If you have R.O. 9211 and you want to make a small business that will provide you a steady income for 19 year. Currently, banks are paying 19% compound interest on the annual basis. How much would you be able to receive at the end of each year

Q: Your bank pays 2.3% interest per year. You put $1.100 in the bank today and $500 more in the bank in…

A: Year 0 Deposit = $1,100 Year 1 Deposit = $500 Interest rate = 0.023 Amount in the bank in 2 years =…

Q: Suppose you want to have $700,000 for retirement in 25 years. Your account earns 5% interest. How…

A: The retirement amount after 25 years (FV) is $700,000. The period is 25 years. The rate of interest…

Q: If you take out a 4 year loan for $16,500 at your bank and pay the quarterly payments for the 4…

A: Total interest is = total payments - loan

Q: You would like to have $1,000,000 when you retire in 35 years. How much should you invest each…

A: Solution:When an equal amount is invested each periodat end of period, it is called ordinary…

Q: Imagine you want to earn $1000 in total after 3 years. The Bank A says that account earns 5%…

A: In simple interest, the rate of interest is applied on the principal amount only whereas in compound…

Q: year, to make a down payment of $75,752 on a vacation home If you can earn 3.03 percent on your…

A: The future value idea is a useful tool for investors to compare various investment prospects.…

Q: To help you reach a $16,000 goal 8 years fromnow, your father offers to give you $4,000 now.You plan…

A: Steps to calculate annual deposits is shown: Calculate the FV of an amount given by the father at…

Q: How much money would you need to have at retirement so that you can withdraw $50,000 a year for 20…

A: Present value of annuity concept is required to use in this case. Present value of annuity is the…

Q: How much would she pay per month if she is to repay the loan in two years

A: We can determine the monthly payment by using the formula below:In the formula above r = monthly…

Q: You have $4,500 on a credit card that charges a 16% interest rate. If you want to pay off the credit…

A: Monthly Payment: Monthly payments let a borrower pay down part of the remaining sum, which is…

Q: Suppose you want to have $300,000 in the bank when you retire in 45 years and the bank pays 3%…

A: given, rate = 3% no of years= 45 FV= 300,000

Q: You have $300 and a bank is offering 5.5% interest on deposits. If you deposit the money in the…

A: FV = PV * (1 + r)^nWhere FV = Future ValuePV = Present Value = $300r = rate of interest = 5.5%n =…

Q: You want to receive $8,000 per month in retirement.  If you can earn 0.6% return per month and you…

A: You want to receive $8,000 per month in retirement.  If you can earn 0.6% return per month and you…

Q: You would Ilike to have $59,000 in 5 years for the down payment on a new house following graduation…

A: Note: No intermediate rounding is done, only the answer is rounded off to nearest whole number.a)…

Q: Suppose you want to have $400,000 for retirement in 30 years. Your account earns 5% interest. How…

A: Computation as follows: Hence, each month deposit will be $480.62.

Q: Suppose you take out a loan for $15,000 to buy a car to start driving Uber as a side hustle. Suppose…

A: The objective of the question is to determine how long it will take to pay off a loan of $15,000…

Q: At your new job, you will be making monthly deposits of  $285 into a 401k.  If you think that you…

A: Data given: Monthly deposit=$285 N=6 years Rate=13.57%   Required: Amount in 6 years

Q: You plan to deposit $500 in a bank account now and $600 at the end of the year. If the account…

A: Solution: The amount in account after second deposit will be the future value of first deposit and…

Q: You decide that you need $47,000 in 3 years to make a down payment on a house. You plan to make…

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

Q: You deposit $400 each month into an account earning 3% interest compounded monthly. How much will…

A: The value of money changes with time. It is the concept that worth of a dollar received today is…

Q: How much would you need to deposit in the account each month?

A: Annuity Payments: These are payments of equal intervals made. Examples of annuity payments include…

Q: Suppose you want to have $800,000 for retirement in 25 years. Your account earns 9% interest. a)…

A: Compound = Monthly = 12Future Value = fv = $800,000Time = t = 25 * 12 = 300Interest Rate = r = 9 /…

Q: If you have ATM fees each month of $8 for 4 years, what is the total cost of those banking fees?

A: A cost system is a system that is designed to evaluate the cost incurred by the company.

Q: You have $4,000 on a credit card that charges a 14% interest rate. If you want to pay off the credit…

A: Compound = monthly = 12Present Value = pv = $4000Interest rate = r = 14 / 12 %Time = t = 4 * 12 = 48

Q: company offers you employment for the next 30 years until retirement but will not pay you a pension…

A: In this we have to calculate the monthly deposit upto retirements and than how much can be withdrawn…

Q: You want to save for a new car so you make payments of $573 at the end of every month into the bank.…

A: Monthly Payment = mp = $573Annual Payment = ap = $1620Number of Monthly Payment = mn = 7 * 12 =…

Q: You want to be able to withdraw $50,000 from your account each year for 25 years after you retire.…

A: Here, Annual amount to withdraw = $50,000 Time in years after retirement = 25 years Time to…

Q: a. How much money will you have in the account in 22 years? Future value of 22 deposits b. How much…

A: The future value of an investment forecasts the expected value of an investment at a given future…

Q: In order to start a small​ business, a student takes out a simple interest loan for ​$3000 for 9…

A: Simple interest loan is based on the concept of simple interest. Here the interest amount is…

Q: You decide to quit using your credit card and want to pay off the balance of $9,500 in 4 years. Your…

A: The periodic payment is the payment made at regular intervals that have the same amount. The…

Q: If your account earns 8% interest, how much will you need to deposit each year until retirement to…

A: Given in the question: Interest rate = 8% Person wants to get the $40,000 each year after retirement…

Q: tarting next year, you will need $5,000 annually for 4 years to complete your education. (One year…

A: Variables in the question:Withdrawal per year (PMT)=$5000N=4 yearsRate=7% p.a.

Q: m today you will make the first of 20 equal annual deposits in a bank account. One year after the…

A: Number of deposits=n=20Annual withdrawal=$10000Number of withdrawal=15Interest rate=r=12%Required is…

Q: Suppose you want to have $500,000 for retirement in 35 years. Your account earns 6% interest. How…

A: Use the Future Value (FV) formula:The Future Value (FV) formula calculates the value of an…