hello tutor provide correct answer General accounting question If $10,000 is deposited in a savings account earning 6%annual interest compounded annually, what will be thebalance after 5 years?

Step 1: Analysis of information givenPrincipal (P) = $10,000Number of years (N) = 5Annual rate (r) =…

Answered: If $10,000 is deposited in a savings…

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter5: The Time Value Of Money

Section: Chapter Questions

Problem 1P

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Similar questions

You put $250 in the bank for S years at 12%. A. If interest is added at the end of the year, how much will you have in the bank after one year? Calculate the amount you will have in the bank at the end of year two and continue to calculate all the way to the end of the fifth year. B. Use the future value of $1 table in Appendix B and verity that your answer is correct.
Calculating interest earned and future value of savings account. If you put 6,000 in a savings account that pays interest at the rate of 3 percent, compounded annually, how much will you have in five years? (Hint: Use the future value formula.) How much interest will you earn during the five years? If you put 6,000 each year into a savings account that pays interest at the rate of 4 percent a year, how much would you have after five years?
You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years. Which table will help you determine the value of your account at the end of 12 years? A. future value of one dollar ($1) B. present value of one dollar ($1) C. future value of an ordinary annuity D. present value of an ordinary annuity
Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $4,200 over the next 6 years when the interest rate is 8%, how much do you need to deposit in the account? B. If you place $8,700 in a savings account, how much will you have at the end of 12 years with an interest rate of 8%? C. You invest $2,000 per year, at the end of the year, for 20 years at 10% interest. How much will you have at the end of 20 years? D. You win the lottery and can either receive $500,000 as a lump sum or $60,000 per year for 20 years. Assuming you can earn 3% interest, which do you recommend and why?
You put $600 in the bank for 3 years at 15%. A. If Interest Is added at the end of the year, how much will you have in the bank after one year? Calculate the amount you will have in the bank at the end of year two and continue to calculate all the way to the end of the third year. B. Use the future value of $1 table In Appendix B and verify that your answer is correct.
If Bergen Air Systems takes out a $100,000 loan, with eight equal principal payments due over the next eight years, how much will be accounted for as a current portion of a noncurrent note payable each year?
Do
Suppose your savings account pays 6% interest compounded monthly. If you deposit $18,000 forfour years, how much will you have?
If $25,000 is deposited in a 5% savings account and inflation is 3%, what is the value of the account at the end of Year 20 in Year-0 dollars? If the time value of money is 4%, what is the present worth?
You deposit $100 in a savings account today, and this account accrues interest compounded annually at 4%. What will the balance be exactly 20 years from today?
How much money will be in s bank account after thress years, if the account pays 6% inerest compounded quaeterly, 5000 is deposited today, and 2000 is withdrawn one year from now ?
What is the future value of $2,000 deposited for one year earning 6 percent interest rate annually?

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If $10,000 is deposited in a savings account earning 6% annual interest compounded annually, what will be the balance after 5 years?