To pay his university education, Mr. Ahmed is saving $ 1000, at the beginning of each year for the next 7 years in a Bank Muscat account paying 10% interest rate. How much will Mr. Ahmed have in that account at the end of 7th year? Mr. Ahmed need $ 17000 to pay his university fees in future, justify your suggestion to him regarding his investment in Bank Muscat?

Q: When you were born, your family started to deposit 1,000 USD each month in the bank. The bank offers…

A: Amount deposited each month in the bank = 1,000 USD  Annual deposited amount (PV) = 1,000 USD × 12…

Q: Mr. Wise is creating a college investment fund for his daughter. He will put in P850 per year for…

A: To open the "FV function" window - MS-Excel --> Formulas --> Financials --> FV.

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A: In step 1, calculate the amount that is saved till year 17 .i.e the future value of the annuity of…

Q: You have been accepted at University. You will need $15,000 every six months (beginning six months…

A: Compound = Semiannually = 2Payment = p = $15,000Interest Rate = r = 6 / 2 = 3%Time = t = 3 * 2 = 6

Q: Suppose you want to provide for the college education of your son. He will begin college six years…

A: The objective of this question is to find out the present value of an annuity that will provide…

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A: Given:   Cost of vacation 5000 Monthly savings  400 Time of deposit Month-end Annual…

Q: You plan to send your first born child to College for a 4-year degree with 4 annual payments.  Your…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

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A: Here, Earning per Month is $150 Annual Interest Rate (r) is 10% Compounding Period (m) is Semi…

Q: Can you please help me work out this problem in detail?   Tony Ring wants to attend Northeast…

A: We need to use the concept of time value of money to solve the question. According to the concept of…

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A: The objective of this question is to calculate the future value of a series of monthly deposits of…

Q: 2. Andy is planning to buy a car when he graduates from college 4 years from now. The estimated…

A: One-time simple interest is often used for very relatively brief loans. Interest is often…

Q: A student plan to deposit $2,000 in the bank now and another $4,000 for the next 3 years. If he…

A: Effective interest rate is 8% Amount deposited now is $2,000 Amount deposited for next three years…

Q: Tait is entering high school and is determined to save money for college. Tait feels he can save…

A: Future value of annuity: It is value at a future date of a series of recurring payments at a…

Q: education. I anticipate being able to earn 14% compounded annually fo compounded annually for years…

A: The money required today is present value of the future value of money considering the interest rate…

Q: y, you graduated from high school. You are planning to go to UH starting 2 years from now after…

A: Amount required today will be the present value of future amount to be paid later based on the time…

Q: a) Dylan will start start college in 9 years. Dylans parents want to save a total amount of $32 000…

A: Annuity means finite no. of payments which are same in size and made in equal intervals. Person gets…

Q: Your elder child is one year old at present while he will begin he's college at 18th years. For…

A: The accumulated amount of regular payments made at a fixed rate is the future value of the annuity.…

Q: Assume the total cost of a university education will be $90,000 when your child enters university in…

A: Compound = Monthly = 12Future Value = fv = $90,000Time = t = 6 * 12 = 72Present Value = pv = $55,000

Q: Starting next year, you will need $5,000 annually for 4 years to complete your education. (One year…

A: An annuity is a method of fulfilling a financial goal for a specified period of time at a defined…

Q: Your uncle has said that if you agree to finish college he will give you equal payments of $3,500 at…

A: Present value is an estimate of the present value of future cash values ​​that may be received at a…

Q: Please round the answer up to TWO decimal places.

A: The answer is in the explanation.Explanation:1. Calculate the future cost of the university fees for…

Q: Bradley Snap has deposited $7 000 in a guaranteed investment account with a promised rate of 6%…

A: concept. Future value = A ( 1+r )n where , A= amount deposited r= interest rate n= time period.

Q: Maria wants to attend Clarke University. She will need $90,000 eight years from today. Assume…

A: Amount required (FV) = $90,000 Semiannual interest rate (r) = 0.03 (i.e. 0.06 / 2) Semiannual period…

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A: Financial planning refers to the practice of putting together a plan for the future of the…

Q: Syariqul Haq is trying to save up for a big vacation. He plans to take a trip around Japan when he…

A: The correct answer for the above mentioned is given in the following steps for your reference.

Q: Assume the total cost of a college education will be $224,140 when your child enters college in 12…

A: annual rate of interest refers to the rate which is charged by the lender from the borrowed on the…

Q: Syariqul Haq is trying to save up for a big vacation. He plans to take a trip around Japan when he…

A: Future value  The future value indicates the value of a current investment over a specified period…

Q: If your daughter is 5 and she plans to go to college or university in Canada when she is 18 years…

A: Present Value is the current value of all the cash flows which is to be received in the future which…

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A: Initial deposit (D) = P 5000 Withdrawal in year 17 (W1) = P 4000 Withdrawal in year 18 (W2) = P 4000…

Q: He wants to deposit his savings into a bank account. How much does Jacob have to deposit now in the…

A: Present Value The present value is the value of cash flow stream or the fixed lump sum amount at…

Q: You need Php 40,000 per year for four years to go to college. Your father invested Php 50,000 in a…

A:

Q: nim to receive $3000 each month for 5 years, beginning 18 4.2% p invest the money today in an…

A: Here we will use the concept of time value of money to answer the questions.

Q: you want to establish a perpetuity that pays $6500 per year. Your banker will establish such an…

A: Solution:Perpetuity refers to the equal cash flow per period forever.We know, value of perpetuity =…

Q: SOLVE the following: i. Suppose that your five-year old daughter has just announced her desire to…

A: Money’s value declines with the time. Compounding and discounting are the two ways which considers…

Q: Professor Dom wishes to set up a permanent scholarship paying $5,000 per annum, at the beginning of…

A: To determine Present value(PV) from the Future value(FV) , discounting is required.

Q: Assume the total cost of a college education will be $365.000 when your child enters college in 18…

A: given, future value = $356,000 present value = $59,000 n = 18 years

Q: How much do you think her parents must deposit now in order for her to have a total of RM30,000 at…

A: Present Value: It is the present worth of the annuity payments or savings made in the future.…

Q: You need $3000 annually (every year=annuity) for 3 years to give to European University of Lefke to…

A: Future value is the amount of money invested for a number of the period with the assumed growth of…

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A: The present value is the value of the sum received at time 0. It is the current value of the sum…

Q: Alexa needs $8,600 worth of new equipment for his shop. He can borrow this money at a discount rate…

A: Loan Proceeds are the amount that is disbursed from a loan, which is usually lesser than the loan…

Q: If King Solomon is planning to make the first of 5 deposits one year from now, how large must each…

A: Present value annuity factor is the value which denotes the present value of $1, when $1 is…