13. Carol set up an RRSP for a client when the client was 30 years old. The client put $750 intothe account every month until they retired at age 60. The account averaged an annual rateof 7.6% per year compounded annually. The client then wants to take a monthlydisbursement from the account starting at age 60 for the next 25 years. What would themonthly disbursement be if the RRSP investment retained the same terms and after 25 yearswould have a zero balance?Complete the tables and circle the value that was calculated for each table.First 30 YearsPV0Next 25 YearsPV11.049FV(98 0 2.50.98)FV0Periods Rate Payment7.6130yearsRatePMT/yr CMP/yr1$750 9000PeriodsPayment PMT/yr CMP/yr25 7.6.1871 46.98 485 170 1

We need to break this question in to 2. In the first part we are going to determine the value of the…

Answered: First 30 Years PV 0 Next 25 Years PV…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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plan A plan B plan C Down payment 1,789.91 2,309.65 3,764.51 Annual payments 5,097.70 7,450.16 9,845.78 Years 20 20 20 Discount rate 12% 12% 12% What is the present value of plan B?
Periodic Payment Payment Interval Term Interest Rate Conversion Period $3990 1 month 8 years 7% annually the future value is $
Landon Wallin is an auto mechanic who wishes to start his own business. He will need $4900 to purchase tools and equipment. Landon decides to finance the purchase with a 36-month fixed installment loan with an APR of 5%. a) Determine Landon's finance charge. b) Determine Landon's monthly payment. Click the icon to view the partial APR table. a) Landon's finance charge is $ (Round to the nearest cent as needed.) b) Landon's monthly payment is S (Round to the nearest cent as needed.) ...
Question 13 How much principal will be repaid during the first year of end-of-month payments of $760 on a $39,000 loan at 11% compounded monthly? $6,342.20 O $1.254.75 O $7,005.20 O $5.081.11 O$3.055.63
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 A B Balance $ 14,000.00 Annual Rate 13.00% Monthly Rate Minimum Percentage Minimum Payment Additional $ с Month 2.50% $40.00 D E F G Calculate additional monthly payment required to pay off balance in 7 years. Minimum Total Payment Payment Interest Principal Balance H I J K
Winett Corporation is considering an investment in special-purpose equipment to enable the company to obtain a four-year municipal contract. The equipment costs $222,000 and would have no salvage value when the contract expires at the end of four years. Estimated annual operating results of the project are as follows. Revenue from contract sales. Expenses other than depreciation Depreciation (straight-line basis) Increase in net income from contract work $211,000 55,500 All revenue and all expenses other than depreciation will be received or paid in cash in the same period as recognized for accounting purposes. Compute the following for Winett's proposal to undertake this contract. a. Payback period b. C. a. Payback period. b. Return on average investment. (Round your percentage answer to 1 decimal place (i.e., 0.123 to be entered as 12.3).) c. Net present value of the proposal to undertake contract work, discounted at an annual rate of 10 percent. (Refer to the annuity table in…
First part only
PV Years Percent Compound FV $9,817.30 27 Weekly 14.59% O a. $288,108.80 O b. $501,663.75 O c. $439,829.35 O d. $48,490.59 thousand is:
Price $925.93 YTM 8.00% 853.39 8.25 782.92 8.50 15.00 8.75 650.00 9.00 a. Calculate the forward rate of interest for each year. b. What is the 2-year forward rate beginning in year 3? Maturity (years) 1 2345
Plz asap
%24 What is the present value of a $1,000 payment made in five years when the discount rate is 10 percent? (Do not round Intermedlate calculatlons. Round your enswer to 2 declmal places.) Present value र् ( Prev 37 of 40 Next > ype here to search DELL F2 F4 F5 F7 F8 F11 F12 KA #3 V %
Qd 254.

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First 30 Years PV 0 Next 25 Years PV 11.049 FV 98 0250.94 FV 0 Periods Rate 30 7.6% years Periods 25 Payment PMT/yr CMP/yr ५१००० । 1$750 Rate Payment PMT/yr CMP/yr 7:6.1871 46.98 85 110