Erik invested $575 at the end of every month in an investment fund that was earning interest at a rate of 4.20% compounded monthly. He stopped making regular deposits at the end of 6 years when the interest rate changed to 6.69% compounded quarterly. However, he let the money grow in this investment fund for the next 4 years. a. Calculate the accumulated balance in his investment fund at the end of 6 years. b. Calculate the accumulated balance in his investment fund at the end of 10 years. c. Calculate the total interest earned over the 10-year period.

Q: Jessica made equal deposits at the beginning of every 3 months into an RRSP. At the end of 8 years,…

A: Using excel PMT function

Q: 4. Kelly deposited $10,500 into a fund at the beginning of every quarter for 13 years. He then…

A: Compound Interest is method of computing interest where compounding is done. Compounding refers to…

Q: Calculate the amount in the fund at the end of 3 years.

A: Time value of money means that the amount of money received in the present period will have more…

Q: What will be the interest rate per interest period if convert to compounding monthly?     1.9967%…

A: Effective annual rate (EAR) refers to the rate of interest which is an outcomes of compounding…

Q: Edward made equal deposits at the beginning of every 3 months into an RRSP. At the end of 6 years,…

A: Effective annual rate = (1 + Monthly interest rate)^12 - 1 = (1 + 3.75%/12)^12 - 1 =0.03815129256…

Q: Maria deposits $2,000 in a savings account that pays interest at an annual compound rate of 3%. Two…

A: The amount which is earned by depositor on the deposits is known as interest. This interest can be…

Q: el started to deposit P5,000 quarterly in a fund that pays 1% compounded quarterly. How much will be…

A: The money grow with time and depending on the interest rate and compounding the future value grow…

Q: Jacqueline invested $51,400 in a mutual fund at 3.2% compounded monthly. After two years the…

A: The future value of the annuity is the future worth of a cash flow series at a certain rate of…

Q: Raj deposits 25 into a fund at the end of each month for 2 years. The total amount of interest…

A: Solution- FV=PMT1+in-1iFV=2S1+i24-1i

Q: carlos Contributed equal deposit at the end of every month for four years into an investment fund he…

A: Monthly Compounding Interest Rate = 4.81%/12 per month Total Time Period = 7 years Time period of…

Q: Vincent invested his savings into a Registered Retirement Savings Plan (RRSP) at an interest rate of…

A: Interest Rate(Compounded semi-annually) 3.50% Future Value After 1 Year  $…

Q: For 22 years, Janet saved $250 at the beginning of every month in a fund that earned 4.25%…

A: The future value of the annuity due is the future worth of a cash flow series received or paid at…

Q: AC entered into an investment fund four years ago. The investment fund has an interest rate of 3%…

A: Interest rate is 3% compounded quaterly for first 4 years Interest rate for next 5 years us 4.5…

Q: For 18 years, Janet saved $250 at the beginning of every month in a fund that earned 3.5% compounded…

A: Monthly saving (S) = $250 Interest rate = 3.5% Monthly interest rate (r) = [1+0.035]1/12-1…

Q: Abigail invested $1,700 at the beginning of every 6 months in an RRSP for 11 years. For the first 7…

A:

Q: Sarah deposited $26,500 into a fund at the beginning of every quarter for 16 years. He then stopped…

A: Compound interest= p*(1+r%/n)^tn A.)  Around $358903 stacked up at the end of 16th year.

Q: Austin invested $22,500 in a mutual fund at 4.6% compounded annually. After 4 years, the interest…

A: The future value function or concept can be used to determine the future value of a present sum or…

Q: Leah invested $875 at the end of every month into an investment fund that was earning interest at…

A: Time value of money (TVM) refers to the concept which proves that the value of money today is higher…

Q: 2. At the end of each year, an investor deposits some money into a fund earning 7% interest. The…

A: When the certain amount of money is deposited at the regular interval over a period of time at a…

Q: Kayla contributed equal deposits at the end of every month for 4 years into an investment fund. She…

A: As per the given information: Interest rate - 3.92% compounded monthly Total time period - 8 years…

Q: Mr. Palting deposited P100,000 on a bank bearing an interest of 12% compounded quarterly. At the end…

A: given, pv =  P100,000  A=  P30,000 at end of 5 years for next 4 years R=12% M=4

Q: deem invested $800 in an account that pays 4.25% interest compounded annually. Assuming no deposits…

A: Future value of money includes the original deposit and compound interest on the money.

Q: January 2001, Bianca invested $5,000 for three years at 4.20%; in January 2010, she invested $5,000…

A: This question is related to investing. The investor invests money in many investments. These types…

Q: Caleb invested $12,500 in a fund earning 7% compounded quarterly. She withdraws $650 from the fund…

A: Annuity refers to series of annual payment which is paid or received at start or ending of specific…

Q: 1. Amy made semiannual deposits of $3,100 at the beginning of every every six months into a fund…

A: Semi Annual Deposit = 3100 Beginning of period deposits Interest Rate = 6.8%/2 = 3.4% per semi…

Q: Holly invested $11,000 in a fund earning 6% compounded quarterly. She withdraws $900 from the fund…

A: Annuity means finite no. of payments which are same in size and deposited or withdrawn in equal…

Q: Stephanie invested $500 at the end of every month in an investment fund that was earning interest at…

A: The accumulated value of any fund is equal to the sum of future value of all the deposits made…

Q: Jacqueline invested the profit of her business in an investment fund that was earning 2.50%…

A: Let the amount invested in the fund be $ X. Interest rate = 2.50 % compounded monthly The money is…

Q: Lamar has received $2,000 each year for college from his grandmother for the four years that he was…

A: Annual Deposit = 2000 Interest rate(r) = 8% Years(n) = 4

Q: While Jack only pays the interest of the 20,000 TL debt he has taken to repay in 15 years, he also…

A: Given information: Debt : 20,000 TL Time to repay : 15 years Interest rate for first 6 years : 9%…

Q: For 13 years, Janet saved $250 at the beginning of every month in a fund that earned 4.5% compounded…

A: Compounding is a method of charging interest in which Interest is charged on the amount including…

Q: Lucas made a single deposit into a savings account. At the end of saving for 18 years, Lucas has…

A: We need to use continuous compounding formula to solve this problem   A=P(e)rn   where   A=future…

Q: On Juan’s 26th birthday, he invested $7,500 in a retirement account. Each year thereafter he…

A: Rate of interest=5%,0.05               Time=35 Number of years=10Amount=Principal1+rateyears…

Q: Diego made end of quarter deposits of $1,650 into a retirement fund at 6.50% compounded monthly for…

A: Annuity means a series of finite number of payments which are the same in size and made in equal…

Q: Meagan invests $1,200 each year in an IRA for 12 years in an account that earned 5% compounded…

A: The amount deposited each year = $1200 Interest Rate = 5% Compounded annually Years = 12 1st We need…

Q: Phoebe saved a total of $2 550 000 for her retirement. She invested the money in a mutual fund that…

A: A study that proves that the 1value of money today is higher than the future value of money is term…

Q: Matthew invested the profit of his business in an investment fund that was earning 3.75% compounded…

A: Data given: APR( monthly) = 3.75% Semi-annual withdrawal = $ 2500 No.of years to first withdrawal =…

Q: Bruno deposited $7,500 into an investment account and seven years later, the balance in the account…

A: The rate of return earned on the account can be computed by using the concept of time value of money

Q: Jack made monthly contributions of $200 to his son's RESP for a total of 12 years. The contributions…

A: Future Value: Using an expected rate of growth, future value (FV) is defined as the worth of a…

Q: Stacey deposits $ 4500 at the end of each year for 30 years into an investment fund which pays out…

A: Reinvestment is the practice of using dividends, interest, or any other form of the income…

Q: Samantha invested $575 at the end of every month in an investment fund that was earning interest at…

A: Given data; payment amount = $575 rate of interest for 9 years = 4.2% compounding frequency =…

Q: Courtney invested the profit of his business in an investment fund tha was earning 2.25% compounded…

A: Present value refers to the current valuation for a future sum. Investors determine the present…

Q: Vanessa deposited $16,000 into a fund at the beginning of every quarter for 11 yea She then stopped…

A: Future value of annuity include the amount being deposited and amount of compounding interest being…

Q: is deposited each year into a bank account that pays 8% interest compounded quarterly how much would…

A: The future value of annuity includes the amount being deposited each year and the amount of interest…

Q: James invested the profit of his business in an investment fund that was earning 2.25% compounded…

A: The return of 2.25% generated from investment fund is compounding whereas withdrawals are made after…

Q: Biff deposited $9,000 in a bank account, and 10 years later he closed out the account, which is…

A: In this question we require to calculate the annual interest rate on deposit by the bank. Deposit…

Q: Jacob invested the profit of his business in an investment fund that was earning 3.75% compounded…

A: Using excel PV function

Q: Diana invested $1,025 at the end of every month into an investment fund that was earning interest at…

A: Future value of ordinary annuity computes the total amount of periodic payments at a certain time…