Question

Question 4 How much money can be withdrawn at the end of the investment period if Click here to access the TVM Factor Table Calculator Correct. $4,000 is invested at the end of each of 3 years at 5%/year compounded annually, with the lump sum then shifted into an investment paying 8%/year for 5 additional years? $ 18528 Round entry to the nearest dollar. Tolerance is +4. > Incorrect. $12,000 is invested at the end of each of 10 years at 10%/year compounded annually, with the lump sum then shifted into an investment paying 5%/year for 3 additional years? $L 161235 Round entry to the nearest dollar. Tolerance is $4. x Incorrect. $18,000 is invested at the end of each of 5 years at 9%/year compounded annually, with the lump sum then shifted into an investment paying 7%/year for 8 additional years? $ 159254 Round entry to the nearest dollar. Tolerance is $4.

Answer 1

Answer

2) future value annuity factor for 10% for 10 years is = 15.93742

so future value of $12000 after 10 years =15.93742*12000=191249.1

and additional 3 years (after 13 years )= 191249.1*(1.05)^3=221394.7

so final answer is =221395

3) future value annuity factor for 9% for 5 years is = 5.984711

so future value of $18000 after 5 years =18000*5.984711=107724.8

and additional 8 years (after 13 years )= 107724.8*(1.07)^8=185091.2

so final value =185091