How much must be deposited today into the following account in order tohave $45,000 in 8 years for a down payment on a house? Assume noadditional deposits are made.An account with quarterly compounding and an APR of 6.8%$ should be deposited today.(Do not round until the final answer. Then round to the nearest centas needed.)13

Step 1: Given Value for Calculation Compound = Quarterly = 4Future Value = fv = $45,000Time = t = 8…

Answered: How much must be deposited today into…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Suppose you want to accumulate $20,000 for a down payment on a house in 5 years. How much must you deposit today into an account with an APR of 5% compounded monthly in order to have $20,000 in 5 years? PV = PMT= FV = APR = Periods = Compounding:
A person wishes to have $13000 cash for a new car 4.5 years from now. How much should be placed in an account now, if the account pays 15% compounded monthly? Round your answer to two digits!
If you put $1,000 in a savings account that pays interest at the rate of 3 percent, compounded annually, how much will you have in 7 years? Round the answer to the nearest cent. Round FV-factor to three decimal places or use the Appendix A . (Hint: Use the future value formula.) $ How much interest will you earn during the 7 years? Round the answer to the nearest cent. $ If you put $1,000 at the end of each year into a savings account that pays interest at the rate of 3 percent a year, how much would you have after 7 years? Use the Appendix B . Round the answer to the nearest cent. Round FV-factor to three decimal places. $
Compute the amount of money to be set aside today to ensure a future value of $1,400 in one year if the interest rate is 4.5% annually, compounded annually. The amount of money to be set aside is S (Round to the nearest cent as needed.)
You are to make monthly deposits of $825 into a retirement account that pays an APR of9.7 percent compounded monthly.If your first deposit will be made one month from now, how large will your retirementaccount be in 32 years? (Do not round intermediate calculations and round youranswer to 2 decimal places, e.g., 32.16.)
You want to withdraw $30,000 a year for 30 years. Your account earns 12% interest. How much do you need in the account to be able to do this? A) $241,655.52 B) $231,647.39 C) $245,723.12 D) $198,789.56
A 79. Subject:- finance
How much would you need to save each month in an account that earns 8% interest compounded monthly if you want to have $2,000,000 saved in 35 years for retirement? Round your answer to two decimal places and do not include the dollar sign.
If you want to have $23,000 for a down payment for a house in six years, what amount would you need to deposit today? Assume that your money will earn 3 percent. Use the TVM keys on your calculator ... NOT the tables in the book Enter your answer as a negative value in the form: -$nn,nnn.nn Numeric Response 19,262.13 X
Find the lump-sum deposit needed today that will produce payment of $4200 at the end of each year for 12 years where the interest rate is 4.5% compounded annually(Solve with Presents Values with Annuities or Loans and Amortization)

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