Often it makes a lot of sense to spend some money now so you can save more money in the future. Consider filtered water. A high-tech water filtercost about $60 and can filter 7,200 ounces of water. This will save you purchasing two 20-ounce bottle of filtered water every day, each costing $1.15. The filter will need replacing every 6 months. How much will this filter save you in a year’s time?

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A: Replacement Decision- If asset is replaced with the new and upgraded version then such replacement…

Q: this family uses rechargeable batteries, how much will they spend on batteries plus the charger in 5…

A: Given in the question: A Family with kids requires = 04 Batteries per month 4-Pack Disposable…

Q: Suppose that the installation of Low-Loss thermal windows is expected to save $350 per year on your…

A: Saving = p = $350Time = t = 18 YearsInterest Rate = r = 9%

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A: A theory that helps to compute the present or future value of the cash flows is term as the TVM…

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A: Given: Initial cost = $10,000 Maintenance cost = $100 Years = 5 Year 5 sale value = $20,000

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Q: e 13 for your online business for 94 000. With this your online income has increased by 1000…

A: The given problem can be solved using RATE function in excel. RATE function will compute MARR for…

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A: Actual ROR "rate of Return" The gain or loss relative to the cost of an initial investment, usually…

Q: you are saving money to buy a car. if you save $290 per month starting one month from now at an…

A: An Annuity is a continuous flow of systematic timely cash flows made or received for a stipulated…

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A: The following loan has been taken to purchase the preferred home and the subsequent payments are…

Q: Continuing on from the previous question assume the rate of interest is 12%. 18) What's the present…

A: Cost of energy efficient refrigerator = $1723No of years = 10 yearsSavings in Energy = $40NPV is the…

Q: 17A) You go to Big George's to buy a new refrigerator for your apartment. The store offers two…

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A: To answer the question, we will use the present value of growing annuity concept. The dentist is…

Q: You look at your budget and decide that you can afford $290 per month for a car. What is the maximum…

A: Annuity payment (P) = $290 Monthly interest rate ( r ) = 0.25% (3%/12) Number of Periods (n) = 60…

Q: We now have a new question. You are considering going to grad school and therefore won’t need the…

A: Future value: Future value is calculated using the compounding factor available.    FV = PV(1+r)^t…

Q: ly, how long Will you Have logies!) В years. 2 years. ars

A: Given information : The questions demands us to compute the number of periods or years that will be…

Q: After four challenging yet fruitful years, you just graduated from college. Your parents gave you…

A: Future Value: The future value is the value of annuity or the sum lump amount after a certain period…

Q: You look at your budget and decide that you can afford $260 per month for a car. What is the maximum…

A: Compound = monthly = 12Monthly Payment = p = $260Interest Rate = r = 5 / 12%Time = t = 7 * 12 = 84

Q: Jane wants to buy a new car but has decided that by the time she saves $33000 to buy the new car she…

A: Option 1- Loan from Bank: Annual Interest Rate  8.50% Years 4 Payment per year 1 Amount…

Q: David Bach, author of Start Late, Finish Rich, recommends paying yourself first, cutting small…

A: The FV of an investment refers to the accumulated amount of cash flows after they are assumed to…

Q: ou can purchase an optical scanner today for $400. The scanner provides benefits worth $67 a year

A: The scanner should be purchased in year 5, when the netpresentvalue of the scanner's benefits and…

Q: Asrtra Fishing Company is saving to buy a boat at the end of five years. If the boat costs $20,000…

A: The PMT function or concept can be used to determine the periodic payments required to accumulate a…

Q: are interested in purchasing a new fishing boat that costs $35,000. You have found a nearby marina…

A: Monthly payment carry the interest and principal payment that are equally paid over the period of…

Q: You just got a new part-time job and you need to buy a new car for your job. Suppose you have enough…

A: Variables in the question:PMT=$400Annual interest rate=6%Monthly interest rate=6%/12=0.5%N=5…

Q: 27. $ was advertised at $3,000,000 (based on annual payments of $100,000 for 30 years). Your choice…

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

Q: How much money do we have to save annually to buy a car 4 years from now that has an estimated cost…

A: A series of payments made over a period at equal intervals of time is known as annuity. The future…

Q: You start saving up to buy your dream house. The house is valued at $620,000 right now. You think…

A: Future value can be calculated  by using the following formula  FV = Present Value (1+r)n

Q: You need $6,000 to buy new furniture. If you have $1,000 invest today at 8% compounded annually, how…

A: In this question we need to compute the number of years i.e. time period.This question is based on…

Q: You hope to buy your dream car four years from now. Today, that car costs $54,500. You expect the…

A: Future value is the value of the current assets or some amount that is invested today and amount…

Q: Suppose you need $1,000 in one year and $2,000 more in two years. If you can earn 9%, how much do…

A: The objective of the question is to find out the present value of the future cash flows. In this…

Q: Inflation causes things to cost more, and for our money to buy less (hence your grandparents saying…

A: Inflation is the amount of reduction in purchasing power of the money over time.

Q: You plan to buy the new iPhone when it is released 6 months from now. You believe it will sell for…

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Q: You are planning to go on a big vacation in 5 years and will want to have spending money of $5,000.…

A: Amount required after 5 years = $5000 Interest Rate = 4.38% Interest Rate monthly (r) = 4.38%/12 =…

Q: Unfortunately it costs $25,000, it you want to the purchases the car in five years and in the…

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

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A: Inflation is the increase in prices of goods and services and inflation decreases purchasing power…

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A: Cash price of Refrigerator = Down Payment + Present Value of $2000 @ 10% + Present Value of $4000 @…

Q: You decide to stop drinking coffee and set aside the cost savings for your future, you estimate you…

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

Q: You’d like to buy a small ranch when you retire in 38 years. You estimate that in 38 years you’ll…

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