Question

What is the future value at the end of year 40 of depositing $15,000 today, $3,500...

What is the future value at the end of year 40 of depositing $15,000 today, $3,500 at the end of years 1, 2 and 3, $5,000 at the end of years 4, 5, 6 and 7 and $4,250 at the end of years 8, 9, 10, 11 and 12 into an account that pays 9.5% p.a.? (No deposits will be made into the account after year 12).

Business   Finance   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1
Year Deposit balance years [email protected]% Future value
0 15000 40 37.7194 565791
1 3500 39 34.4469 120564
2 3500 38 31.4584 110104
3 3500 37 28.7291 100552
4 5000 36 26.2366 131183
5 5000 35 23.9604 119802
6 5000 34 21.8816 109408
7 5000 33 19.9832 99916
8 4250 32 18.2495 77561
9 4250 31 16.6662 70832
10 4250 30 15.2203 64686
11 4250 29 13.8998 59074
12 4250 28 12.6939 53949
Future Value 1683423

Pls do rate, if the answer is correct and comment, if any further assistance is required

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
A person deposits $ 15,000 today in a savings account that pays 3% interest. Three years...
A person deposits $ 15,000 today in a savings account that pays 3% interest. Three years later he deposits $ 14,000. And, then, two years after this last deposit, product of the profit of a developed project, deposits $ 12,500. Four years after depositing the $ 12,500, he removes half of the money accumulated in this account, and transfers this amount to an investment fund that pays a rate of 8%. How much money would you have accumulated six years...
What is the future worth of a series of equal​ year-end deposits of ​$3700 for 11...
What is the future worth of a series of equal​ year-end deposits of ​$3700 for 11 years in a savings account that earns 14​% annual interest if the following were​ true? ​(a) All deposits are made at the end of each​ year? ​(b) All deposits are made at the beginning of each​ year?
You plan on depositing $6,000 at the end of each year for 40 years into a...
You plan on depositing $6,000 at the end of each year for 40 years into a retirement account that pays 4% interest. How much could you withdraw annually in equal beginning of year amounts starting at the time you make your last deposit and continuing for a total of 20 years, assuming balances continue to earn 4% until withdrawn?
Find the following values: a. The future value of a lump sum of $6,000 invested today...
Find the following values: a. The future value of a lump sum of $6,000 invested today at 9 percent, annual compounding for 7 years. b. The future value of a lump sum of $6,000 invested today at 9 percent, quarterly compounding for 7 years. c. The present value of $6,000 to be received in 7 years when the opportunity cost (discount rate) is 9%, annual compounding. d. The present value of $6,000 to be received in 7 years when the...
Kate deposits P5,000 to her bank account every year when she was in high school for...
Kate deposits P5,000 to her bank account every year when she was in high school for four years to prepare for her college degree. She took an engineering course and since then, she stopped depositing to her bank account. Right after graduation (she graduated on time), she got a job that pays P250,000 a year. If she continues to deposit to the same bank account P50,000 every year for 10 years, calculate the future worth after 30 years if the...
) What is the future value at the end of year 13 of a series of...
) What is the future value at the end of year 13 of a series of deposits that starts at $6,000 in year 1 and shrinks by 7% per year for 13 years (last deposit occurs at the end of year 13)? The annual interest rate is 7% compounded annually. please answer in excel
What is the future value of an annuity of 11 deposits of $6,447 at the end...
What is the future value of an annuity of 11 deposits of $6,447 at the end of each year with a nominal rate of interest of 6%, compounded continuously, in 21 years?
In one year your wealthy younger sister will begin depositing $5,000 each year into a savings...
In one year your wealthy younger sister will begin depositing $5,000 each year into a savings account for your retirement. The account will compound interest at 5 percent annually and you can't withdraw any money from the account until you retire in 40 years. Which of the following statements is correct? A. The total amount of interest you will earn will equal $500 ×.05 × 40. B. The account's value at retirement is given by 5,000/(1.05^60-1)/.005 C. The future value...
You want to save $1,000,000 for retirement, which will be 40 years from today. How much...
You want to save $1,000,000 for retirement, which will be 40 years from today. How much would you have to set aside each year to fund the retirement if you made 40 equal annual deposits beginning one year from today? Assume interest rates of 6, 8, 10, and 12 percent.
5-1 FUTURE VALUE If you deposit $10,000 in a bank account that pays 10% interest annually,...
5-1 FUTURE VALUE If you deposit $10,000 in a bank account that pays 10% interest annually, how much will be in your account after 5 years? 5-2 PRESENT VALUE What is the present value of a security that will pay $5,000 in 20 years if securities of equal risk pay 7% annually? 5-3 FINDING THE REQUIRED INTEREST RATE Your parents will retire in 18 years. They currently have $250,000, and they think they will need $1,000,000 at retirement. What annual...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT