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A: PRESENT VALUE FORMULA: PRESENT WORTH=∑NFUTURE VALUE1+RN R=RATE OF INTEREST N=NUMBER OF YEARS
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A: SIMPLE INTEREST FORMULA: A=P×1+RT WHERE, P=principal A=amount R=rate T=time
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A: Note: As per our guidelines, we can only answer one question at once. Please post other questions in…
Q: An aunt gifts you with $12,000, but only after you invest it for one year. She gives you two…
A: INTEREST RATE 4.2% 7.1% PERIOD 12 12 PMT 0 1000 PRESENT VALUE $12,000 0
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A: Present value is the future value discounted using the interest rate and time period. Present value…
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A:
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A: Net worth of the company is the total assets of the company minus total liabilities of the company.…
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A: Present Value is the current value of the future sum of money at the specific rate of return.
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A: We use the formula:A=P(1+r/100)^nwhereA=future valueP=present valuer=rate of interestn=time period.
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A: Solution-Given thatDeposite on time of birth=$500Annual rate of return=4.8%Value of account…
Q: What is the present value of $200,000 to be received in 5 years if the rate of discount is 2.5%?
A: Hello. Since your question has multiple parts, we will solve the first question for you. If you want…
Q: Suppose you deposit $1098 into an account 5 years from today that earns 11%. It will be worth $1774…
A: Data given: PV= $ 1098 FV= $ 1774 r=11% n=?
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A: Information Provided: Present value = $2500 Future value = $4285 Term = 12 years
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Q: How long does it take Php100,000 to earn Php5,035 interest if money is worth 8% compounded…
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Q: . You invest some amount today for two years that pays 6% annually. The bank compounds annually. At…
A: Solution:- When some amount is invested somewhere, it earns interest on it. The amount invested…
Q: Consider the following cash flows. The interest rate is 8%. What is the total wealth after 2 years…
A: Present value of a future amount With interest rate or discount rate (r), period (n) and future…
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A: a) Calculation of the overall rate of return is calculated using the following formula: Compound…
Q: How much money should be deposited today if 9% compounding is paid semiannually and the goal is for…
A: Given: Interest rate (I)= 9% Years(n) = 8 Compounding periods(m) = 2 Future value (Pnm)= $100,000
Q: How much money would you have had to invest on 1/1/2010 in a savings account that yields 1% interest…
A: Time value of money concept says that if we invest a particular sum of money today, then in future…
Q: At 2% interest rate, how much should you invest today to be able to withdraw ₱ 1,250 annually for 5…
A: The worth of the money changes with time. This is the reason why the time value of money considers…
Q: How much money should be invested in an account that earns 7.5% interest, compounded quarterly, in…
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Q: If you deposit $5,000 in a bank account that pays 10% interest annually to buy a car after you…
A: The future value of cash flow is the future worth of a cash flow at a certain rate of interest and…
Q: Answer the following questions: 1) Consider the following cash flow: You will receive $500 at the…
A: Hello. Since your question has multiple parts, we will solve the first question for you. If you want…
Q: 2. If money is worth 8 2%, find the present value on p2,500 due in 2 years and 6 months?
A: Present Value refers to the value of cash flows today which is to be received at some future time…
Q: Suppose you inherited $200,000 and invested it at 6% per year. How much could you withdraw at the…
A: Withdrawal used to involve in the removing of the funds from the investment plans, savings plan,…
Q: Question 2: What must be the cash flow in year 4 if the net present.worth of the following cash flow…
A: Calcution of Cash flow of year 4 is as follows:
Q: n investment company pays 4% compounded semiannually. You want to have $11,000 in the future (A) How…
A: Present Value can be calculated using PV function in excel PV (rate, nper, pmt, [Fv], [type])…
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- How much money do you need to invest at( 23)/(4)% in order to have $12,000 after 7 years?What's the rate of return you would earn if you paid $3,480 for a perpetuity that pays $70 per year? a. 2.05% b. 4.02% c. 1.01% d. 4.11% e. 2.01%If you invest $15,000 today, how much will you have in (for further instructions on future value in Excel, see Appendix C): A. 20 years at 22% B. 12 years at 10% C. 5 years at 14% D. 2 years at 7%
- Please answer the two questions: 2. If you plan to receive $5353 after 5 years to invest at 6% interest, what would this be equivalent to today’s money? 3. If you plan to invest EOY 2 $4000, then what would this be equivalent to EOY 4 years? Assume i = 6%.5. You decide to invest $100 into a savings account with an interest rate of 2% annually in2015. The amount of money in your savings account in a given year can be modeled by the following function. P(t)=100(10)^.009 a. Evaluate P(0) and explain what it means in this context. b. Approximately how many years will it take for the amount of money in your bank account to reach $120? c. What year will you have $120 in your savings account?4. If you receive $116 each month for 28 years and the discount rate is 0.08, what is the present value? (show the process and can use financial calculator)
- 2. If money is worth 8 1%, find the present value on p2,500 due in 2 years and 6 months?Suppose you have $10,000 to invest for the next 30 years. You are given 3 choices on where to invest your money. Account #1 Account #2 Account #3 a. Calculate the APR (assume P-$100, -1 year) for each account. Round to 2 decimal places, in percent form. Account #1 15.21% compounded monthly 15.18% compounded daily 15.16% compounded continuously SHOW YOUR WORK BELOW.You plan to invest $5,000 into an account. If you would like to have $10,000 in 15 years, what rate of return must you earn? Question 5 options: 6.02% 5.24% 4.73% 7.55% 7.11%
- 2. If you receive $99 each quarter for 17 years and the discount rate is 0.05, what is the future value? (show the process and can use financial calculator)If I want to invest my money, how long (in years) will it take $6774 to earn $1205 interest (simple) at 7%? (Round off your final answer to 2 decimal places and do not put unit of measurement) Round your answer to 2 decimal places. Add your answerGiven problem: A person invested P11,186.3 when his son was 7 years old, P15,194.58 when he turned 8, and P18,314.22 for the next 5 years. If the interest rate is 0.161, how much will his son receive annually starting on his 26th birthday? >Answer in 4 decimal places. Use knowledge about annuities in solving. Thank you.