How much should you deposit in an account so that you can withdraw $5300 every year for the next 18 years. 6 percent interest rate

Q: If you make monthly payments of $488.00 into an ordinary annuity earning an annual interest rate of…

A: This pertains to the concept of time value of money. Amount deposited or paid periodically is an…

Q: How much money do you need to deposit in a bank account now so that you can years forever if the…

A: Withdrawal amount for every 6 years = $10,000 Number of years = 6 Interest rate (i) = 6% Deposit…

Q: Q1: Calculate (PW) for annual payments (900$/year) if the first payment will deposit at the present…

A: PW is the present worth. The person is investing 900$ annually at the beginning of the year. The…

Q: Present Value of an Annuity What is the present value of a $1,600 annuity payment over 6 years if…

A: An annuity refers to a series of cash flows occurring at regular periodic intervals. Here the amount…

Q: Find the least amount that could be deposited in a bank account today at 6% compounded semiannually…

A: Semiannual withdrawal (C) = $1,875Semiannual interest rate (r) = 0.03 (i.e. 0.06 / 2)Semiannual…

Q: Assume you deposit $1,000 today in an account that pays 8 percent interest (compounded annually).…

A: Given: Present value = $1,000 Years = 4 Interest rate = 8%

Q: Find the future value of each deposit if the account pays (a) simple interest, and (b) interest…

A: Future value is the value of current cashflow compounded at specified rate to future date.

Q: You deposit $725 today in a savings account that pays 6% interest, compounded annually. How much…

A: Future value, or FV for short, is a term used in finance to describe the estimated monetary value of…

Q: You currently have $250,000 in your retirement account. What equal annual amount must you deposit…

A: Equal annual deposits into an account for a fixed number of times is called annuity. The future…

Q: Present Value of an Annuity-If the interest rate is 12%, how much would you have to put in the bank…

A: Interest rate = 12%Term = 5 YearsAnnual payment = $100

Q: You receive a credit card application from XYZ Banks Savings and Loan offering an introductory rate…

A: "Hi, Thanks for the Question. Since you asked multiple questions under one question, we will answer…

Q: Rate of interest = 12% 1. If you want to retire twenty years from now with P500,000, how much…

A: The amount of money to be deposited can be calculated with the help of present value of function.

Q: What is the present value of receiving $1,000 at the end of each year for 6 years, assuming 7%…

A: “Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: If you make quarterly deposits of $425.00 into an ordinary annuity earning an annual interest rate…

A: Annuity is the series of equal cash payments over the period.

Q: Assuming an interest rate of 6.88% compute how much income you will have each month if you save $500…

A: A fixed amount of money paid to an individual throughout, without any end is known as an annuity.…

Q: Question 1 Find the value of an annuity with regular payments of $100 made al the end of each month…

A: A study that proves that the future worth of the money is lower than its current value due to…

Q: ou make quarterly deposits of uch interest did you earn in those 9 years? ow much is in the account…

A: As there is more compounding the more interest is being accumulated and more is future value of…

Q: How much is accumulated in each of the savings plans over two years? a. Deposit €1100 today at 15…

A: Given: Particulars 15% 12% Deposit € 1,100 € 700 Years 2 2

Q: 1. A $200 loan is offered with an annual simple interest rate of 6 percent. How much would the…

A: Amount payable = Loan *(1+ interest rate* time period)

Q: I promise to pay you 25 annual installments of $5,000 starting five years from today. If the…

A: Present Worth: It is the present value of the annuity cashflows discounted over a period of time.…

Q: How much would you pay today for a perpetuity of $ 1,000 per year if the prevailing interest rate is…

A: Perpetuity  is a type of security where, you pay money for an infinite amount of time. It keeps on…

Q: How much would you have to deposit today to have $10,000 in five years at 6% interest discounted…

A: Following details are given to us in the question : Future value after five years = $10000 Time…

Q: 7. You deposit R1 000 annually at the beginning of each of five years into a savings account paying…

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

Q: •How much money must you invest today in order to withdraw P 14,766 annually for6 years if the…

A: PVA formula: pvadUE =A×1-11+RNR×1+R

Q: Calculate the future value of the annuity. SHOW YOUR WORK IN STEPS. Present Value Interest Rate…

A: In financial economics, future value refers to the estimated value of an investment at a specific…

Q: For the next 13 years, you will deposit $2,250 every quarter in a savings account. The account pays…

A: Future value of an annuity is the total value of a series of equal payments made at regular…

Q: If you wish to accumulate $205,000 in 6 years, how much must you deposit today in an account that…

A: Future value (FV) = $205,000 Interest rate = 15% Monthly interest rate (r) = 15%/12 = 1.25% Period =…

Q: At 8 percent interest rate per year (annual interest payment), how many years does it take to…

A: Answer: Calculation of the time it will take to quadruple the money: Formula, we will use here:…

Q: Find out how much you should deposit now at 9% interest, compounded annually, to yield an annuity…

A: Present value = ( a / r) * { 1 - 1 / (1 + r ) ^ n }

Q: Q2- WHAT IS THE FUTURE VALUE OF 10000 DOPOSITED TODAY IN AN ACCOUNT THAT WILL EARN 6% YEARLY AT THE…

A: Future value of a present value is the value of that amount after taking into account the time value…

Q: •An insurance company offers to pay you $1,000 per year for 10 years if you will pay $6,710 up…

A: We can solve this using Present value of annuity formulaPresent value of annuity is =…

Q: C- What must YOU invest today to receive an annuity of $4,500 for 10 years compounded at 8%…

A: Here, present value of a quarterly annuity needs to be determined. Annuity “PMT” of $4500 every…

Q: how much money would you need to have in annuity paying 6% interest if you want to be able to…

A: Approach to solving the question:Please see attached photo for detailed solution. Thank you.Detailed…

Q: If in your Allied Bank account you deposit Rs.15,000 at the end of each year at 14% interest rate…

A: The future value function or concept can be used to determine the future value of a present sum or…

Q: You want to have GH¢ 50,000 in your savings account five years from now, and you’re prepared to make…

A: Present Value is the current value of the future sum of money at the specific rate of return.

Q: How much interest did you earn during the entire period of time?

A: Annuity is the deposition of a fixed amount at fixed interval of time over a specified period.…

Q: If you would like to have $ 10,000 after 8 years, how much money should you deposit now if the…

A: Given:

Q: What is the rate of interest by what $100 becomes $200 in 4 years?

A: An interest rate is the cost of borrowing money or the return earned on invested funds, expressed as…

Q: Find the future value of an annuity in 16 years if you deposit $110 at the end of each compounding…

A: Solution: Future value of an annuity is the total value of annuity payments at a specific point in…

Q: The state income rate on your account is 3.5 interest compounded monthly. If you deposit 100 each…

A: As the amount is being deposited the value of account increases with time due to the compounding of…