If you want to earn 5% annual simple interest on an investment, how much should you pay for a note that will be worth $29,400.00 in 9 months. You should pay $ Calculator > Next Question

Q: Suppose you want to have $300,000 for retirement in 20 years. Your account earns 10% interest. How…

A: The amount to be deposited monthly is an annuity and the final amount of $300,000 is the future…

Q: You want to buy a $199,000 home. You plan to pay 10% as a down payment, and take out a 30 year loan…

A: Formula; Loan amount = Home value * (1 - Down payment)   Loan amount = $199,000 * (1 - 0.10) Loan…

Q: Suppose you want to have $400,000 for retirement in 20 years. Your account earns 8% interest. How…

A: Here, Particulars Values Future value (FV)  $ 4,00,000.00 Annual interest rate 8.00% Time…

Q: What is your monthly loan payment? What is your expected balance after five years (60 months)?

A: Purchase Price64900Down Payments10000Loan Amount54900No.of Payments84Monthly Rate0.0033Monthly…

Q: How much should you invest each month in order to have $400,000 if your rate of return is 3.2%…

A: We need to use future value of the ordinary annuity formula to calculate monthly payment to get the…

Q: Your business finance course has motivated you to begin investing for retirement in your company's…

A: The FV of an investment refers to the cumulative worth of the investment's cash flows at a future…

Q: Suppose you expect to receive $500 in 2 years. With a continuously compounded interest rate of 5%,…

A: Present value is a financial metric that measures the current value of a future stream of cash…

Q: Suppose you want to have $700,000 for retirement in 20 years. Your account earns 7% interest. a) How…

A: Amount needed each month depends on time and interest rate and actually much less than original…

Q: If you deposit $3,500 monthly into a savings account which earns 8.25% interest rate compounded…

A: The future value of annuity refers to the future value of a series of payments. The future value can…

Q: Suppose you found the house that you have been looking for years! It comes with a price tag of…

A: Price of house: $210,000Down payment: 10%Loan rate: 3.5%Loan period: 30 years

Q: eBook You want to buy a car, and a local bank will lend you $35,000. The loan will be fully…

A: Information Provided: Amount lend = $35,000 Term = 5 years (60 months) Nominal interest rate = 11%

Q: Your insurance agent is trying to sell you an annuity that costs $80,000 today. By buying this…

A: Present value is an estimate of the present value of future cash values ​​that may be received at a…

Q: How much money should be deposited today in an account that earns 8.5% compounded monthly so that it…

A: The concept of time value of money will be used here. As per the concept of time value of money the…

Q: In this project, you will use a graphing calculator to compare savings plans. For instance, suppose…

A: The objective of this question is to compare the final amount of money you would have after one year…

Q: An investment you are considering is expected to make payments annually forever. The amount of the…

A: Given,  The payment is $4.75 Growth rate is 2.9% Amount of investment is $80.

Q: You want to buy a $195,000 home. You plan to pay 10% as a down payment, and take out a 30 year loan…

A: The loan amount would be price of home less down payment. Monthly payment =Loan amountPVAIF (…

Q: Suppose you just bought an annuity with 12 annual payments of $15,700 at a discount rate of 11.75…

A: Present value is the discounted value of the cash flows generated by the investment over the period…

Q: ou have a growing payment stream that you want to be able to fully fund by making a single deposit…

A: The concept of time value of money will be used here. As per the concept of time value of money the…

Q: You plan to invest $19,000 per year into a retirement account. If you earn a compound annual rate of…

A: Future value (FV) is the value of an investment or cash flow at a specific point in the future,…

Q: The Maybe Pay Life Insurance Company is trying to sell you an investment policy that will pay you…

A: Payment = p = $36,000Required Rate of Return = r = 5.8%Time = Forever

Q: If you lend $3000 to a friend for 15 months at 8% annual simple interest, find the future value of…

A: Futre value of loan is calculated as follws:-FV= A+IwhereFV= future value of loanA= Amount of loan I…

Q: What is the most you would be willing to pay for an annuity that provides you with $13,700 at the…

A: Here,Annuity Received  (PMT) is $13,700Interest Rate (r) is 5.5%Time Period (n) is 3 years

Q: Pls help on ur own.Suppose you take out a car loan that requires you to pay $8,000 now, $5,000 at…

A: Present value refers to the value of all future cash flows which are discounted at interest rate or…

Q: How much should you deposit now into a certificate of deposit (CD) at a bank, if the CD matures 10…

A: To calculate the principal amount deposit in the bank , we have to use the following formula : A = P…

Q: You are opening an investment account that will earn 6.5% compounded annually.  You will invest…

A: Future Value refers to the value of the current asset or investment or of cash flows at a specified…

Q: You decide to invest $100 into a savings account with an interest rate of 2% annually in2015. The…

A: present value in savings account = $100 interest rate annually = 2% future value = $120 time period…

Q: You want to buy a $202,000 home. You plan to pay 10% as a down payment, and take out a 30 year loan…

A: A loan is a facility provided by a lender to the borrower under which the borrower can take a lump…

Q: what annual rate of return would your investment account need to generate if you make no future…

A: The annual rate of return: It is the sum of money earned over a period of 12 months period on…

Q: Create a data table that calculates the Future Value of a 401(k) using the following information:…

A: Here we will use the FV function in excel. The syntax is: FV (rate, nper, pmt) where rate = interest…

Q: Time value of money practice problems.  How would you solve these using a financial calculator?…

A: The computation of the Future value as follows:

Q: How much should you deposit at the end of each month into an investment account that pays comes from…

A: Future value is the sum of the amount being deposited and amount of compounding interest accumulated…

Q: 5. An investment you are considering is expected to make payments annually forever. The amount of…

A: Data given: A= Payment = $4.75 (payment to be made annually forever) g=growth = 2.9% P0= Current…

Q: You want to invest $25,000 and are looking for safe investment options. Your bank is offering you a…

A: The objective of the question is to calculate the effective rate of return for a certificate of…