Noor made 5 annual deposits into a fund that paid 10% compound annual interest. Her first deposit was $1600; each successive deposit was $200 less than the previous deposit. How much was in the fund immediately after the 5th deposit?

Q: 4. Kelly deposited $10,500 into a fund at the beginning of every quarter for 13 years. He then…

A: Compound Interest is method of computing interest where compounding is done. Compounding refers to…

Q: Juan invested $10,500 into a fund earning 7.50% compounded monthly. She plans to withdraw $700 from…

A: Working note for calculations. Note for Converting Quarter into years:- Number of year to deplete =…

Q: Michael wants to accumulate $38,000 in a fund with payments of $1,700 made at the end of every…

A: It can be calculated using=NPER(rate,pmt,pv,[fv],[type])Rate The interest rate for the loan.Nper…

Q: You are making $5,000 monthly deposits into a fund that pays interest at rate of 6% compounded…

A: We need to use the concept of time value of money (TVM) to solve the question. According to TVM, the…

Q: Amanda makes year-end deposits of P500 the first year, P550 at the second year, P605 at the third…

A: Given: Interest rate = 12% Year Amount 1             500.000 2             550.000 3…

Q: Mr.Myers has contributed $137.00 at the end of each month into an savings fund paying 5% per annum…

A: The effective annual interest rate describes the actual interest rate associated with an investment…

Q: A deposit of $20,000 is placed in his scholarship fond that earns an annual interest rate of four.…

A: Time value of money is a financial concept which is used to calculate the value of money in present…

Q: The educational trust fund for your children earns interest at 5.8% compounded monthly. What initial…

A: Understanding the future value of an investment can be an important factor in making investment…

Q: Alp Bilgin deposits $33.000 in asaving account that pays 9%interest compounded monthly.Four years…

A: The objective of the question is to find out the total amount in the account eight years after the…

Q: The annual effective interest rate is 6%. Determine X.

A: To determine the value of X, we need to calculate the future value of the monthly deposits made by…

Q: A child age 3 is given $20,000. The amount is put into savings account which pays 4% compounded…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: Angela invested $10, 500 into a fund earning 7.75% compounded monthly. She plans to withdraw $850…

A: Dear student, kindly check the answer in the explanation box below.Explanation:Part 1: Answer:To…

Q: withdrawal is to be made 5 years from now, how long will it take for the fund to be depleted?

A: Future Value: It represents the compounded amount of the present sum invested over a period of…

Q: Jaime Bickers invests $4000 at the end of each semiannual period for 8 years. His financial advisor…

A: Calculate the future value as follows:

Q: 1. Amy made semiannual deposits of $3,100 at the beginning of every every six months into a fund…

A: Semi Annual Deposit = 3100 Beginning of period deposits Interest Rate = 6.8%/2 = 3.4% per semi…

Q: Michelle Payne deposited $24,000 in a savings account paying 6.25% simple interest. How long (in…

A: Formula: FV=PV×1+rt

Q: Michelle Payne deposited $4,000 in a savings account paying 6.25% simple interest. How long (in…

A: The future value is the future worth of the amount that will be paid or received in the future.

Q: Two years ago, a person borrowed $10,000 at 12% interest compounded monthly, which is to be paid in…

A: Loans are to be paid by the equal monthly installments and these equal monthly installments carry…

Q: How much can be paid in scholarship at the beginning of each month if $231,500 is deposited in a…

A: The concept of present value indicates that the value of a future amount of money is less than its…

Q: Alp Bilgin deposits $33.000 in asaving account that pays 9%interest compounded monthly.Four years…

A: Alp Bilgin invests money in a savings account with monthly compounding interest. Here's a breakdown…

Q: Jeff deposits 10 into a fund today and 20 fifteen years later. Interest for the first ten years is…

A: First Payment = p1 = 10Second Payment = p2 = 20nominal discount rate for first 10 years compound…

Q: Today, a civil association deposits 118,124 pesos obtained in donations in a financial instrument…

A: The PV of an investment refers to the combined worth of the cash flows of the investment assuming…

Q: Lucy won a large sum in the lottery. She invested part of her winnings into a fund earning ​7.95%…

A: The compounding rate of interest is related to earning interest on interest. The compounding results…

Q: If annual deposits of $1,000 are made into a fund paying 12% interest compounded annually, how much…

A: Present Value of deposits (PV)=$1,000 Interest Rate (r)= 12% compounded annually Time period (n)= 5…

Amortized Loans

The term "amortization" refers to spreading the value of a loan or a debt over a series of regular payments or installments comprising of both the principal and interest amount. It generally involves the process where in the value of a loan or an intangible asset is written down over its maturity period.