How much must be invested now at 6% interest in order to have $75,000 in ten years? TVM Tables link (will open in a new window) Select one: O a. $70,755 O b. $134,854 c. $43,268 O d. $39,509 e. $41,879

Q: You want to start to save for a major purchase. You can invest P320 every three months for 3 years…

A: The amount of interest earned can be computed with the help of future value of annuity function

Q: 1. An initial investment of $5000 earns 8.8% interest, compounded continuously. What will the…

A: given information initial investment = $5000 interest rate = 8.8% time period = 12 years

Q: If you are able to save $5000 in year 1, $5150 in year 2, and amounts increasing by 3% each year…

A: Data given: A1 = $5000 g= 3% i= 10% n= 20 years

Q: Nominal annual interest rates are 7.3%. If a businessperson has an opportunity to invest $40,000…

A: Option 1: If 40,000 invested at 7.3% for 5 years: Future Value = Present Value * ( 1 + Interest…

Q: The amount $20,000 will grow to $24,635.11 in 3.5 year(s). (Do not round until the final answer.…

A: Investors before taking any investment decisions need to calculate the current and future value.…

Q: Calculate the EUAC of a company If present worth is 5000$ for 6 years at interest rate of 11%.…

A: The answer for the multiple choice question and relevant working are presented hereunder : Present…

Q: What is the future value of $11,000 invested for one year at an interest rate of 6% p.a.? a. $17000…

A: Given, PV = 11000 Rate = 6%

Q: If you invest 5000 dollars today at a compound interest rate of 9 percent, what will be its future…

A: FUTURE VALUE  FORMULA: FV= PV ×CVIFR,N FV = FUTURE VALUE PV = PRESENT VALUE

Q: If the arithmetic gradient is 1000$ and interest rate is 10% what the present sum of company after 5…

A: The arithmetic gradient is a special case of cash flow series, in the series cash will either…

Q: Assume you invest $15,000 today. How much will you have in five years at an interest rate of​ 10%?…

A: Future value is computed as: FV=PV1+rnwhere, FV =Future valuePV =Present valuer= rate of interestn=…

Q: What's the future value of $15,000 after  11 years if the appropriate interest rate is 10.75%,…

A: Future value: This is the amount of present value accumulated or compounded at a rate of interest…

Q: (b) Using daily compounding, calculate the compound amount (in $) of a $9,000 investment for each of…

A: FUTURE VALUE FORMULA: FUTURE VALUE =PV×1+R365365×N PV=PRESENT VALUE R=RATE OF INTEREST N=NUMBER OF…

Q: Consider a 30-year $300,000 5/1 ARM having a 2.2% margin and based on the CMT index. Suppose the…

A: Monthly payment is basically the scheduled payment of principal and interest on a mortgage loan…

Q: How many years are needed for P40,000 to yield P13,756.66 if invested at 6% converted semi-annually…

A: Present value (PV)= 40,000 Interest amount = 13,756.66 Rate of interest = 6% Semi-annual interest…

Q: An investment costs $100 and it promises $50 in 3, 4, 5, 6 and 7 years.  What is the return of this…

A: The return on investment is a financial metric used to find out whether the investment will give a…

Q: How long will it take for P10,000 to earn P1,250 interest invested at 10%? A 1 year B) 1 4 years 1½…

A: Answer is option B) 1 1/4 years

Q: Consider a 25-year $200,000 5/1 ARM having a 2.7% margin and based on the CMTindex. Suppose the…

A: Payment is the transfer, in appropriate amounts, of money, goods or services in return for goods and…

Q: How long will it take for P10,000 to earn P1,250 interest invested at 10%? A 1 year B 1 4 years © 1…

A: Simple Interest = P * R *T = P1,250P = Principal = P10,000R = Rate of Interest = 10%T - Time = ?

Q: Future Value A total of $8800 is invested at 6%interest, compounded daily.a. Find the future value…

A: Introduction: Future value can be defined as the value of an asset or a investment at a future date.…

Q: An investment offers to pay $600 quarterly for 21 years with an interest rate of 6%, how much is…

A: Present Value of annuity refers to the present value of all the future payments of and series of…

Q: You invest $50,000 for three years that will earn 3.6 percent compounded continuously. What will be…

A: Given Information: Amount invested=$50,000 Interest Rate=3.6% compounded continuously Time(in…

Q: You invest $ 500 today and receive $ 750 at the end of 5 years. a. DETERMINE the internal rate of…

A: IRR refers to that rate of return at which NPV is zero. At this rate the Present value of all cash…

Q: 5) earned over a 10-year period if the interest had compounded annually? You invested $6,500 at 6…

A: We will earn more in compound interest due to compounding of interest. The difference between…

Q: What is the present value of $11,000 to be received in two years if the interest rate is 5% p.a.?…

A: given future value = 11000 Years = 2  rate = 5%

Q: 3. Determine the future values if OMR5,000 is invested in each of the following situations: a. 5…

A: Future value is the value of the current assets or some amount that is invested today and amount…

Q: At the end of t years, the future value of an investment of $13,000 in an account that pays 9% APR…

A: Computation of number of years is as follows:S=130001+0.091212×twhere, s=3900039000=130001.007512×t…

Q: What will $248,000 grow to be in 12 years if it is invested today in an account with an annual…

A: Future Value = P(1+r/n)^ntWhere P = Principal = $248,000R = Rate on interest = 15%N = number of…

Q: How many years will the following take? a. $500 to grow to $1,039.50 if it's invested at 5 percent…

A: We need to use excel NPER formula to calculate number of periods/years Formula is…

Q: opose an investment opportunity is advertising an interest rate of iR per year compounded…

A: In this we need to find the effective interest rate and amount of deposit required today.

Q: Future Value You invest $1,000 today and exect to sell the investment for $2,000 in 10 years.  a. Is…

A: We need to use the concept of time value of money to solve the question. According to the concept of…

Q: You wish to have $21,000 in 8 years. Use Table 11-2 to create a new table factor, and then find how…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: invest

A: Formula to calculate present value or amount to be invested now in compound interest is: PV =…

Q: Consider a 25-year $200,000 5/1 ARM having a 2.7% margin and based on the CMT index. Suppose the…

A: Payment is the transfer, in appropriate amounts, of money, goods or services in return for goods and…

Q: Q4. A business has two investment choices. Alternative A requires an immediate outlay of $2500 and…

A: The effective annual rate (EAR) can be calculated as: EAR= (1+rm)m-1 where, r= nominal interest rate…

Q: 1. If the interest rate is 8% per year, what decision would you make based on the decision tree…

A: Interest Rate = 8% Year Probability Cash Flows Probability Cash Flows 1         2…

Q: 2. You invested $39,000 in Yug Industries at an annual interest rate of 5% compounded continuously.…

A: Formula Future value = PV*ert Where PV - Investment amount i.e. $39000 e - Euler's number i.e.…

Q: I need to answerthese questions can you help me out, Questions 4,5 4- What is the current value…

A: Note: It is a case where no single question is specified to solve among the multiple questions…

Q: How much must be invested now at 9% interest to accumulate to $23,000 in seven years? (FV of $1, PV…

A: GIVEN invested now at 9% interest to accumulate to $23,000 in 7 years

Q: How long RM152,091.826 grow to RM708,900 with a 8% compounded annually? Select one: a. 15 years…

A: Using the Nper function

Q: 1) A company is expected to result 2900$ savings first year then increase by 200$ annually, if the…

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

Q: ind the time required for an investment of $5,000 to grow to $6,600 at an interest rate of 7.5% per…

A: Principal Value = P = $5,000 Amount = A = $6,600 Interest rate = R =  7.5% The compounded quarterly…

Q: What is the value today of receiving $8,000 at the end of each six-month period for the next four…

A: Annuity refers to series to equalized payments that are either made start or end of specific…

Q: You have been told that you need $25,600 today in order to have $100,000 when you retire 35 years…

A: A study that proves that the 1value of money today is higher than the future value of money is term…

Q: Ineed to answerthese questionscan you help me out, Questions 4,5 4- What is the current value ofthe…

A:

Present Value

Present value (PV) is defined as the current or present value of all future sums of cash flow or money at a specified rate of return. This rate of return is known as the discounted rate, which is essentially the interest rate, discounted over some time. The expected cash flows are discounted at a discount rate to compute the present value. The higher the discount rate, the higher the future value (FV), but the lower the present value.