amount

Q: The desired accumulated amount is ​$70,000 after 11 years invested in an account with 7.4​% interest…

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

Q: Compute the present value of $199500 that is invested for 6 years and 9 months at 2.45% compounded…

A: Here, Future Value is $199,500 Time Period is 6 years and 9 months Time Period in Months will be:…

Q: (iv) Continue with this logic and sum all the matured values expressed

A: We can determine the future value of an amount using the formula below:In this formula, amount =…

Q: Find the future value of an account if the present value is $172.39 at 6% interest for 700 days.

A: Future value of investment is the value received after putting some efforts and time in the…

Q: What is the future value in five years of $1,000 invested in an account with an APR of 10 percent,…

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

Q: Use the formula for continuous compounding to compute the balance in the account after 1, 5, and 20…

A:

Q: Compute the present value of $199,500 that is invested for 6 years and 9 months at 2.45% compounded…

A: The present value is the value of the sum received at time 0. It is the current value of the sum…

Q: If $15,000 is invested at 3.5% for 20 years, find the future value if the interest is compounded the…

A: Initial investment (I) = $15,000 Interest rate (r) = 0.035 or 3.5% Period (t) = 20 years Future…

Q: If you invest $48500 to earn 7% interest, which of the following compounding approaches would return…

A: Compounding in simple language means the interest on the previous interest. So if the compounding…

Q: Using the appropriate PV​ table, compute the present value of the following​ amount: $24,000 payable…

A: Present value (PV) is the current value of a future sum of money or stream of cash flows given a…

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: 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: What is the value today of $68,599 that will be received at the end of 13 year(s) having earned an…

A: The present value of the money to be received in the future is the future value discounted at the…

Q: Compute the simple interest INT for the specified length of time and the future value FV at the end…

A: Simple interest is the formula for determining interest with respect to the principal amount, time,…

Q: What annual interest rate must be obtained to accumulate $10,000 in 8 years on an investment of…

A: The interest rate is compounding quarterly. Hence, it is important to understand that, annual rate…

Q: What is the present value of a $120,000 cash flow to be received at the beginning of each of the…

A: Amount  of Cash flow = $120000 at the beginning of the year Years(n) = 20 Annual rate(r) = 9%…

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: When interest is compounded continuously, the amount of money increases at a rate proportional to…

A: Here,Deposit Amount is $6,000Time Period is 3 yearsInterest Rate is 5.75%Compounding Period is…

Q: What is the present value of $2,000 received today,  $2,500 received at the end of each of the next…

A: Present value of cashflow for any year = Cashflow for that year/(1+ discount rate)^time Cashflow for…

Q: A bank projects that the value of an account they hold will be $2, 000, 000 in 5 years. If the…

A: Future value (FV) = $2,000,000 Period (t) = 5 Years Interest rate (r) = 5% Mathematics constant (e)…

Q: The preferred stock price per share is $40 and pays a $2 dividend. Common stock shares sell for $20…

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

Q: n amount of $5000 was invested with an annual interest rate of 5.5% compounded monthly. Answer the…

A: Future value of amount is computed as follows:-FV = A * (1+r)nwhereFV = future value A = amount…

Q: Use the present value formula to determine the amount to be invested​ now, or the present value…

A: Present value is the value of an asset in today’s time. It the value which is worth today. It helps…

Q: Solve for the future value of $1,300 after 1 year invested at 4 percent if compounding is a) annual.…

A: Future value is the value of present investment in the future after compounding the present…

Q: If $1,000.00 is invested in an account for 30 years. Find the value of the investment at the end of…

A: The conceptual formula used:

Q: 6. Determine the accumulated balance: $1200 invested in an account that cams interest at an APR of…

A: Future value of the investment  that is compounded continuously can be calculated using the…

Q: Suppose that $850,000 is invested in a savings account paying 5.25% interest per year. (Round…

A: the given information  amount = $850,000 interest rate = 5.25%

Present Value

Present value (PV) is defined as the current or present value of all future sums of cash flow or money at a specified rate of return. This rate of return is known as the discounted rate, which is essentially the interest rate, discounted over some time. The expected cash flows are discounted at a discount rate to compute the present value. The higher the discount rate, the higher the future value (FV), but the lower the present value.