The Parsonss have decided to invest in a college fund for their young son. They invested $40,000 in a deferred annuity that will pay their son at the beginning of every month for 4 years, while he goes to college. If the account earns 3.00% compounded monthly and the annuity payments are deferred for 15 years, what will be the size of the monthly payments? Round to the nearest cent

Q: Cyrus deposit $744.88 Each quarter into an annuity account for his child college fund. He wishes to…

A: Given that Cyrus deposited $744.88 each quarter into an annuity account. The future value he wish to…

Q: John and Rosamond want to retire in 10 years and can save $110 every three months. They plan to…

A:

Q: John and Rosamond want to retire in 15 years and can save $150 every three months. They plan to…

A:

Q: Jill borrowed $13,000 at 5.5% p.a. compounded semi-annually. If the loan is to be repaid in equal…

A:

Q: A borrower had loan of $5500 at 5.1% compounded semiannually, with 18 semiannual payments. Suppose…

A:

Q: The Swensons plan to make payments of $2,500 into a time certificate account on the last day of this…

A: We are given the Initial payment P=$2500 Interest rate 4.5% per year compounded annually. time…

Q: prder to accumulate enough money for a down payment on a house, a c ch money will be in the account…

A: Introduction: The formula of the annuity is given by, A=R·1+rnnt-1rn Where r is the interest rate, t…

Q: Carl is the beneficiary of a $29,000 trust fund set up for him by his grandparents. Under the terms…

A: Given ,  Present value (PV) = $29,000 Rate (r)= 3%  n = 4

Q: The owner of Oak Hill Squirrel deposits $2,000 at the end of each quarter into an account paying…

A: Given: Deposit Amount: $2000 Time to pay: Each Quarter Interest: 2.5% compounded quarterly. To find:…

Q: Find the future value in 8 years of a $10,000 payment today, if the interest rate is 3% per year…

A: We have PV = $10,000 r = 3% = 0.03 n = 8 years

Q: Amy won a lottery that would pay her $42,000 in 2 years and $10,200 in 5 years. The lottery company…

A:

Q: Rachel wants to save money to buy a motorcycle. She invests in an ordinary annuity that earns 2.4%…

A:

Q: A personal account earmarked as a retirement supplement contains $242,100. Suppose $200,000 is used…

A: Let A be the amount  used to establish annuity R is the amount paid at the end of each quarter r be…

Q: Blake contributed $584 at the end of every 3 months into an RRSP fund earning 3% compounded…

A: The future value is the value of an investment or sum at a specific point in the future, taking into…

Q: A person pays $200,000 for a new house. A down payment of $70,000 leaves the mortgage of $130,000…

A: GivenDown payment =$70,000Mortgage p=$130,000Interest r=10% per year The monthly mortgage payment is…

Q: Suppose that you borrow ​$3000.00 from a friend and promise to pay back ​$4755.00 in 3 years.…

A: It is given that the principal is 3000, balance is 4755 and time is 3 years. The formula to evaluate…