Given a 5 percent interest rate, compute the year 6 future value of deposits made in years 1, 2, 3, and 4 of $1,200, $1,400, $1,400, and$1,700, respectively. (Do not round intermediate calculations and round your final answer to 2 decimal places.)O Answer is complete but not entirely correct.Future value6,278.18 8< Prev6 of 18Next >...

The future value is the amount that will be received at the end of a certain period. In simple…

Answered: Given a 5 percent interest rate,…

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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Similar questions

Compute the number of years (t) if future value (FV) = $10174, present value (FV) = $1498, and interest rate (r) = 14.7%,. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.):
When $8,600 is invested in a savings account paying simple interest for the year, the interest, i in dollars, can be obtained from the equation i=8,600r, where r is the rate of interest in decimal form. Graph i=8,600r, for r up to and including a rate of 16%. If the rate is 7%, how much interest is earned? OA. $6,020 OB. $602 OC. $586 OD. $622
For each of the following, compute the present value: (Do not round inte calculations and round your answers to 2 decimal places, e.g., 32.16.) Present Value Years 12 4 16 21 Interest Rate 4 % 9 12 11 Future Value $ 18,528 42,717 802,382 659,816
Required: Solve for the unknown number of years in each of the following. (Round your answers to 2 decimal places (e.g., 32.16).)
Please show work. Thank you
Compute the present value of a $2,200 deposit in year 3, and another $1,700 deposit at the end of year 5 if interest rates are 8 percent. (Do not round Intermediate calculations and round your final answer to 2 decimal places.) Present value
Solve for the unknown number of years in each of the following: (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Present Value Years S 300 1,991 32,905 32,600 Interest Rate 10 % 8 13 20 Future Value $ 1,155 3,750 387,620 199,724
What is the value in year 4 of a $710 cash flow made in year 6 if interest rates are 9 percent? ( do not round intermediate calculations. Round your answer to 2 decimal places.)
Compute the future value in year 8 of a $3,500 deposit in year 1, and another $3,000 deposit at the end of year 3 using a 10 percent interest rate. Note: Do not round intermediate calculations and round your final answer to 2 decimal places. Future value
For each of the following, compute the future value: Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. Present Value $ 2,350 10,053 105,305 243,382 Years Carne p 7 20 14 30 10 333 E MA Interest Rate 23232 HOS: ploping 201 18 % 10 % 11 % 3% Future Value
Suppose $1,200 is deposited into an account which has an annual percentage rate of 9.81% per year. Assume it remains in the account for 18 years and no additional money is added to the account other than interest. (a) Complete the boxes below to write an expression for the amount (in dollars) at year x = 18, of assuming interest is compounded annually. Do not round any values. You can enter arithmetic expressions (containing +, -, *, /, or ^) in any of these boxes. Number 1200 •( Number What is the value in year x = 18 of an investment of $1,200 dollars which pays 9.81% compounded annually? $ Number (Round to the nearest 0.01 dollars) (b) Complete the boxes below to write an expression for the amount (in dollars) at year x = 18, assuming interest is compounded weekly (52 times per year). Do not round any values. You can enter arithmetic expressions (containing +, –, *, /, or ^) in any of these boxes. Number 1200 ( Number What is the value in year x = 18 of an investment of $1,200…
For each of the following, compute the present value: (Do no calculations and round your answers to 2 decimal places, e.g., 32 Present Value Years 10 2 14 19 Interest Rate 6% 11 4.3 14 13 Future Value $ 18,728 42,917 804,382 661,816

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