Question

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.

Business   Finance   
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
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
How much will be in an account at the end of five years the amount deposited...
How much will be in an account at the end of five years the amount deposited today is $10,000 and interest is 8% per year, compounded semi-annually?
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?
Fifteen years ago, you deposited $12,500 into an investment fund. Five years ago, you added an...
Fifteen years ago, you deposited $12,500 into an investment fund. Five years ago, you added an additional $20,000 to that account. You earned 8%, compounded semi-annually, for the first ten years, and 6.5%, compounded annually, for the last five years. Required: a) What is the effective annual interest rate (EAR) you would get for your investment in the first 10 years? b) How much money do you have in your account today? c) If you wish to have $85,000 now,...
Fifteen years ago, you deposited $12,500 into an investment fund. Five years ago, you added an...
Fifteen years ago, you deposited $12,500 into an investment fund. Five years ago, you added an additional $20,000 to that account. You earned 8%, compounded semi-annually, for the first ten years, and 6.5%, compounded annually, for the last five years. Required: 1. a) What is the effective annual interest rate (EAR) you would get for your investment in the first 10 years? 2. b) How much money do you have in your account today? 3. c) If you wish to...
5. Steven has just deposited $ 10,000 in a bank account that has       a 12...
5. Steven has just deposited $ 10,000 in a bank account that has       a 12 percent monthly interest rate. How much will there be in the       account within three years?   6. Suppose you borrow $ 10,000 for four years at 18            interest cent. How much will the monthly payment of the            loan?                  7. You want to withdraw $ 3,000 annually for three years, if the rate of          interest is 8 percent biannually, how...
A woman deposited $ 1000 in her bank account. The money remained on the account for...
A woman deposited $ 1000 in her bank account. The money remained on the account for 10 years. During the first 5 years, the monthly compound processed an annual nominal 15% interest. After this period, the bank changed its interest policy and quarterly compound processed 18% nominal interest rate annually. Calculate the money accumulated in the account after 10 years.
How much money must be deposited in saving account each month to accumulate $25,000 at the...
How much money must be deposited in saving account each month to accumulate $25,000 at the end of 6 years , if the bank pays interest at the rate of 8% per year compounded Monthly? Quarterly ?
If you deposit $9,000 in a bank account that pays 4% interest annually, how much will...
If you deposit $9,000 in a bank account that pays 4% interest annually, how much will be in your account after 5 years? Round your answer to the nearest cent.
You have deposited $10,000 in a bank earning interest at 7% p.a. compounded quarterly for four...
You have deposited $10,000 in a bank earning interest at 7% p.a. compounded quarterly for four years and five months. At that time, the interest rate changes to 6% p.a. compounded monthly. What is the value of the deposit three years after the change in the rate of interest? What nominal annual rate compounded quarterly is equivalent to 7.5% p.a. compounded monthly? You have decided to deposit $500 in the Montreal bank at the end of each quarter for seven...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT