Please solve this question general accounting You plan to invest at yearly 6% interest compounded monthly.If you want the investment will be worth $4847 after 16months, then you must put $. in the investment now.

To calculate the amount of investment , we can use the formula for compound interest:A = P (1 +…

Answered: You plan to invest at yearly 6%…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 6MC: You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years....

See similar textbooks

Similar questions

If you want to save $50,000 in 8 years, you will earn 6.5% on your investment. a. How much will your payments be annually? b. Identify N, PV, FV, PMT, and I/R, and the formula used to calculate the payment.
You will deposit $354 each year into an investment account that earns 5% interest (as an effective annual rate, EAR). Your first deposit will be exactly one year from today, and you'll make a total of 10 deposits. How much will be in your account 10 years from today?
If you put $200,000 into your investment account now for 10 year at 5% annual interest, what is the difference in interest income between simple interest calculation and compound interest calculation? use Excel for calculation.
You plan to invest $50,000 today at an annual interest rate of 12% over 5 years. What the future value of your investment if interest is compounded. a. Annually b. Semi-annually
You invest $10,000 into an account that earns 4.5% simple interest each year. Give anequation modeling this situation, and give the total amount you would have after 30 years.
A new investment opportunity for you is an annuity that pays $800 at the beginning of each year for 3 years. You could earn 5.5% on your money in other investments with equal risk. What is the most you should pay for the annuity?
Suppose you invest $3,500 today, compounded monthly, with an annual interest rate of 8.50%. What amount of interest will you earn in one year?
Consider an investment which pays $3,000 at the end of year 1, year 2, and year 3. In year4, the investment will pay $4,000 and this payment will grow by 2% each year forever. If theappropriate interest rate is 9%, what is this investment worth today? (Show Using BA II Plus or By Hand)
You have 1,500 to invest today at 7% interest rate Compounded annually. a- Find how much will you get after 3 year. b- Find how much will you get after every six month and after every quarter|
Currently, you have $21,000 that you would like to grow to $97,500 within the next 9 years. Assuming interest rate compounds annually, what annual rate of return do you have to earn?
You make an investment into a money market account at time T=0. In year T=5, the value of the money market account will be $5,000. The money market account pays an annual interest of R=6%, and interest is compounded on a quarterly basis. What is the present value of this account?
Suppose an investment will pay $21,000 in 29 years from now. If you can earn 11.35% interest compounded monthly by depositing your money in a bank, how much should you pay for the investment today?

SEE MORE QUESTIONS

Recommended textbooks for you

Principles of Accounting Volume 2

Accounting

ISBN:

9781947172609

Author:

OpenStax

Publisher:

OpenStax College

EBK CONTEMPORARY FINANCIAL MANAGEMENT

Finance

ISBN:

9781337514835

Author:

MOYER

Publisher:

CENGAGE LEARNING - CONSIGNMENT

Corporate Fin Focused Approach

Finance

ISBN:

9781285660516

Author:

EHRHARDT

Publisher:

Cengage

Principles of Accounting Volume 2

Accounting

ISBN:

9781947172609

Author:

OpenStax

Publisher:

OpenStax College

EBK CONTEMPORARY FINANCIAL MANAGEMENT

Finance

ISBN:

9781337514835

Author:

MOYER

Publisher:

CENGAGE LEARNING - CONSIGNMENT

Corporate Fin Focused Approach

Finance

ISBN:

9781285660516

Author:

EHRHARDT

Publisher:

Cengage

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

SEE MORE TEXTBOOKS

You plan to invest at yearly 6% interest compounded monthly. If you want the investment will be worth $4847 after 16 months, then you must put $. in the investment now.