You invest $12000 into an account that earns 8.5 % simple interest for 30 months. What is the future value of this investment? (WRITE A NUMBER ONLY)
Q: If you have $5500 to invest now, and will need a total of $25,000 -- 10 years from now, determine…
A: Present Value The present value is the value of cash flow stream or the fixed lump sum amount at…
Q: A man wants to invest $5800 for 2 years and 3 months. How much will he have in his account if it is…
A: simple interest is interest calculated on the principal amount that means he only gain interest on…
Q: You deposit $19,000 today in an investment account and the annual rate of return is 12%, what will…
A: Formulas: Future value = Present value *(1+rate)^years
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A: Here, EAR is 6.2% Monthly payment (PMT) is $1,000 Required Amount (FV) is $100,000
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A: As per the given information: Interest rate - 1.92% compounded annually Amount deposited at the end…
Q: If you want to earn 7% annual simple interest on an investment, how much should you pay for a note…
A: Interest rate (r) is 7% Amount earned (I + P) or future value is $10,500 Amount invested (P) or…
Q: You plan to invest $1,200 at the end of year 1, $2,000 at the end of year 2, and $3,700 at the end…
A: Given data; Amount deposited at the end of year 1 = $1200 Amount deposited at the end of year 2 = $…
Q: You are planning to save for retirement over the next 30 years. To do this, you will invest $700 a…
A: Using excel PMT & FV Function
Q: Suppose you owe $600 on your credit card and are paying 14 percent interest. If you pay off the debt…
A: Interest is the amount paid for the usage of the principal borrowed.
Q: If you have $4500 to invest now, and will need a total of $25,000 -- 10 years from now, determine…
A: Amount available now (PV) = $4500 Period = 10 Years Monthly period (n) = 10*12 = 120 Interest rate =…
Q: If you make monthly $500 deposits into your investment account paying 9.58% interest annually, how…
A: Interest is an amount which is received on the deposited amount for the period. It increases the…
Q: If you invest $7,500 in an account paying 8.35% compounded continuously, how much will be in the…
A: In the simple interest, we calculate the interest amount which we will receive after the specific…
Q: How long would it take you to double your money in an investment if it earns 5.75% compounded…
A:
Q: Suppose you invest $140 a month for 3 years into an account earning 8% compounded monthly. After 3…
A: Future value of ordinary annuity(cash flow due at the end of year) can be calculated by using this…
Q: How many years will it take to reach your goal?
A: Year Opening Balance ($) Interest % Interest Amount ($) Additional Deposit ($) Balance at year end…
Q: If you invest $2,000 today, withdraw $1,000 in 3 years, deposit $3,000 in 5 years, deposit $1,500 in…
A: Given, The amount invested today is $2000 The rate of interest is 7%
Q: If you want to earn 7% annual simple interest on an investment, how much should you pay for a note…
A: Simple interest is the type of interest that is calculated on the original amount, It is calculated…
Q: You invest $1000 into an account that accrues interest monthly at a rate of 0.16%. (a) How much…
A: The future value of a cash flow is the future worth of a cash flow at a certain rate of interest and…
Q: If you want to earn 5% annual simple interest on an investment, how much should you pay for a note…
A: The question is based on the concept of time value.
Q: You are planning to save for retirement over the next 30 years. To do this, you will invest $700 a…
A: Using excel FV and PMT function
Q: If you deposit $3,500today into an account earning an annual rate of return of 11percent, what…
A: Rate of return (r) = 0.11 or 11% Initial deposit (I) = $3,500 Future value (FV) = ? Future value…
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Q: You are quoted an interest rate of 8% on an investment of $5 million. What is the value of your…
A: Interest Rate = 8% Investment = 5,000,000 Time Period = 6 years
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Q: You can earn $41 in interest on a $1,000 deposit for eight months. If the EAR is the same regardless…
A:
Q: If you want to earn 7% annual simple interest on an investment, how much should you pay for a note…
A: A method of computing interest amounts in which the compounding effect was not considered by the…
Q: money is in your account after 16 months?
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A: Using NPER function in excel, this can be ascertained and the following inputs are used for…
Q: You are planning to save for retirement over the next 30 years. To do this, you will invest K700 a…
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Q: How many months will it take for an investment of Php 30,000.00 to earn Php 112.50 at 1.5% simple…
A: Time value of money(TVM)-It is based on the concept that money earned today is worth more than…
Q: Use the compound interest formula to calculate the compound amount (in $) for your investment.
A: Future Value: It is the future worth of the investment amount or a sum of money compounded at a…
Q: To accumulate $85,000 in 6 years, you must invest $_ now, to the nearest whole dollar value, if the…
A: Principal amount invested now will become certain amount after certain period of time at specific…
Q: Suppose you invest $140 a month for 3 years into an account earning 8% compounded monthly. After 3…
A: The future value is the future worth of the amount that will be paid or received at future.
Q: If you want to earn 7% annual simple interest on an investment, how much should you pay for a note…
A: We need to calculate the principle value here
Q: You would like to put some money into an account so that you will have $6000 in the account 13 years…
A: Present Value can be calculated using PV function in excel PV (rate, nper, pmt, [Fv], [type])…
Q: You want to invest 8000$ at an annual interest rate of 8% that compounds annually for 12 years.…
A: The future value of money concept is a fundamental concept of financial management. The future value…
Q: You invest $17,000 at 18% interest, compounded monthly, for 2 years. Use the compound interest…
A: Higher the frequency of compounding, higher would be the interest income
Q: You would like to have an accumulated amount of Php 60,000 in a savings account that pays you an…
A:
Q: If you want to earn 15% annual simple interest on an investment, how much should you pay for a note…
A: The question specifies that the maturity value of note receivable due in 10 months from now will be…
Q: If you have $50,000 in an interest-bearing savings account that pays2 percent annual interest, how…
A: Present value = 50000 Interest rate = 2% Days = 30 Assume 365 days in Year
Q: What is the initial amount, rounded to the nearest cent, that you would need to invest into an…
A: Present Value is the current value of all the cash flows which is to be received in the future which…
Q: An investment promises to pay into an account that pays you 6% annually, $150 per month for the…
A: In this question, first, we will calculate the future value of annuity after 22 years and then the…
Q: Suppose that you invest $20 000 in an account paying 8% interest. You plan to withdraw $2000 at the…
A: Investment = $ 20,000 Annual interest rate = 8% Annual withdrawal = $ 2000 Period = 15 Years
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Solved in 3 steps
- You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years. Which table will help you determine the value of your account at the end of 12 years? A. future value of one dollar ($1) B. present value of one dollar ($1) C. future value of an ordinary annuity D. present value of an ordinary annuityUse the tables in Appendix B to answer the following questions. A. If you would like to accumulate $4,200 over the next 6 years when the interest rate is 8%, how much do you need to deposit in the account? B. If you place $8,700 in a savings account, how much will you have at the end of 12 years with an interest rate of 8%? C. You invest $2,000 per year, at the end of the year, for 20 years at 10% interest. How much will you have at the end of 20 years? D. You win the lottery and can either receive $500,000 as a lump sum or $60,000 per year for 20 years. Assuming you can earn 3% interest, which do you recommend and why?You put $250 in the bank for S years at 12%. A. If interest is added at the end of the year, how much will you have in the bank after one year? Calculate the amount you will have in the bank at the end of year two and continue to calculate all the way to the end of the fifth year. B. Use the future value of $1 table in Appendix B and verity that your answer is correct.
- Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $2,500 over the next 4 years when the interest rate is 15%, how much do you need to deposit in the account? B. If you place $6,200 in a savings account, how much will you have at the end of 7 years with a 12% interest rate? C. You invest $8,000 per year for 10 years at 12% interest, how much will you have at the end of 10 years? D. You win the lottery and can either receive $750,000 as a lump sum or $50,000 per year for 20 years. Assuming you can earn 8% interest, which do you recommend and why?You put $600 in the bank for 3 years at 15%. A. If Interest Is added at the end of the year, how much will you have in the bank after one year? Calculate the amount you will have in the bank at the end of year two and continue to calculate all the way to the end of the third year. B. Use the future value of $1 table In Appendix B and verify that your answer is correct.If you deposit $5000 into an account, how many years will it take for the account to be worth $9350 using 8.25% simple interest rate?
- Your investment advisor wants you to purchase an annuity that will pay you $81,491 after 10 years. If you require a 7.8% return, what is the most you should pay for this investment? (Keep 2 decimal places)You plan to deposit $2,300 per year for 5 years into a money market account with an annual return of 2%. You plan to make your first deposit one year from today. Assume that your deposits will begin today. What amount will be in your account after 5 years? Do not round intermediate calculations. Round your answer to the nearest cent.You plan to deposit $2,300 per year for 5 years into a money market account with an annual return of 2%. You plan to make your first deposit one year from today. What amount will be in your account at the end of 5 years? Do not round intermediate calculations. Round your answer to the nearest cent.
- You just opened a brokerage account, depositing $4,500. You expect the account to earn an interest rate of 8.57 % . You also plan on depositing $3,000 at thenend of years 5 through 10. What will be the value of the account at the end of 20 years, assuming you earn your expected rate of return?Suppose an investment will pay $7,000 in 44 years from now. If you can earn 6.15% interest compounded monthly by depositing your money in a bank, how much should you pay for the investment today?Round your answer to two decimal places. For example, if your answer is $345.667 round as 345.67 and if your answer is .05718 or 5.718% round as 5.72. Group of answer choicesYou want to save (deposit) $6,631 per year, starting next year, to make a down payment of $79,593 on a vacation home. If you can earn 4.24 percent on your investment, for how many years will you have to make deposits? Answer to 4 decimals.