x within your choice.

A: Time value of money (TVM) means that the amount of money received in the present period will have…

Q: A woman invests $1,500 at a rate of 2.9%. Find the time in years that it takes her investment to…

A: We will use the concept of time value of money here. As per the concept of time value of money the…

Q: A business owner plans to deposit his annual profits in an investment account earning a 9% annual…

A:

Q: a) Enter your desired amount of money you wish to receive each month while retired = 3 7000 b) Upon…

A: The money as you deposit each month grow to much larger amount due to effect of compounding of…

Q: I earn $50,000 per year, which is called my “gross income." But I only take home $39,500 each year,…

A: Introduction:- Income is the monetary value of an entity's consumption and saving opportunities…

Q: Gordon Rosel went to his bank to find out how long it will take for $1,800 to amount to $2,260 at 8%…

A: Future value is calculated as follows:-FV= A+IwhereFV= future valueA= amount investedI= interest…

Q: oday, your investing account has a balance of $3,600. You opened the account with a deposit of…

A: Formula:- F = A (1+r) n where , F = future value A = initial investment r = interest rate n = time…

Q: Delbert invests $250 in an account that pays 8.5% interest compounded continuously. a. Write a…

A: The formula for the amount of money in Delbert's account after t years, given an initial investment…

Q: Maria Quick made an investment of $13, 695.17. From this investment, she will receive $1, 600…

A: An annuity is a financial product that involves a series of payments made at regular intervals over…

Q: If Emily deposits $500 every other year into her bank account that pays 1.5% annual interest,…

A: Compound = Every Other year or once per 2 year = 0.5Payment = p = $500Time = t = 10 * 0.5 =…

Q: A man needed money for college. He borrowed $6,000 at 12% simple interest per year. If he paid $360…

A: When the borrower borrows a loan from the lender, he has to pay a rate of interest on the borrowed…

Q: 2. At the end of each year, an investor deposits some money into a fund earning 7% interest. The…

A: When the certain amount of money is deposited at the regular interval over a period of time at a…

Q: Suppose that you deposited $1000 in your savings account that earns 10% annual interest. How much…

A: Present Value in account = $1000 Annual interest rate = 10%  Time period = 3 years

Q: amount in the 6% account, how much invest in the 5% account? A. $4200 B. $2800 C. $1500 D. $3600

A: Future value is the amount of deposit done and the amount of interest accumulated over that amount.

Q: You have decided to start saving for retirement. You plan to work for 35 years and then retire.…

A: Retirement planning is a means of planning to achieve financial independence in the future and to…

Q: executive is going to purchase a vacation property for investment purposes. She needs to borrow…

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

Q: ming that you are twenty years old and you have decided that you want to have $450,000 in the bank…

A: With the intention of protecting or growing the invested capital, investments entail the purchase or…

Q: Jack places an amount of 560 in an account at the end of each year for 12 consecutive years…

A: Annual depoist (C) = $560Interest rate (r) = 0.08Number of deposits (n) = 12Value at the end of 12th…

Q: Keiko deposits money in an account paying i(12) = 4.550%. How many years until she has at least…

A: Rule 72 According to Rule 72, with interest rate (r) in percentage term, the number of years…

Q: Jasmine deposits 1000 into a savings account paying nominal interest rate of 6 percent compounded…

A: Here,Deposit Amount (PMT) is $1,000Nominal Interest Rate (r) is 6%Time Period (n) is 20…

Q: Starting next month, if you make monthly deposits of $501 into a retirement account that earns 6%…

A: Future value refers to the value of an investment or asset at a specific point in the future, based…

Q: Karen White deposited $3,800 today in an account paying 6 percent interest annually. (If you solve…

A: Simple interest rate and compounding interest rate are the different types of interest rates. Simple…

Q: A woman opens an account with $750 and then adds $500 at the end of each 6-month period for 10…

A: Present value is an estimate of the present value of future cash values ​​that may be received at a…

Q: Derek borrows $40,041.00 to buy a car. He will make monthly payments for 6 years. The car loan has…

A: Time value of money (TVM) means that the amount of money received in the present period will have…

Q: Suppose you want to have $400,000 for retirement in 35 years. Your account earns 5% interest. How…

A: Future Value is that amount which is received by the investor at the end of the investment period.…

Q: Wendy has $8,000.00 invested in a bank that pays 13.75% annually. How long will it take for her…

A: In compound interest, the amount of interest received will be added to the principle  every year and…

Q: Use the TVM Calculator to solve the following compound interest problem. Round your result to two…

A: Present Value ( PV ) = 14000 Future Value (FV) = 24262.99 Annual Rate  (r) = 9.2% Monthly Rate =…

Q: If you earn 5% per year on your bank account, how long will it take an account with $110 to double…

A: The present value is the present worth of the amount that is paid or received in the future.

Q: A woman opens an account with $6000 and then adds $2500 at the end of each 6-month period for 6…

A: The present value function or concept can be used to determine the present value of a future sum or…

Q: Helen Quick made an investment of $20,542.75. From this investment, she will receive $2,400 annually…

A: Step 1: The calculation of the rate of interest AB1Present value $ 20,542.75 2Annual receiving $…

Q: Ruth plans to invest some money so that she has $4,300 at the end of three years. Determine how much…

A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: Wilson invested $6000 into an account earning 4.9% interest per year, compounded quarterly. Find…

A: Information Provided: Present value = 6000 Interest rate = 4.9% compounded quarterly Term = 7 years…

Cost of Credit

The cost of credit is an extra amount that the borrower has to pay besides the loan amount. These credit charges may vary from loan to loan. The cost of credit includes interest charges, maintenance charges, and arrangement charges. Some of the costs are mandatorily collected by the lender based on the loan amount and tenure of the loan. The cost of credit is also called finance charges of the credit.