interest dues on it. Three years from this withdrawal you start taking Php 20,000 per year out of the fund. After five withdrawals, you withdraw the balance in the fund. How much was each withdrawals?
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Today, you invested Php 100,000 into a fund that pays 25% compounded annually. Three years later, you borrow Php 50,000 from a bank at 20% annual interest and invested it in the fund. two years later, you withdraw enough money from the fund to repay the bank loan and all interest dues on it. Three years from this withdrawal you start taking Php 20,000 per year out of the fund. After five withdrawals, you withdraw the balance in the fund. How much was each withdrawals?
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- Today, you invest P 100,000 into a fund that pays 25% interest compounded annually. Three years later you borrow P 50,000 from a bank at 20% annual compounded interest and invest in the fund. Two years later you withdraw enough money from the fund to repay the bank loan and all interest due on it. Three years from this withdrawal, you are going to take P 20,000 per year out of the fund. After five withdrawals, you withdrawn the balance in the fund. How much was withdrawn? P 1,520,257 P 1,320,257 P 1,220,257 P 1,420,257If ₱17,000 is deposited at the end of each year for 16 years in a bank that give 7% interest per year, how much can a person withdraw annually from the fund for 8 years starting 1 year afther the least deposit is made?Suppose that you have an opportunity to invest in a fund that pays 12% interest compoundedannually. Today, you invest P10,000 into this fund. Three years later, you borrow P5,000 from alocal bank at 10% effective annual interest and invest it in the fund. Two years later, you withdrawenough money from the fund to repay the bank loan and all interest due on it. Three years laterfrom this withdrawal you start taking P2,000 per year for 5 years out of the fund. After 5 years, youhave withdrawn your original P10,000. The amount remaining in the fund is earned interest. Howmuch remains?
- Today, you invest P100,000 into a fund that pays 25% interest compounded annually. Three years later, you borrow P50,000 from a bank at 20% annual interest and invest in the fund. Two years later, you withdraw enough money from the fund to repay the bank loan and all interest due on it. Three years from this withdrawal you start taking P20,000 per year out of the fund. How much was withdrawn?Fifteen years ago deposited 12500 in to an investment fund.five years ago you added an additional $20000 to that account.you earn 8% compound semi annually for the first ten years,and 6.5% compound annually for the last five years. a)what is the effective interest rate(EAR) you would get for your investment in the first 10yeras? b)how much money do you have in your account today? c)if you wish to have $8500now,how much should you have invested 15uears a go?Fifteen years ago deposited 12500 in to an investment fund.five years ago you added an additional $20000 to that account.you earn 8% compound semi annually for the first ten years,and 6.5% compound annually for the last five years. a)what is the effective interest rate(EAR) you would get for your investment in the first 10yeras? b)how much money do you have in your account today? c)if you wish to have $85000 now,how much should you have invested 15uears a go?
- You are making $5,000 monthly deposits into a fund that pays interest at rate of 6% compounded monthly. What would be the balance at the end of the 15 years? please calculate the question using excel.A group of employees decided to invest a portion of their 13th-month pay. After 3 months from today, they want to withdraw from this fund ₱5,000.00 monthly for 12 months to fund their travel tour that they decide to do every month. How much is the total deposit now if the interest rate is 5% converted monthly?Twelve years ago, you deposited $25,500 into an investment fund.Five years ago, you added an additional $15,000 to that account. You earned 9%,compounded semi-annually, for the first 12 years, and 7.5%, compoundedannually, for the last five years. Required:a. What is the effective annual interest rate (EAR) you would get for yourinvestment in the first 12 years?b. How much money do you have in your account today?c. If you wish to have $75 000 now, how much should you have invested 17 yearsago?
- Solve manually using formulas. An investor makes a single deposit of 10,000 into fund A for 10 years which earns a 6%effective rate of interest payable directly to the investor each year. During the first 5years, the interest payments can only be reinvested into Fund B which earns 4% effectiveover the entire 10-year period. During the second 5 years, the interest payments canonly be reinvested into Fund C which earns 5% effective.Find the total accumulated value in Funds A, B and C combined at the end of 10years and the overall yield rate achieved by the investor.You have just opened a savings account which pays monthly interest at a rate of j12 = 5.5% p.a. You wish to accumulate $20,000 by depositing the same amount into the account at the end of each month, for 2 years, starting in a month's time. a) Determine the required size for the monthly deposit, R. Apply a sanity check. b) Construct a sinking fund table showing 24 deposits with a fixed interest rate of 5.5%. Describe and apply a sanity check to your table. c) Suppose that the interest rate is renewed every three months (quarterly) over the course of the two years as follows: Year 1 Q1 5.5% 02 Q3 2.8% 4.5% 04 01 4.0% 4.2% Year 2 Q2 04 03 3.8% 2.5% 7.5% If you maintain the same monthly deposit of R determined in part a), find the size of your sinking balance after two years. Will you meet your target of $20,000? Describe and apply a sanity check for your answer. d) Construct a sinking fund table showing 24 deposits with the variable interest rate. Describe and apply a sanity check to…Suppose you receive $190 at the end of each year for the next three years. a. If the interest rate is 7%, what is the present value of these cash flows? b. What is the future value in three years of the present value you computed in (a)? c. Suppose you deposit the cash flows in a bank account that pays 7% interest per year. What is the balance in the account at the end of each of the next three years (after your deposit is made)? How does the final bank balance compare with your answer in (b)?