If Bob and Judy combine their savings of $1,500 and $900, respectively, and deposit this amount into an account that pays 7 % annual interest, compounded monthly, what will the account balance be after 7 years?
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- A couple wants to set up a college savings account for their grandchild. If the account earns 4.4% interest compounded quarterly, how much should they invest today so that the account will be worth $50,000 in 18 years? Round your final answer to two decimal places.If Bob and Judy combine their savings of $1,000 and $800,respectively, and deposit this amount into an account that pays 7% annual interest, compounded monthly, what will the account balance be after 4 years?Derek will deposit $1,169.00 per year into an account starting today and ending in year 5.00. The account that earns 7.00%. How much will be in the account 5.0 years from today?
- A man wants to set up a 529 college savings account for his granddaughter. How much would he need to deposit each year into the account in order to have $80,000 saved up for when she goes to college in 15 years, assuming the account earns a 8% annual return. Annual deposit:A family is saving for their child's education. They want to have $80,000 eighteen years from now . a.) How much do they need to deposit each month into an account earning 7.2% interest compounded monthly? b.) What is the interest earned on the account?Charlotte wishes to accumulate $100,000 in a savings account in 10 years. If she wishes to make a single deposit today and the bank pays 4% compounded annually on deposits of this size, how much should Charlotte deposit in the account?
- Tom plans to save $92 a month, starting today, for 18 years. Dick plans to save $92 a month for 18 years, starting one month from today. Both Tom and Dick expect to earn an average return of 5.4 percent APR on their savings and both will make the same number of deposits. At the end of the 18 years, how much more (in $) will Tom have than Dick? Answer to two decimals.Suppose Ted deposits $10,000 in a savings plan earning 5% compounded annually and Tess deposits $10,000 in a savings plan earning 10% compounded annually. Both leave their money on deposit for 40 years. Because Tess’s rate is twice as great as Ted’s rate, is it true that Tess will earn twice as much interest? Explain why or why not. Then show calculations to prove your point of view. What is the future value for each investment?Stacey and her husband David have a joint savings account that earns 3.47% interest payable continuously and has a current balance of $58458. Each year, David wishes to withdraw $4000 payable continuously at a level rate. Stacey wishes to deposit $ X at the beginning of each year for 30 years so that the account will last for 30 years. What is the least $X that will work? Round your answer to the nearest cent. Answer in units of dollars. Your answer must be within ± 0.0%
- Sarah opens an investment account with an initial deposit of $1900. She then sets up monthly deposits of $80 to the account. If the account earns 2% interest compounded monthly, how much money will she have in the account in 5 years?Dean Gooch is planning for his retirement, so he is setting up a payout annuity with his bank. He wishes to receive a payout of $1,500 per month for twenty-five years. (a) How much money must he deposit if his money earns 7.3% interest compounded monthly? (Round your answer to the nearest cent.) (b) Find the total amount that Dean will receive from his payout annuity.Hank and Gretel want to put money in a savings account now so that they will have $2100 in 3 years. The savings bank pays 8% interest compounded quarterly. How much should Hank and Gretel invest? (Round your final answer to two decimal places.) $ 1.41324 x