None 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 determine the initial investment (present value, PPP), we use the formula for compound…

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....

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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.
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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?
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|
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?
What would you pay for an investment that pays you $30,000 at the beginning of each year for the next ten years? Assume that the relevant interest rate for this type of investment is 8%.
Assume you can obtain an annual interest rate of 12% compounding monthly. You are going to invest $1,000 for two years. What interest rate will be compounded? O 12% O 24% O 6% O 1%
Suppose an investment will pay $19,000 in 16 years from now. If you can earn 10.15% 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.
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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.