Question

Jonathan has deposited $2000 in an account in year 2 and increased his deposit by 4%...

Jonathan has deposited $2000 in an account in year 2 and increased his deposit by 4% every year after that till the end of year 10. How much money will be accumulated in year 10 in the account if the rate of return is 4% per year?

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
4. How much money needs to be deposited into a certificate of deposit (CD) account to...
4. How much money needs to be deposited into a certificate of deposit (CD) account to be able to withdraw 50,000.00 from the account at the end of 10 years if the interest rate is 2% compounded monthly?
1) You plan to deposit $2000 each year into an account for the next 5 years....
1) You plan to deposit $2000 each year into an account for the next 5 years. The discount rate is 12% for the next 3 years and 15% after that. What is the value today of your 5 deposits of $2000 each? 2) An investment pays no cash flows for the next 3 years. After three years, the investment pays $1000 per year for 10 years. After that, the investment pays $2000 per year forever. The appropriate discount rate is...
An Engineer deposited $12,000 in a bank saving account that pays 3% per quarter. a) How...
An Engineer deposited $12,000 in a bank saving account that pays 3% per quarter. a) How much money the engineer will find in his account after 4 years? b) What will be the effective interest rate per six months? c) What will be the effective interest rate per year?
An account pays 4 percent interest (yearly effective). 10,000 dollars is deposited into that account at...
An account pays 4 percent interest (yearly effective). 10,000 dollars is deposited into that account at the end of the first year, and the deposits increase by 2000 dollars each year (12,000 is the second year’s deposit, etc.) What is the amount in the account at the end of 20 years and what is the present value?
You deposit $5,000 into an account at the end of year 0. You deposit $5,000 every...
You deposit $5,000 into an account at the end of year 0. You deposit $5,000 every three (3) months beginning at the end of year 1 and continuing through the end of year 3. You also deposit into the account an amount X starting at the end of year 6 and repeat it every three (3) months for a total of four (4) deposits. You withdraw $112,160 at the end of year 7. After the withdrawal at the end of...
How much money should be deposited annually in a bank account for five years if you...
How much money should be deposited annually in a bank account for five years if you wish to withdraw ​$5,500 each year for three​ years, beginning five years after the last​ deposit? The interest rate is 5% per year.
How much money should be deposited annually in a bank account for five years if you...
How much money should be deposited annually in a bank account for five years if you wish to withdraw $5,000 each year for three years, beginning five years after the last deposit? The interest rate is 3% per year
Matt recently deposited $24,500 in a savings account paying a guaranteed interest rate of 3 percent...
Matt recently deposited $24,500 in a savings account paying a guaranteed interest rate of 3 percent for the next 10 years. Required: If Matt expects his marginal tax rate to be 22.00 percent for the next 10 years, how much interest will he earn after-tax interest for the first year of his investment? How much interest will he earn after-tax interest for the second year of his investment if he withdraws enough cash every year to pay the tax on...
If you deposit $1000 in one year, $2000 in two years and $3000 in three years,...
If you deposit $1000 in one year, $2000 in two years and $3000 in three years, $4000 in four years, $5000 in five years. How much will you have in five years at 9 percent interest? How much in 10 years if you add nothing to the account after the fifth year? a) Suppose you invest $2500 in a mutual fund today and $5000 in one year. If the fund pays 9% annually, how much will you have in two...
1. John wishes to make a quarterly deposit into his savings account so that at the...
1. John wishes to make a quarterly deposit into his savings account so that at the end of 10 years the account balance will be $10,000. If the account earns 6% annual interest, compounded quarterly, how much should he deposit each quarter? 2. The maintenance on a machine is expected to be $155 at the end of the first year, then increasing by $35 each year for the next 7 years. What sum of money would need to be set...