You need 40,000 pesos per year for 4 years to go to college. Your father invested 50,000 pesos at 7% for your education the day you were born. if you withdraw 40,000 pesos at the end of your 17th 18th 19th and 20th birthda, how much will be left in the account at the end of the 21st year?

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A: The time value of money acknowledges that, because of prospective earning potential, inflation, and…

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A: Future value can be calculated using FV (rate, nper, pmt, [Pv], [type]) Rate The interest rate Nper…

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A: Annuity is the no. of payments which are equal in size and made in equal interval of time. Person…

Q: You receive a $10,000 check from your grandparents for graduation. You decide to save it toward a…

A: The concept of time value of money will be applied here. As per the concept of time value of money…

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A: Present value and future value is computed by discounting or compounding an amount. Future value is…

Q: 'ou receive a $7,000 check from your grandparents for graduation. You decide to save it toward a…

A: A down payment is a payment made in the early stages of a purchase of an expensive product or…

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A: Present Value of annuity = Annual payments * PVAF(rate, number of years) Present Value = Future…

Q: Your daughter just turned 5 years old. You plan to send her to college beginning on her 18th…

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A: The tuition fee per year is $2,500.The growth rate for the first 10 years is 4% per annum.The growth…

Q: After retirement, you expect to live for 25 years. You would like to have a $95,000 income each…

A: Here,

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Q: Tanya wants to be able to withdraw $7000 at the end of 7 years and $9000 at the end of 8 years. If…

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Q: Boatright wants to withdraw $2000 from an account at the end of year 1, $4000 at the end of year 2,…

A: Today value required in account is the present value of the future payments based on the time and…

Q: You are 40 years old and want to retire at age 60. Each year, starting one year from now, you will…

A: An annuity is a financial product or contract that provides a series of regular payments to an…

Q: At the end of this year, you intent to contribute $5000 to your retirement account. You are…

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A: Compound = Monthly = 12Payment = p = $300Time = t = 15 * 12 = 180Monthly Interest Rate = r = 0.4%

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Q: A man wants to set up a 529 college savings account for his granddaughter. How much would he need to…

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A: Hi, since you have posted a question with multiple sub-parts, we will answer the first three, as per…

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A: Number of years (n) to college = 18 Annuity (P) amount of $4,732 for 18 years Interest rate ( r ) of…

Q: You are planning to invest $2,000 in an account earning 12% per year for retirement. a. If you put…

A: Future value alludes to the expected worth of an speculation or entirety of cash at a indicated…

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A: Present value (PV) is calculated when future value is known but the investor wants to know the…

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A: Here, Annual amount to withdraw = $50,000 Time in years after retirement = 25 years Time to…

Q: You want to be able to withdraw $25,000 from your account each year for 30 years after you retire.…

A: An annuity is a payment series that provides its holder with a fixed income. It is widely used in…

Q: Your cousin is currently 12 years old. She will be going to college in 6 years. Your aunt and uncle…

A: Time value of money concept says that a dollar amount invested today will have more value in future…

Q: Sara wants to make a deposit now into an account that earns 3% annually so that she will be able to…

A: Annual withdrawal (C) = $125Interest rate (r) = 0.03Period (n) = 5 YearsAmount need to deposit today…

Q: Your parents deposit $1000 in your bank account paying 5% per year. What would be the balance in…

A: Future Value refers to the value of current assets at a specified growth rate in the future for a…

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

A: Variables in the question:Withdrawal per year (PMT)=$5000N=4 yearsRate=7% p.a.