Carlo and Elise loves to play lottery. They just won Php10,000 in the GongDi WangBu lottery. They decide to spend Php3,000 now and put the remaining Php 7,000 in an investment earning 8 percent compounded annually. If they use the money in that investment for a vacation in five years, approximately how much will they have available to spend on that vacation?

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A: To calculate the investment amount we will use the below formula   Investment amount = F/(1+r/m)n*m…

Q: Justine is thinking about purchasing an investment from RCBC Capital. If she buys the investment,…

A: Receipts = 1000 every quarter for 2 years Beginning of period payments Time Period = 2 years * 4 = 8…

Q: hat do you think the future worth of her investment will be?  b. How much interest will she earn?

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A: The time value of money is a core valuation topic in finance that accounts for the effects of…

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A: Given:

Q: Bill O’Brien would like to take his wife, Mary, on a trip three years from now to Europe to…

A: Future value:

Q: Question 1 What would be the better outcome, renting or buying and by how much? (Show your work and…

A: Pierre is deciding on whether he should buy a house or rent it. If rented the expense will be $1500…

Q: Please round the answer up to TWO decimal places.

A: The answer is in the explanation.Explanation:1. Calculate the future cost of the university fees for…

Q: Jayden is currently working but plans to start college in a few years For this purpose, she would…

A: Step 1 A fundamental principle of finance argues that money received now is worth more than the same…

Q: Elena wanted to invest in a trust fund. She borrows from a credit corporation that charges 8% simple…

A: Borrowings are the liability of the company which is used to finance the requirement of the funds.…

Q: Ali has decided to take a trip back home to California in 1 ½ years, but she needs to save up some…

A: Using excel FV function

Q: The Jimenez's are planning a family vacation to Dubai.  Three years ago they save $2000, last year…

A: Future Value: It represents the future expected value of the present sum of the amount. The future…

Q: Mike and Terri estimate that they want to buy a house for $186,000.00, and they need to make a down…

A: The first step is to calculate the amount of the down payment. This is done by multiplying the cost…

Q: Aziz and Bo are planning a big graduation party for their friends in exactly four years. They decide…

A: Here,APR on Investment in 3%Fund Required is $10,000Time Period of Investment is 4 yearsCompounding…

Q: Martina won $ 5000 in the lottery and decided to invest it with a view to taking a trip to Paris…

A: FUTURE VALUE  Future Value is the value of a Current Cashflow at any Future Date. Future Value is…

Q: Lenter wishes to have php. 36,000 after 1 year and 3 months to be used for their educational tour.…

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

Q: Robert Jones and his wife Suzie recently opened an investment account with the intention of saving…

A: Future value (FV) is the value of an asset or investment at a specified date in the future, based on…

Q: In 3 years, Muhammad wants to have a balance of $10,000 in his savings to take a trip. What monthly…

A: Compound = monthly = 12 Time = 3 * 12 = 36 months Future value = fv = $10,000 Interest rate = r =…

Q: Solve with lump sum. A 13-year-old has his dad save$100of his birthday money for the next family…

A: The time value of money is applied when the future value of an equated amount deposited is to be…

Q: Amy currently has $500 in an account with an annual rate of return of 4.3%. She wants to have $3000…

A: Here, Presnet value "PV" = $500 Future value for trip "FV" = $3000 Annual rate of return  = 4.3%…

Q: Richard just entered a university, and his parents are planning to give him a car upon graduation.…

A: Future value is computed by following formula:-FV = A*(1+r)nwhereFV = future valueA = amount…

Q: Jose wants to cash in his winning lottery ticket. He can either receive eight, $6,000 annual…

A: Solution:-When an equal amount is received each period at beginning of the period, it is known as…

Q: Jack wins a lottery. He now wants to put a fixed amount into a savings account paying   j1= 4% to…

A: Here in this case, first, we will compute the PV of annual payment from the 10th year onwards. Then…

Q: Mr. and Mrs. Megabucks would like to set up a college fund for their grandson. They want him to be…

A: Given: N = 24, FV = 0, PMT = 1750, rate = 2.4%/12 = 0.2

Q: Payton wants $5,000 saved in 2 years to make a down payment on a house. How much money should she…

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Q: Gil decided to sell their farm and to deposit the fund in a bank. After computing the interest, he…

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

Q: AJ is saving for a trip for his family and as of today has accumulated $675 in a trip fund. AJ's…

A: The period of investment refers to the period for which invest is made to achieve desired return and…

Q: Mr. and Mrs. Revilla decided to sell their house and to deposit the fund in a bank. After computing…

A: Annuity Due: It is  an annuity where payment is due immediately at the start  of each period.

Q: Angela wants to take the next five years off work to travel around the world. She estimates her…

A: Step 1:Here we need to determine the how much money Angela needs now to fund her travels for the…