Eric invested his savings in a bank at 3.75% compounded monthly. How much money did he invest to enable withdrawals of $4,000 at the beginning of every 6 months from the investment for 7 years, if the first withdrawal is to be made in 10 years?

Q: Roger decides to start an investment account by depositing $5,000 today. In one year he will invest…

A: Initial deposit (Year 0) = $5,000 Year 1 Deposit = $500 Year 2 Deposit = $600 Year 3 Deposit = $700…

Q: If you deposit $8,000 in a bank account that pays 7% interest annually, how much will be in your…

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

Q: money should he have

A: A retirement plan refers to the financial strategies of saving, investments, or distributing money…

Q: Mark deposits $50,000 now into an account which will eam interest at a rate of 7% per year, how much…

A: Present value = $50,000 Interest rate = 7% Number of years = 4

Q: John already has $50,429 in his savings account. He plans to make contributions of $1,658 at the end…

A: The banks generally offer compounding interest, The interest is earned on interest and the interest…

Q: Sarah opens an investment account with an initial deposit of $1900. She then sets up monthly…

A: The initial deposit is $1,900 Monthly deposits are of $120 The interest rate compounded monthly is…

Q: Rohit invests $ 1 every year starting from the end of the current year. If his savings earn an…

A: Solved using Financial Calculator  PMT = +/- 1 I/Y = 15 FV = 20 CPT N = 9.92 = 10 years

Q: Bill started saving for his retirement when he was 37. Each month he depo $100.00 into an annuity…

A: Future value of amount includes the amount being that is deposited and amount of compounded interest…

Q: You make five annual deposits of $1,800 into a savings account that pays interest at a rate of 3%…

A: Annual deposit=$1800Interest rate for 6 years=3%Last four years=4%Number of deposits=n=1800Find…

Q: Robert wants to deposit $300 into a fund at the beginning of each month. If he can earn 10%…

A: Given information : Monthly deposit = $300 Interest rate = 10% Tenure = 6 years

Q: If Luis Jimenez makes annual deposits of $1,000 into a savings account for 30 years, how much will…

A: Interest charged on the principal amount and the interest accrued is known as Compound Interest. It…

Q: Consider two savings plans: Kelly deposits $415 per month in an account with an APR of 4.2% for 15…

A: Here we can use the concept of time value of money. The concept of time value of money states that…

Q: Dean Gooch is planning for his retirement, so he is setting up a payout annuity with his bank. He…

A: Payout annuity is the amount that an investor receives at a regular interval after a certain period…

Q: Brian wants to invest the same amount into a sinking fund at the end of every 3 months so that he…

A: We will use the below formula to calculate the amount of each deposit   Quarterly deposit =…

Q: Suppose that Jacob would like to invest at the end of each month for the next 15 years into an…

A: Ordinary Annuity refers to series of equalized payments that are made at end of period for certain…

Q: You deposit $1,700 at the end of each year into an account paying 8.6 percent interest. a. How much…

A: ParticularAmountDeposits (PMT) $   1,700.00Interest Rate (RATE)8.60%No. of Deposits (NPER)16

Q: Whitney deposited $200,000 into a savings account that has an annual interest rate of 8% compunded…

A: Interest is an extra amount which is received or paid on deposited or borrowed amount for the…

Q: If i deposit $1,884 per year into a savings account earning 2% interest per year, how much will i…

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

Q: Seamus has made deposits of $84 into his savings account at the end of every month for 20 years. if…

A: STEP 1 Effective Rate The return on an investment or the amount of interest owing on a loan, when…

Q: Gigi saves $1,000 per month and increases by $20 per month with the first deposit being made today,…

A: We have to find the present value of all the future payments. Future payments increase by a fixed…

Q: Michelle Payne deposited $16,000 in a savings account paying 6.25% simple interest. How long (in…

A: A method of computing interest amounts in which the compounding effect was not considered by the…

Q: I am investing $4100.00 in a bank account that pays 1.5% per year. If my interest is paid weekly,…

A: Present value, PV = $4,100 Interest rate = 1.5% per year Period = 15 yearsThe future value can be…

Q: Nick invested $2,000 in a bank savings account today and another $2000 a year from now. If the bank…

A: Future value is that amount which will be require to paid at some specified period of time. It…

Q: Peter makes a deposit at the end of every three months into a savings account that earns interest at…

A: Future value is the value of the future cash flows being compounded at a predefined rate of interest…

Q: You invest $3,000 in a Certificate of Deposit paying an annual compound interest of 1.26% for 10…

A: Principal amount, P = $3,000  Interest rate, r = 1.26%  Number of compounding periods, n = 10    The…

Q: Rafael saves PHP 1,000 per month and increases by PHP 20 per month with the first deposit being made…

A: Rafael saves PHP 1,000 per month and increases by PHP 20 per month

Q: You open a bank account, making a deposit of $300 now and deposit of $1000 every other year (the…

A: Amount deposit now for 10 years = 300 Amount deposited every year from & at the end of 2nd year…

Q: Assuming you will be able to deposit $6000 at the end of each of the next four years in a bank…

A: Future Value of Ordinary Annuity refers to the concept which gives out the compounded or future…

Q: Karen wants to have $22,559 in her investment account in 5 years. If her bank offers an annual…

A: Following details are given in the question : Future value = $22559 Time period = 5 years Interest…

Q: if your bank pays 3.73% interest, how much will you accumulate in the account at the end of 30 years

A: We can determine the accumulated amount using the FV of annuity due formula as below:In the formula…

Q: Michelle payne deposited $20,000 in a savings account paying 6.25% simple interest. How long (in…

A: Future value = Prinicipal amount + Interest amount

Q: John already has $19,598 in his savings account. He plans to make contributions of $753.35 at the…

A: The banks generally offer compounding interest, The interest is earned on interest and the interest…

Q: When payments are made at the end of each period, you will treat them as    .   You are planning to…

A: Introduction: An annuity is an arrangement to receive stable income after retirement, in which a…

Q: Determine the size of your investment account 23 years from now (when you plan to retire) if you…

A: Future value: It is the value of the current asset, depending on the assumed rate of the growth, at…

Q: You plan to invest an amount of money in a five-year certificate of deposit (CD) at your bank. The…

A: future value formula: future value=present value×1+rmm×n given, r=12% n=5 years fv=$7500 m=4…

Q: If you deposit $13,.224 annually at the end of every year in a bank account paying 8% annually. how…

A: Annual deposit (D) = $13,224 Period (n) = 5 Years Interest rate (i) = 8% (or 0.08) Amount saved at…

Q: You have just deposited $12,000 into an account that promises to pay you an annual interest rate of…

A: Calculate the future value at the end of the year 8 as follows: Future value = Present…

Q: Karen wants to have $22,011 in her investment account in 6 years. If her bank offers an annual…

A: Here,RequiredAmount (FV) is $22,011Time Period (n) is 6 yearsInterest Rate (r) is 2%Compounding…

Stock Market Indices

Stock indexes are used to compare the price fluctuations of a group of stocks of similar companies, which are combined based on a similar industry or a particular market capitalization limit or type of market. The price comparison is based on a pre-determined standard method or indicators. These stock indexes are usually considered a base for comparison of a particular stock, and the performance of that particular company can be easily determined.