Question

A couple received a $122,000 inheritance the year they turned 47 and invested it in a...

A couple received a $122,000 inheritance the year they turned 47 and invested it in a fund that earns 7.4% compounded semiannually. If this amount is deferred for 15 years (until they retire), how much will it provide at the end of each half year (in dollars) for the next 20 years after they retire? (Round your answer to two decimal places.)

Math   Advanced-Math   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
You have received a $60,000 inheritance that you invested and earns 9%. If you withdraw $8,000...
You have received a $60,000 inheritance that you invested and earns 9%. If you withdraw $8,000 annually to supplement income, how many years will you have before the fund runs out?
Linda Roy received a $221,000 inheritance after taxes from her parents. She invested it at 5.5%...
Linda Roy received a $221,000 inheritance after taxes from her parents. She invested it at 5.5% interest compounded quarterly for 6 years. A year later, she sold one of her rental properties for $231,000 and invested that money at 4.5% compounded semiannually for 5 years. Both of the investments have matured. She is hoping to have at least $521,000 in 10 years compounded annually at 3.5% interest so she can move to Hawaii. Future Value of Inheritance Investment: $ Future...
You have just turned 30 years? old, have just received your? MBA, and have accepted your...
You have just turned 30 years? old, have just received your? MBA, and have accepted your first job. Now you must decide how much money to put into your retirement plan. The plan works as? follows: Every dollar in the plan earns 9% per year. You cannot make withdrawals until you retire on your 70th birthday. After that? point, you can make withdrawals as you see fit. You decide that you will plan to live to 100 and work until...
You have just turned 30 years​ old, have just received your​ MBA, and have accepted your...
You have just turned 30 years​ old, have just received your​ MBA, and have accepted your first job. Now you must decide how much money to put into your retirement plan. The plan works as​ follows: Every dollar in the plan earns 8% per year. You cannot make withdrawals until you retire on your 60th birthday. After that​ point, you can make withdrawals as you see fit. You decide that you will plan to live to 100 and work until...
A young couple wants to have a college fund that will pay $20,000 at the end...
A young couple wants to have a college fund that will pay $20,000 at the end of each half-year for 8 years. (a) If they can invest at 8%, compounded semiannually, how much do they need to invest at the end of each 6-month period for the next 18 years to begin making their college withdrawals 6 months after their last investment? (Round your answer to the nearest cent.) a. Suppose 8 years after beginning the annuity payments, they receive...
A young couple wants to have a college fund that will pay $40,000 at the end...
A young couple wants to have a college fund that will pay $40,000 at the end of each half-year for 8 years. (a) If they can invest at 8%, compounded semiannually, how much do they need to invest at the end of each 6-month period for the next 18 years to begin making their college withdrawals 6 months after their last investment? (Round your answer to the nearest cent.) $ (b) Suppose 8 years after beginning the annuity payments, they...
1. Chris Spear invested $50,000 today in a fund that earns 8% compounded semiannually. To what...
1. Chris Spear invested $50,000 today in a fund that earns 8% compounded semiannually. To what amount will the investment grow in 3 years? 2. Sally Medavoy will invest $10,000 a year for 3 years in a fund that will earn 6% annual interest. If the first payment into the fund occurs today, what amount will be in the fund in 3 years? 3. John Fillmore's lifelong dream is to own his own fishing boat to use in his retirement....
You just turned 30 years old, and decided that it is time to start saving for...
You just turned 30 years old, and decided that it is time to start saving for retirement. Based on your anticipated income and expenses, you expect to be able to invest $4,000 each year until you are 50 years old, and then $5,000 each year until you retire at age 65. You expect to earn 6.1% on your investments. What is the expected value of your retirement account at age 65? During retirement, you expect to spend about $160000 per...
Richard was just notified that his grandfather left him an inheritance. The inheritance is structured to...
Richard was just notified that his grandfather left him an inheritance. The inheritance is structured to pay him an initial amount of $6976 which will decrease by $319 each subsequent year. Richard will receive a payment from the trust fund for 8 years. If Richard saves the money in an account paying 5% compounded annually, how much will Richard have in the account at the end of the 8 years? Note: Richard will receive the first payment at the end...
You have just turned 40 years old and are trying to decide who much money to...
You have just turned 40 years old and are trying to decide who much money to put into your retirement plan. The plan works as follows: Every dollar in the plan earns 7% per year. You cannot make withdrawals until you retire on your sixty-fifth birthday. After that point, you can make withdrawals as you see fit. You decide that you will plan to live to 95 and work until your turn 65. You estimate that to live comfortably in...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT