None Shaylea, age 22, just started working full-time and plans to deposit $4,400 annually into an IRA earning 8 percent interest compounded annually. How much would she have in 20years, 30 years, and 40 years? If she changed her investment period and instead invested $366.67 monthly, and the investment also changed to monthly compounding, how muchwould she have after the same three time periods? Comment on the differences over time.Click the table icon to view the future value FVIFA table:With annual investments and compounding, after 20 years, Shaylea would have $(Round to the nearest cent.)

Step 1: The calculation of the future value of the annuity AB1Annual deposit $ 4,400…

Answered: Shaylea, age 22, just started working…

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

See similar textbooks

Similar questions

Shaylea, age 22, just started working full-time and plans to deposit $4,500 annually into an IRA earning 9 percent interest compounded annually. How much would she have in 20 years, 30 years, and 40 years? If she changed her investment period and instead invested $375.00 monthly, and the investment also changed to monthly compounding, how much would she have after the same three time periods? Comment on the differences over time. Click the table icon to view the future value annuity table With annual investments and compounding, after 20 years, Shaylea would have $. (Round to the nearest cent.) Help me solve this View an example Get more help - Clear all Check answer
Shaylea, age 22, just started working full-time and plans to deposit $5,400 annually into an IRA earning 8 percent interest compounded annually. How much would she have in 20 years, 30 years, and 40 years? If she changed her investment period and instead invested $450.00 monthly, and the investment also changed to monthly compounding, how much would she have after the same three time periods? Comment on the differences over time.
Shaylea, age 22, just started working full-time and plans to deposit $4,500 annually into an IRA, earning 7 percent interest compounded annually. How much would she have in 20 years, 30 years, and 40 years? If she changed her investment period and instead invested $375.00 monthly, and the investment also changed to monthly compounding, how much would she have after the same three time periods? Comment on the differences over time.
Holly Krech is planning for her retirement, so she is setting up a payout annuity with her bank. She wishes to receive a payout of $1,900 per month for twenty years. (a) How much money must she deposit if her money earns 7.8% interest compounded monthly? (Round your answer to the nearest cent.)___________ $ (b) Find the total amount that Holly will receive from her payout annuity. Thank you!
Taylor starts an IRA (Individual Retirement Account) at the age of 26 to save for retirement. She deposits $300 each month. The IRA has an average annual interest rate of 5% compounded monthly. How much money will she have saved when she retires at the age of 65? Round your answer to the nearest cent, if necessary. Formulas
Alexis deposited $500 into an interest-earning account when her son was born. The account earns 2.18% compounded annually and Alexis wants to know how much money will be in the account when her son turns 18 years old. Identify the value used for each variable in the compound interest formula. APR = n = t = P = What is the total number of compounding periods? If Alexis had chosen an investment that was compounded monthly how many compounding periods would there be in the 18 years? If Alexis had chosen an investment that was compounded quarterly how many compounding periods would there be in the 18 years?
Please help me answer the following time value of money question. If Hollie deposits $5000 in an account that earns 3.5% interest compounded annually, how much will she have in 19 years? What if it is compounded quarterly?
(a) Patty Stacey deposits $1200 at the end of each of 5 years in an IRA. If she leaves the money that has accumulated in the IRA account for 25 additional years, how much is in her account at the end of the 30-year period? Assume an interest rate of 7%, compounded annually. (Round your answer to the nearest cent.) $ b) Suppose that Patty's husband delays starting an IRA for the first 10 years he works but then makes $1200 deposits at the end of each of the next 15 years. If the interest rate is 7%, compounded annually, and if he leaves the money in his account for 5 additional years, how much will be in his account at the end of the 30-year period? (Round your answer to the nearest cent.) (note: the answer i got last time was $52531.30 ended up being incorrect)$
Frances plans to save money for a down payment on a house using an investment account that pays an interest rate of 5.3% per year. She wants to have $425, 000 available five years from today. Frances intends to deposit an amount today and at the end of each of the next five years into her investment account (i. e. she will make a total of six deposits, all of the same amount). How much will each of these deposits be? (Enter your answer to two decimal places)
Monica has recently inherited $9600, which she wants to deposit into an IRA account. She has determined that her two best bets are an account that compounds monthly at an annual rate of 3.7%(Account 1) and an account that compounds quarterly at an annual rate of 4.7%(Account 2).Step 2 of 2 : How much would Monica's balance be from Account 2 over 2.7years? Round to two decimal places.
Jane took out a loan from the bank today for X. She plans to repay this loan by making payments of $520.00 per month for a certain amount of time. If the interest rate on the loan is 1.12 percent per month, she makes her first $520.00 payment later today, and she makes her final monthly payment of $520.00 in 7 months, then what is X, the amount of the loan? O An amount less than $3,501.00 or an anmount greater than $4,238.00 O An amount equal to or greater than $3,501.00 but less than $3,739.00 O An amount equal to or greater than $3,739.00 but less than $3,980.00 O An amount equal to or greater than $3,980.00 but less than $4,081.00 O An amount equal to or greater than $4,081.00 but less than $4,238.00
Sara decides to set up a retirement fund by depositing $24 at the end of each day for 13 years. How much will she have then, if the interest rate is 6.48% compounded weekly and her account starts with $13487 already deposited?

SEE MORE QUESTIONS

Recommended textbooks for you

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS