4. Rebecca saved $1000 from her summer job and bought a CSB carning 3.75%, compoundedmonthly. She started an after school job in September and wants to have $2000 by next summer soshe can go travelling. How much does she need to save from her pay every month for 10 months ifshe can deposit the money in an account earning 2%, compounded monthly?

Amount saved = $1000 Interest rate of CSB = 3.75% per annum = 0.3125% per month Total amount…

Answered: Rebecca saved $1000 from her summer job…

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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Mike and Terri estimate that they want to buy a house for $186,000.00, and they need to make a down payment of 17.5% of the cost of their house. If they have 18 months to save for the down payment, how much do they need to invest into an account earning 4.518% compounded monthly so that they can reach their goal? Mike and Terri need to invest (Note: Your answer should have a dollar sign and be accurate to two decimal places) Preview My Answers Submit Answers You have attempted this problem 0 times. You have 6 attempts remaining. Email Instructor
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