The amount in a fund one and a half years from today is equal to 100. Find the present value of the fund using a nominal discount rate of 5% convertible semiannually.
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The amount in a fund one and a half years from today is equal to 100. Find the
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- A lump sum S deposited into either fund X or fund Y will be exactly sufficient to provide a perpetuity of $100 per year with the first payment due at the end of one year. Fund X will earn interest at an effective annual rate of 10% for the first 30 years and 6% thereafter. Fund Y will earn interest at a level effective annual rate of j. In which of the following ranges is j? someone help?A fund of 25000 is to be accumulated by means of deposits of 1000 at the beginning of every year as long as necessary. If the fund earns an effective rate of interest of 8%, find how many regular deposits will be necessary and the size of a final deposit to be made on the last regular deposit.determine the size of the payments that must be made to a sinking fund in order to accumulate $233,188 if the interest rate is 5.25% compounded quarterly and payments are made for 7 1/4 years. Use TVM solver
- Find the periodic payments PMT necessary to accomulate the given account in an annuity account. (Assume end-of-period deposits and compounding at the same intervals as deposits. Round your answer to the nearest cent.) $20,000 in a fund paying 2% per year, with quarterly payments for 20 years. PMT = $Find the periodic payments PMT necessary to accumulate the given amount in an annuity account. (Assume end-of-period deposits and compounding at the same intervals as deposits. Round your answer to the nearest cent.) $30,000 in a fund paying 5% per year, with monthly payments for 5 years, if the fund contains $10,000 at the start PMT = $ please round it to the nearest centUse the accompanying sinking fund formula to determine the payment needed to reach the accumulated amount. Semiannual payments with 7% interest are compounded semiannually for 7 years to accumulate $18,000
- A company needs to set aside a fund to meet the following future annuity payments to an individual: £1443 paid at the end of each year for the first 4 years followed by £1441 paid at the end of each year up until year 15 (inclusive). Assuming an effective rate of interest of 6.9% pa throughout the entire period, how much total fund the company needs to hold today in order to meet these payments? Express your answer in £s to 2 decimal places. (correct answer = 13214.59)You deposit $600 today into a fund that you intend to leave invested for 6 years. The fund earns 6% interest compounded annually. Indicate the inputs to be entered into the financial calculator keys. What is the value of the fund to be accumulated at the end of year 6? (Round future value answer to two decimal places (e.g., 52.75) and interest rate to one decimal place (e.g., 527.5).) Inputs Calculator N Keys Future value $ 6 I 6 PV 600For the sinking fund, use Table 12-1 to calculate the amount (in $) of the periodic payments needed to amount to the financial objective (future value of the annuity). (Round your answer to the nearest cent.) Sinking FundPayment PaymentFrequency Time Period(years) NominalRate (%) InterestCompounded Future Value(Objective) $ every year 14 7 annually $750,000
- 5. A fund is built with annual payments increasing by $1 from $1 to $10 and then decreasing by $1 to $0. The first payment of $1 is made today. If the fund is used to purchase a ten-year level annuity with the first payment at twenty years from today, what is the amount of the level payment? (Assume an annual effective rate of interest of 4%.)An investor is setting up a fund which requires 10 years of contributions. The investor pays £250 per month for 10 years. All payments are made in arrears, i.e at the end of the period. The effective annual rate i = 1%. What is the value of the fund after 10 years? £ Enter an answer correct to 2 decimal places.Find the periodic payment for each sinking fund that is needed to accumulate the given sum under the given conditions. (Round your answer to the nearest cent.) FV = $1,900,000, r = 9%, compounded monthly for 25 years
