Lisa plans to invest $300 each month for the next 17 years in a 529 account for Zach starting next month. Lisa will also put an additional $4,000 away at the end of year 10. If the account earns 8% compounded monthly, how much will be in Zach’s 529 in 17 in years?

Q: Henry would like to have a retirement income of $3,000 per month (month-end payments). How much must…

A: The present value of annuity refers to the current value of a series of future cash flows or…

Q: Matt plans to start his own business once he graduates from college. He plans to save $1,400 every…

A: Future value annuity The future value of an annuity is the value of a group of installments at a…

Q: Roger decides to start an investment account by depositing $5,000 today. In one year he will invest…

A: Initial deposit (Year 0) = $5,000 Year 1 Deposit = $500 Year 2 Deposit = $600 Year 3 Deposit = $700…

Q: Assume the total cost of a college education will be $525,000 when your infant child enters college…

A: When the borrower borrows a loan from the lender, he has to pay a rate of interest on the borrowed…

Q: James and Kate would like to have $30,000 in 6 years in order to purchase anew mini van. What amount…

A: Annuity refers to series of annual payment which is paid or received at start or ending of specific…

Q: Jace wants to save to buy a car. Jace plans to invest some of their pay every month into an account…

A: Monthly payments refers to the periodic payment. Periodic payment can be made monthly, quarterly,…

Q: Benji wants to purchase a new car in 4 years. He plans on putting $8,000 down. He will be putting a…

A: let payment be = A r=9% m=12 (monthly compounding) n =4 FVA = $8000

Q: If you desire to have $80,000 for a down payment for a house in 7 years, what amount would you need…

A: Note:  We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

Q: The average overall cost of a Bachelor’s degree per year is $30,500. Assuming my children are 8 and…

A: Financial planning refers to the practice of putting together a plan for the future of the…

Q: Imagine you are a financial advisor to Valerie VanNess. Ms. VanNess wants to retire in 25 years. She…

A: For calculating the required amount at the time of retirement we need to know the present value of…

Q: Joe plans to set aside money for his young daughter's college tuition. He will deposit money in an…

A: Future value of an annuity: Future value of the annuity is the annuity factor used to calculate the…

Q: re in 20 years. She opens up a retirement account with an APR of 5.25% compounded monthly. She will…

A: There is need of proper planning for the retirement and if there is proper planning on time better…

Q: lack and Jill have just had their first child. If college is expected to cost $190,000 per year in…

A: Annual deposit refers to an amount that is deposited every year for the repayment of a loan amount…

Q: Ann would like to have $20,000 saved in 7 years from today and can earn 3.8% on deposits. She plans…

A: we will find future value of each deposits and sum of all future values shall be equal to 20000

Q: How much will be in Sarah’s account in 10 years if she deposits $5000 in an account that pays 10%…

A: the balance in the account will be the amount deposited along with the interest accrued over the…

Q: Alexa needs $8,600 worth of new equipment for his shop. He can borrow this money at a discount rate…

A: Loan Proceeds are the amount that is disbursed from a loan, which is usually lesser than the loan…

Q: Payments of Ordinary Annuities Ryan wants to get together $40 000 to purchase the first house in his…

A: Solution:- When an equal amount is deposited each period at end of period, it is called ordinary…

Q: Mick plans to start saving money for retirement. By taking 10% of monthly gross income. Mick is able…

A: We can use the concept of time value of money here. As per the concept of time value of money the…

Q: Amr Al Kaitoob wants to buy the house in 3 years (at end of Year 3) and he is currently saving for…

A: The amount at the end of maturity can be found using the formula, Here P is the principal; r is the…