5. You have just invested $3,000 into an account that will earn a 9% annual interest rate. You want to have exactly $8,000 in the account at the end of 5 years. The account allows you to make one deposit at the end of the 3rd year. In order to have exactly $8,000 at the end of year 5, how much must you deposit at the end of the 3rd year? a. $2,848.35 b. $2,613.17 c. $2,397.40 d. $3,384.13 e. None of the above answers is within $50 of the correct amount

5. You have just invested $3,000 into an account that will earn a 9% annual interest rate. You want to have exactly $8,000 in the account at the end of 5 years. The account allows you to make one deposit at the end of the 3rd year. In order to have exactly $8,000 at the end of year 5, how much must you deposit at the end of the 3rd year? a. $2,848.35 b. $2,613.17 c. $2,397.40 d. $3,384.13 e. None of the above answers is within $50 of the correct amount

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Kk.3. You just turned 20 years old and want to retire when you turn 65. You plan to put $4,900 every year into a ROTH IRA, a retirement account from which you can withdraw money after retirement without having to pay any taxes. You expect to earn a return of 7% on your investments every year. a. How much money can you expect to have at age 65 if you make your first annual deposit now and your last one on the day you turn 64? b. How much money can you expect to have at age 65 if you make your first deposit 10 years from now (at age 30) and your last one on the day you turn 64?
19, Suppose starting this year you decide to make deposits of $5,000 at the end of each year for the next five years in a bank account paying 10% interest. If you currently have $3,000 in the account how much will you have at the end of five years? 1. $25,255.05 2. $36,742.22 3. $35,357.03 4. $30,272.35 5. $28,500.60
5. a) Complete the following table for the first 4 periods of an annuity that pays 8.2% compounded monthly. You are making $250 payments at the end of each period. Your initial deposit is $3000. Period Interest earned Payment Ending Balance 3000.00 2 4 b) How much will be in your account at the end of the 4th period? c) How much did you contribute? d) How much interest was earned?
3. If you were to deposit $399.27 into an account today that pays 8% interest annually, with a payment of $100 at the end of each year, what would you be left with at the end of 5 years? in excel
how much should you deposit in a bank paying 2% compounded quarterly to accumulate an amount of 80,000 in 5 years and 9 months ?
3. Answer both A and B questions A. What are the differences between the simple interest and compound interest? (Elaborate, minimum of three sentences). B. An investor deposited OMR 9,000 into an account paying 8% annual interest compounded quarterly. (Use the compounded interest formula). Calculate the following. 1. How much money will be in the account after 5 years? 2. How much money will be in the account after 9 years? 3. How much money will be in the account after 3 years? Answer:
7) I need help with finance homework asap please! Assume that today you made an initial deposit in the amount of $16,000 into a savings account that pays 4.25% simple interest annually. Assuming no withdrawals or additional deposits, what will be the balance of this account in 10 years?
Suppose you borrowed $35,000 at a rate of 8.1% and must repay it in 4 equal installments at the end of each of the next 4 years. How large would your payments be? O a. $7,755.76 O'b. $11,585.00 O c. $11,948,43 O d. $9,797.19 O e. $10,590.76
You put $8000 into an account earning 3%. After 2 years, you make another deposit into the same account. Seven years later ( that is, 9 years after your original $8000 deposit), the account balance is $21000. What was the amount of the deposit at the end of year 2?
8) How much will I need to deposit into an account to have $6,500,000 in 10 years earning 5 % compounded annually? 9) Referring to Question 8, What would my total be earning 5% compounded monthly for 12 years after that (without any additional deposits)?
You plan to withdraw the amounts given below over the next five years from a savings account that earns 9% interest compounded annually, how much do you need to deposit now? End of Year 1 $0.00 Year 2 $24,000.00, Year 3 $14,000.00 Year 4 $26,000.00 Year 5 $42,000.00
4f

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