Josie wants to be able to celebrate her graduation from CSULA in 5 years. She found an annuity that is paying 7%. Her goal is to have $3,000.00. Assume the interest rate remains the same while the account is open. Round all answers to the nearest penny. How much should be deposited each week? Weekly Deposit How much will be in the account at the end of the 5 years? Future Value How much will she have deposited, in total?

Josie wants to be able to celebrate her graduation from CSULA in 5 years. She found an annuity that is paying 7%. Her goal is to have $3,000.00. Assume the interest rate remains the same while the account is open. Round all answers to the nearest penny. How much should be deposited each week? Weekly Deposit How much will be in the account at the end of the 5 years? Future Value How much will she have deposited, in total?

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Concept explainers

Cost of Credit

The cost of credit is an extra amount that the borrower has to pay besides the loan amount. These credit charges may vary from loan to loan. The cost of credit includes interest charges, maintenance charges, and arrangement charges. Some of the costs are mandatorily collected by the lender based on the loan amount and tenure of the loan. The cost of credit is also called finance charges of the credit.

Question

Josie wants to be able to celebrate her graduation from CSULA in 5 years. She found
an annuity that is paying 7%. Her goal is to have $3,000.00.
Assume the interest rate remains the same while the account is open. Round all
answers to the nearest penny.
How much should be deposited each week?
Weekly Deposit
How much will be in the account at the end of the 5 years?
Future Matur
How much will she have deposited, in total?
How much interest, in total, will be earned?
0
Q
O
Qu
Qu
Qu
Sur

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Step 3: answer to part 2- Amount in account at the end of 5 years.

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