Find how much money needs to be deposited now into an account to obtain $4,400 (Future Value) in 12 years if the interest rate is 5.5% per year compounded continuously. The final amount is $ Round your answer to 2 decimal places

Q: How much should be invested each year for 10 years to provide you with $7000 per year for the next…

A: Annuity means no. of payments which are equal in size and made at equal length of intervals. Person…

Q: How much will accumulate in three years by depositing $540 at the end of each of the next 12…

A: The future value can be compared by looking at how much money you will have in the future from the…

Q: What is the future value of an account if $8,000 is invested at a rate of 7% compounded monthly for…

A: Future Value = P * (1 + i/n)(n x t)Where: P = Initial Invested amount i = Annual interest rate n =…

Q: How much will accumulate in an account with an initial deposit of $100, and which earns 10% interest…

A: Future value can be referred to as the value of an underlying asset or security at a future date.…

Q: Imagine that you have $8,000 to invest for 19 years. How much more interest will you earn if you…

A: Interest is the cost of borrowing or lending money.

Q: If you deposit $300 at the end of every month in a savings account that pays a nominal APR of 5% per…

A: Compounding refers to phenomenon of calculating interest where interest is added to the principal…

Q: You deposit $10000 into a CD with 5% interest compounded monthly. The CD will last 10 years. When…

A: The objective of the question is to find the amount that will be accumulated in a Certificate of…

Q: unt balance of $10,000 after 5 years, what amount do you need to invest initially into an account…

A: More is compounding than more is the effective interest rate and hence more will be the future value…

Q: you deposit money today in an account that pays 13.5% annual interest, how long will it take to…

A: Future value = Present value x (1+i)^twherePresent value = amount deposited today = $1…

Q: Suppose that your bank pays 6% interest, compounded quarterly. Use Table 12-2 to find how much…

A: Using Table 12-2, we can find the present value factor for an annuity of $1 per period for 12…

Q: You deposit $66000 into an account which pays 5% compounded quarterly. How much can you withdraw at…

A: Perpetuity means infinite no. of payments which are same in size and made in equal intervals. Person…

Q: You are considering taking out a loan of $11,000.00 that will be paid back over 10 years with…

A: Unpaid loan balance will be the present value of outstanding payments that are not yet paid based on…

Q: You are paid £3,500 annually for 8 years, with the first payment due in one year and the last…

A: Present value is the current worth of a future payment or stream of payments, taking into account…

Q: If you save $5 per day in an account that earns 4.5% interest per year, how long will it take for…

A: Time value of money (TVM) refers to the method used to measure the amount of money at different…

Q: will be making end of month deposits of $800 into the account for 12.5 years. How much will you need…

A: The future value is an estimate of how much money you will have in the future from investments or…

Q: You want to have $67,000 in your savings account 10 years from now, and you're prepared to make…

A: Payment per period is the regular payments made or received of an investment, while future value is…

Q: You deposit $400 at the end of each month into an account earning 3.7% interest compounded monthly.…

A: Future Value (FV) is a financial concept that represents the projected worth of a sum of money at a…

Q: You deposit $57000 into an account which pays 7% compounded annually. How much can you withdraw at…

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

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

A: Future Value Annuity is the technique of determining the furure value of a series of regular…

Q: Suppose you make a one-time $ 8,000 investment into an account that yields a 12% annual return. If…

A: The FV of an investment refers to the total value of its cash flows at a future date assuming that…

Q: Find the interest rates earned on each of the following. Round each answer to two decimal places.…

A: The time value of money is an essential financial concept that implies that a dollar amount in one's…

Q: If we are investing in an account with an interest rate of 5.7% compounded monthly and we wish to…

A: The amount to be placed in the account today is computed using the present value formula.

Q: You wish to save $58000 in an account which pays 7% compounded quarterly by making monthly deposits…

A: Given:   Expected value in the account in future  $58,000.00 Interest rate per year 7%…

Q: These are 2 subsections of the same question, please answer both questions. Please round the answer…

A: Loan Amount100000PVTenure, years5NPERInterest rate0.1RATEAnd Notional amount10000Future…

Q: You are paid £2,500 annually for 6 years, with the first payment due in one year and the last…

A: Present value = Annuity * PVA of 1

Q: Use the formula for computing future value using compound interest to determine the value of an…

A: Principal =13000 interest rate =5% quarterly interest =1.25 Period 8 years =32 quarters

Q: n how many years and days should a singl payment of $2000 be made in order to be =quivalent to…

A: Simple interest is the interest without compounding that means there is no interest on the interest.

Q: At the beginning of the year you deposit $3,000 in a savings account. How much will accumulate in 3…

A: Future value refers to the value of current assets at some future date on the basis of the assumed…

Q: Estimate the present value of an annuity if payments are $1000 monthly for 15 years and the account…

A: PVA=P×1-e-rter-1where,r= ratet= no  of years

Q: If you put $259 into a bank account that pays 3.5% interest, compounded 9 times per year, how much…

A: Workings:

Q: How much should be invested each year for 10 years to provide you with $8000 per year for the next…

A: Present value includes the value without interest rate and future value includes the value with…

Types of Insurance Contract

Insurance is a contract wherein an individual or entity gets financial protection from the insurance company for any damages or losses incurred. The individual or entity is called the insured, whereas the insurance company is called the insurer. The insured and the insurer enter a legal contract for a fixed term called the insurance term, and the contract is called an insurance policy.