Question

For 1 and 2 find the compound amount on the given original principal at the compound interest rate for the indicated term:

1. $1200 for 4 years at 4.2% compounded annually.

2. $800 for 5 years at 4% compounded monthly.

3. If you deposit $6800 into an account paying 5% annual interest compounded quarterly, how much will be in the account after 10 years if you make no withdrawals?

4. Suppose you are depositing an amount today in an account that earns 6% interest, compounded annually. If your goal is to have $5000 in the account at the end of the 5 years, how much must you deposit in the account today?

5. What is the monthly payment for a 10 year loan paid monthly for 10 years where the amount of the loan is $80,000 and the annual percentage rate is 3.5%? Please round your answer to the nearest tens place.

Answer #1

1. Find the amount and compound interest of $ 57,250 at 5 1/4%
for the 10-year period calculated:
a. annually
b. biannually
c. quarterly basis
d. monthly
e. continually
2. How much money do you need to deposit in your investment
account
to have $ 100,000 after twenty-five years at 5.45% interest
calculated annually?

1. For the next 6 years, you pan to make equal quarterly
deposits of $600.00 into an account paying 8% compounded quarterly.
How much will be the total you have at the end of the time?
2. How much money will you have to deposit now if you wish to
have $5,000 at the end of 8 years. Interest is to be at the rate of
6% compounded semiannually?
3. In the California “Million Dollar Lottery” a winner is paid...

FINANCE
5.
5A.
You deposit $5000 in an account earning 8% interest compounded
monthly. How much will you have in the account in 15
years?
5B.
You can afford a $350 per month car payment. You've found a 3
year loan at 2% interest. How big of a loan can you
afford?
5C.
You have $300,000 saved for retirement. Your account earns 5%
interest. How much will you be able to pull out each month, if you
want to be...

Directions: Simple Interest. Calculate the amount of money you
will have in each account after 5 years, assuming that the account
earns simple interest.
1.) You deposit $1500 in an account with an annual
interest rate of 4%?
Direction: Compound Interest. Use the compound interest formula
to compute the balance in each account after the stated period of
time, assuming that interest is compounded annually.
1.) $3,000 is invested at a APR of 1.8% for 12
years.?

4. Calculate the compound amount. Use the compound amount
formula and a calculator. (Round your answer to two decimal
places.)
P = $9700, r = 4% compounded daily, t
= 4 years
5.Calculate the present value. (Round your answer to two decimal
places.)
A = $47,000, r = 7.5% compounded annually,
t = 39 years
6. Calculate the present value. (Round your answer to two
decimal places.)
A = $30,000, r = 6% compounded monthly,
t = 3 years
7....

PART 2 - HOMEWORK 3 - Time Value of Money (30
pts)
Please use Excel
to answer the following questions. Print an Excel spreadsheet that
presents your answers to these TVM questions and also print the
formula sheet that shows how you calculated your
answers.
1
Calculate
the present value of 120 monthly payments of $300 at an annual
rate of 8%.
The payments are made at the end of each month.
2
You are
financing a new car with...

Question No : 3
If you deposit 10 $ in an account, that pays 5% interest,
compounded annually, how much you will have at the end of 10 years?
50 years and 100 years
How much will be in account at the end of 5 years the amount
deposited today is 10,000 and interest is 8% per year, compounded
semiannually?
How much would I have to deposit in an account today that pays
12% interest, compounded quarterly, so that I...

A. Suppose you invest $83736 today in an account that earns 13%
interest annually. How much money will be in your account 7 years
from today?
B. What is the value today of single payment of $36665, 18 years
from today if the value is discounted at a rate of 19%?
C. How many years would it take an investment of $172 to grow to
$18096 at an annual rate of return of 15%?
D. How much money would you...

PART 2: FINANCE
a) If you deposit $23,596.00 at 13.23% annual interest
compounded quarterly, how much money will be in the account after 4
years?
b) If you deposit $1036.00 into an account paying 5.46% annual
interest compounded monthly, how many years until there is
$19,912.00 in the account?
c) What is the value today of receiving a single payment of
$55,961.00 13 years if your required rate of return on this
investment is 14.25% compounded semi-annually?
d) If you...

Find the amount needed to deposit into an account today that
will yield pension payments of $30,000 at the end of each of the
next 29 years if the account earns interest at a rate of 6.9%/yr
compounded annually. (Round your answer to the nearest cent.)
$_____

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 2 minutes ago

asked 4 minutes ago

asked 4 minutes ago

asked 24 minutes ago

asked 24 minutes ago

asked 40 minutes ago

asked 44 minutes ago

asked 53 minutes ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 2 hours ago