Question

(Nonannual compounding using a calculator) Jesse Pinkman is thinking about trading cars. He estimates he will still have to borrow $30,000 to pay for his new car. How large will Jesse's monthly car loan payment be if he can get a 7-year (84 equal monthly payments) car loan from the university's credit union at an APR of 7.1 percent compounded monthly?

Jesse's monthly car loan payment will be $ (Round to the nearest cent.)

(Compound annuity) You plan on buying some property in Florida 6 years from today. To do this, you estimate that you will need $45,000 at that time for the purchase. You would like to accumulate these funds by making equal annual deposits in your savings account, which pays 9 percent annually. If you make your first deposit at the end of this year, and you would like your account to reach $45,000 when the final deposit is made, what will be the amount of your deposits?

The amount of your end-of-year deposits will be $ (Round to the nearest cent.)

Answer #1

**SEE THE IMAGE. ANY DOUBTS,
FEEL FREE TO ASK. THUMBS UP PLEASE**

**SOLVED WITH BA II PLUS
CALCULATOR**

(Compounding
using a
calculator)
Lisa Simpson wants to have
$1.7
million in
35
years by making equal annual end-of-the-year deposits into a
tax-deferred account paying
6.75
percent annually. What must Lisa's annual deposit be?
The amount of Lisa's annual deposit must be
$nothing .
(Round to the nearest cent.)

You would like to save annually for buying a car 6 years from
today. Suppose the first deposit is made today and the last deposit
will be made 5 years from now. Assume the car will cost you $30,000
and your deposits earn you interest at 6% p.a, compounded
annually.
(a) What is your annual deposit amount?
(b) Instead of making annual deposits, you would like to make
your deposit monthly and the bank is happy to pay your interest...

You would like to have $73,000 in 14 years. To accumulate this
amount, you plan to deposit an equal sum in the bank each year that
will earn 9 percent interest compounded annually. Your first
payment will be made at the end of the year.
a. How much must you deposit annually to accumulate this
amount?
b. If you decide to make a large lump-sum deposit today
instead of the annual deposits, how large should the lump-sum
deposit be? ...

You would like to have $41,000 in 15 years. To accumulate this
amount, you plan to deposit each year an equal sum in the bank,
which will earn 7 percent interest compounded annually. Your first
payment will be made at the end of the year.
At the end of 4 years you will receive $9,000 and deposit this
in the bank toward your goal of $41,000 at the end of 15 years. In
addition to this deposit, how much must...

You would like to have $47,000in 9 years. To accumulate this
amount you plan to deposit each year an equal sum in the bank,
which will earn 8 percent interest compounded annually. Your first
payment will be made at the end of the year.
a. How much must you deposit annually to accumulate $47,000 in 9
years?
b. If you decide to make a large lump-sum deposit today instead
of the annual deposits, how large should this lump-sum deposit be?...

1. You would like to have $50,000 in 15 years. To accumulate
this amount you plan to deposit each year an equal sum in the bank,
which will earn 7% interest annually. Your first payment will be
made at the end of the year. o How much must you deposit annually
to accumulate this amount? o If you decide to make a large lump-sum
deposit today instead of the annual deposits, how large should this
lump-sum deposit be? o At...

Creating a retirement fund Personal Finance Problem To
supplement your retirement, you estimate that you need to
accumulate
$230,000
exactly
40
years from today. You plan to make equal, end-of-year deposits
into an account paying
7%
annual interest.a. How large must the annual deposits be to
create the
$230,000
fund by the end of
40
years?b. If you can afford to deposit only
$960
per year into the account, how much will you have accumulated
in
40
years?
a. The...

(Compounding using a
calculator and annuities due ) Springfield mogul Montgomery Burns,
age 90, wants to retire at age 100 in order to steal candy from
babies full time. Once Mr. Burns retires, he wants to withdraw $0.9
billion at the beginning of each year for 6 years from a special
offshore account that will pay 22 percent annually. In order to
fund his retirement, Mr. Burns will make 10 equal end-of-the-year
deposits in this same special account that will...

Find the amount accumulated FV in the sinking fund.
HINT [See Example 1.] (Assume end-of-period deposits and
compounding at the same intervals as deposits. Round your answer to
the nearest cent.)
$400 is deposited monthly for 10 years at 2% per year in an
account containing $6,000 at the start
FV = $
Find the periodic payments PMT necessary to accumulate
the amount given in a sinking fund. HINT [See Example 2.] (Assume
end-of-period deposits and compounding at the same...

If Jackson deposits $50 at the end of each month in a savings
account earning interest at a rate of 3%/year compounded monthly,
how much will he have on deposit in his savings account at the end
of 3 years, assuming he makes no withdrawals during that period?
(Round your answer to the nearest cent.)

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 25 minutes ago

asked 40 minutes ago

asked 44 minutes ago

asked 49 minutes ago

asked 50 minutes ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago