HomeworkLib
Question

value: 3.00 points Six years ago, you convinced your son to deposit $900 in a savings account at the bank that will pay 5.25 percent interest. Currently, he is itching to spend that money. How much more money will he have if you can convince him to wait another year to withdraw his savings rather than withdrawing the funds today? O $55.09 O $69.70 O $49.73 $64.23
value: 3.00 points Nan needs to save $38,000 to finance her wedding two years from today. How much does she need to deposit into her savings account today to fully fund her wedding if she can earn 6 percent interest? O $33,819.86 o $38,000.00 $34,854.97 O $42,696.80
You would like to have $2.8 million when you retire 40 years from today, You can earn 6 percent on your investments, How much would you need to invest today to accomplish this goal? O$242,276.72 O $272.222.13 O$294,900.39 O $298702.35
business   finance   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

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

Home nert Page Layout Formulas Data Review View dd-Ins s Cut aCopy E AutoSum ー E ゴWrap Text B า 프 . Ej-., Δ. : r_一 逻锂函Merge & Center. $, % , 弼,8 conditional Format . Cell Insert Delete Format Paste Sort &Find & Format Painter Formatting as Table Styles2 Clear Clipboard Font Alignment Number Cells Edting OF73 NW NX NY NZ OA OB OC OD OE OF OG OH Ol 61 62 63 64 65 years amount rate value today 6 900 5.25% $1,223.42 900*(1+0.0525)A6] value after a year $1,287.651223.42*(1+0.0525) 67 68 69 ANS1 70 71 72 73 ANS 2 74 75 76 77 ANS 3 78 79 11 1 トーCALCULATOR ( LOAN OPTIONS | pv, fv, annuity 1 CAP STRU VALUE extra money to convince him to wait $ 64.23 (1287.65 - 1223.42) value after 2 years rate deposit today (-PV) $ 38,000.00 $ 33,819.86 (38000/(1.06A2) S28,00,000.00 2,72,222.13 (2800000/(1.06A40) 6% PV FV/(1+r)An Required after 40 years rate deposit today (-PV) 6% BOX DILUTION DOLLAR COST AVGMORTGAGE EXPO Sheeti Sheet2 Shel rences: x261 06:06 04-01-2019

0 0
Add a comment
Know the answer?
Add Answer to:
value: 3.00 points Six years ago, you convinced your son to deposit $900 in a savings...
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. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • Your grandmother invested $2,300 for you on the day you were born. This investment has earned...

    Your grandmother invested $2,300 for you on the day you were born. This investment has earned an average of 13.8 percent annually. How old are you if the investment is now worth $18,642? O 14.36 years 14.58 years 15.15 years 16.19 years You just inherited $7100 which you are investing at 7.25 percent interest. How long will you have to wait un your account reaches a value of $12,000 O 6.96 years O 8.34 years O 7.50 years O 8.55...

  • 3.00 points Tracie invested $14,000 five years ago in TLK stock. How much is her investment...

    3.00 points Tracie invested $14,000 five years ago in TLK stock. How much is her investment worth today if she has earned a 14.2 percent rate of return? O $23,811.80 O $23,940.00 $31,054.51 O $27,193.09 value: 3.00 points Sue invested $5,100 at 7 percent interest for 4 years. Phil invested $5,100 at 7 percent interest for 8 years. How much more interest will Phil earn than Sue? O $1,428.00 O $2,07769 O $1,109.02 $1,723.29 value: 3.00 points You want to...

  • 1. Suppose you accumulated $500,000, perhaps from many years of saving. You put the money in...

    1. Suppose you accumulated $500,000, perhaps from many years of saving. You put the money in a savings plan earning 6% compounded monthly. If you want to withdraw $4,000 at the beginning of each month, how long before the savings plan is exhausted? 2. Suppose you accumulated $500,000, perhaps from many years of saving. You put the money in a savings plan earning 6% compounded monthly. If you want the plan to last 40 years, how much can you withdraw...

  • please answer all of the following questions 14. Assume that I will deposit $750 into an...

    please answer all of the following questions 14. Assume that I will deposit $750 into an account exactly 10 years from today. How much will be in my account at the end of year 60 (i., 60 years from today), assuming that my account pays interest of 4.5% p.a.? 15. What is the future value at the end of year 15 of $10,000 deposited today into an account that pays interest of 4.5% p.a., but with daily compounding (assume 365...

  • Suzane is 30 years old and would like to maximize the amount she cam deposit into...

    Suzane is 30 years old and would like to maximize the amount she cam deposit into her retirement account, however she is limited in the amount she can deposit. The IRS limits the maximum deposit amount and she has leftover student debt that also limits her deposit rate. The IRD limit ius $18,500 today and is expected to rise by the cost of iunflation at 2.5% per year. Because of her student debt Suzanne can only deposit $6,000 per year...

  • 5) a) What is the present value of $40 earned 2-years from now if compounding was...

    5) a) What is the present value of $40 earned 2-years from now if compounding was semi-annual and the interest rate is annually 3%? A "black box" just paid $20, which is expected to grow by 3% when the interest rate is 7% forever, what is the present value of this "black box" b) What is the future value of an annuity due with a $15 cash flow, 4% annual interest with quarterly compounding three-years from now? c) d) If...

  • 8-One year from now, you deposit $300 in a savings account. You deposit $1,800 the next...

    8-One year from now, you deposit $300 in a savings account. You deposit $1,800 the next year. Then you wait two more years (until 4 years from now) and deposit $1,000. If your account always earns 6% annual interest and you make no withdrawals, how much will be in the account 11 years from now? 9-You deposit $5000 for 5 years at 4% annual interest. In 5 years, you add $15,000 to your account, but the rate on your account...

  • You are planning for your pension plan that you will start to invest money, deposit first...

    You are planning for your pension plan that you will start to invest money, deposit first saving a year from today, deposit last at 20, and get retired after 20 years. You desire to take an immediate trip, costing approximately 15000 TL.(t=20) when you retire, and expect to live 25 more years, for which you need 12000TL each year, starting from one year from retirement. Your savings will be equal and on annual basis. Savings will earn 10% annually. a)...

  • What would be the value of a savings account started with $825, earning 8 percent (compounded...

    What would be the value of a savings account started with $825, earning 8 percent (compounded annually) after 13 years? Future value: Brenda Young desires to have $14,000 eight years from now for her daughter’s college fund. If she will earn 5 percent (compounded annually) on her money, what amount should she deposit now? Use the present value of a single amount calculation. Present value: What amount would you have if you deposited $2,900 a year for 25 years at...

  • You plan to save $7,300 per year for the next 11 years. After the last deposit,...

    You plan to save $7,300 per year for the next 11 years. After the last deposit, you will keep the money in the account for 3 more years. The account will earn an interest rate of 7.6 percent. How much will there be in the account 14 years from today?

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT