You need to accumulate $95,041 for your son's education. You have decided to piace equal year-end...

Question

Question

business accounting

Answer 1

Answer #1

The annual payment is calculated using the PMT function:-

=PMT(rate,nper,pv,fv)

=PMT(8.8%,5,0,95041)

=15944.05

where,

rate is periodic rate

nper is number of periods

pv is present value which is 0 in this case

fv is future value

Answer 2

Similar Homework Help Questions

You need to accumulate $72,847 for your son's education. You have decided to place equal year-end...

You need to accumulate $72,847 for your son's education. You have decided to place equal year-end deposits in a savings account for the next 5 years. The savings account pays 9.66 percent per year, compounded annually. How much will each annual payment be? Round the answer to two decimal places.
You are going to save money for your son's education. You have decided to place $2,667...

You are going to save money for your son's education. You have decided to place $2,667 every half year at the end of the period into a saving account earning 8.58 percent per year, compounded semi-annually for the next 3 years. How much money will be in the account at the end of that time period? Round the answer to two decimal places.
Show how to enter into EXCEL 1. You have decided to place $153 in equal deposits...

Show how to enter into EXCEL 1. You have decided to place $153 in equal deposits every month at the beginning of the month into a savings account earning 4.69 percent per year, compounded monthly for the next 15 years. The first deposit is made today. How much money will be in the account at the end of that time period? Round the answer to two decimal places 2. What is the present value of the following annuity? $4,765 every...

You have decided to place $175 in equal deposits every month at the beginning of the...

You have decided to place $175 in equal deposits every month at the beginning of the month into a savings account earning 7.66 percent per year, compounded monthly for the next 14 years. The first deposit is made today. How much money will be in the account at the end of that time period? Round the answer to two decimal places. Thank you.
You are going to save money for your son’s education. You have decided to place $1,192...

You are going to save money for your son’s education. You have decided to place $1,192 every half year at the end of the period into a saving account earning 9.21 percent per year, compounded semi-annually for the next 9 years. How much money will be in the account at the end of that time period? Round the answer to two decimal places.
You have decided to place $416 in equal deposits every month at the beginning of the...

You have decided to place $416 in equal deposits every month at the beginning of the month into a savings account earning 3.04 percent per year, compounded monthly for the next 11 years. The first deposit is made today. How much money will be in the account at the end of that time period? Round the answer to two decimal places.

You have decided to place $416 in equal deposits every month at the beginning of the...

You have decided to place $416 in equal deposits every month at the beginning of the month into a savings account earning 3.04 percent per year, compounded monthly for the next 11 years. The first deposit is made today. How much money will be in the account at the end of that time period? Round the answer to two decimal places.
You have decided to place $147 in equal deposits every month at the beginning of the...

You have decided to place $147 in equal deposits every month at the beginning of the month into a savings account earning 13.34 percent per year, compounded monthly for the next 14 years. The first deposit is made today. How much money will be in the account at the end of that time period? Round the answer to two decimal places
You are going to save money for your son’s education. You have decided to place $1,915...

You are going to save money for your son’s education. You have decided to place $1,915 every half year at the end of the period into a saving account earning 5.95 percent per year, compounded semi-annually for the next 11 years. How much money will be in the account at the end of that time period?

give you $1,000 per year for the next 10 1. Your grandmother has offered to give...

give you $1,000 per year for the next 10 1. Your grandmother has offered to give you $1,000 per year to what is the present value of this 10-year. $1.000 annuity discounted back to the present at 5 percent? What will be the present value if you received the $1,000 payment at the beginning of each year? 2. You are graduating from college at the end of this semester, and you have decided to invest $5000 a year for the...