Subject: acc Problem 7-33 (LO 7-1) (Algo)Hassnein recently deposited $31,250 in a savings account paying a guaranteed interest rate of 5.5 percent for the next 10 years.Required:a. If Hassnein expects his marginal tax rate to be 22.00 percent for the next 10 years, how much interest will he earn after-tax for thefirst year of his investment?b. How much interest will he earn after-tax for the second year of his investment if he withdraws enough cash every year to pay the taxon the interest he earns?c. How much will he have in the account after 4 years?d. How much will he have in the account after 7 years?Note: For all requirements, do not round intermediate calculations and round your final answers to the nearest whole dollaramount.a. After-tax interest for the first year of investmentb. After-tax interest for the second year of investmentc. Account balance after 4 yearsd. Account balance after 7 years

When you deposit a sum of money in an account then that bank or financial institution pays you…

Answered: Problem 7-33 (LO 7-1) (Algo) Hassnein…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 3PB: Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate...

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Subject - account Please help me. Thankyou.
Aa.3
2.166. Mrs. Eve put 10 OOO PLN on a deposit. The annual interest rate on the deposit is equal to 8%, and interest is capitalized every quarter. Calculate the amount that Mrs. Eve will have on the deposit:(a) after 9 months (b) after one and a half years (c) after three years of saving.Ignore tax on capital gains.
Question 3: 1 Salem wishes to withdraw AED 30,000 at the end of each year of the next 6 years from his bank account that pays 10% interest compounded annually. Required: a. How much does Salem need to invest today to meet this goal? b. Which annuity (ordinary annuity or annuity due) is better for Salem's situation
9. Implied interest rate and period Consider the case of the following annuities, and the need to compute either their expected rate of return or duration. Jacob needed money for some unexpected expenses, so he borrowed $2,138.41 from a friend and agreed to repay the loan in three equal installments of $800 at the end of each year. The agreement is offering an implied interest rate of . Jacob’s friend, Devan, wants to go to business school. While his father will share some of the expenses, Devan still needs to put in the rest on his own. But Devan has no money saved for it yet. According to his calculations, it will cost him $31,897 to complete the business program, including tuition, cost of living, and other expenses. He has decided to deposit $3,800 at the end of every year in a mutual fund, from which he expects to earn a fixed 6% rate of return. It will take approximately for Devan to save enough money to go to business school.
Question 2:: Mohamed is going to be paying AED 120,000 rent for his new apartment in JVC at the beginning of each year for the next 5 years to Paul Real Estate's bank account. The account pays an interest of 8%, compounded annually. a. Briefly explain what is an annuity due. b. Using the above information, calculate the future value of Mohamed's periodic payments. (- c. Given the same present value, the same compound interest rate and the same period, which type (ordinary annuity or annuity due) generates a higher future value amount? Why? (
Y
3
b. You have a $20,000 note payable which is due in three years. How much money must you put into a savings account today in order to have enough money to pay off the debt on time assuming your savings account earns 3% interest compounded annually? d. In question “b." above, if you leave he money in the account for one more YEAR, how much more interest will you earn in that additional year (Year 5)? Need detail help wtih D. include N=I%=PV=FV=PMT Thank you
(I) 3.5%(ii) 2.5%(iii) 5.5%
Please do c and d using factor method
A) When you retire, you move $300,000 into an account that pays nominal interest of 4%, compounded monthly. Each month, the interest is transferred to your checking account. How much do you receive? - $250 - $1,000 - $12,000 - $4,000 B) What is the future value of $5000 compounded monthly for three years when the annual interest rate is 4.6%? $25241.24 $5685.91 $5738.36 $5705.53 C) How much interest is earned when $7400 is invested at an annual rate of 8.9% with semiannual compounding for five years? $3742.20 $4037.11 $3549.84

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