6. To support his handicapped niece, Tony made payments of $1800 into a fund at the beginning of every 3 months. If the fund earns interest at 5.24% compounded quarterly, how much will the balance in the fund be after 18 years?
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6. To support his handicapped niece, Tony made payments of $1800 into a fund at the
beginning of every 3 months. If the fund earns interest at 5.24% compounded
quarterly, how much will the balance in the fund be after 18 years?
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Solved in 4 steps
- New parents wish to save for thier newborn's education and wish to have $36,000 at the end of 18 years. How much should the parents place at the end of each year into a savings account that earns an annual rate of 5.6% compounded annually? (round your answer to two decimal places). How much interst would they earn over the life of the account? Determine the value of the fund after 12 years.New parents wish to save for their newborn's education and wish to have $46,000 at the end of 17 years. How much should the parents place at the end of each year into a savings account that earns an annual rate of 5.6% compounded annually? (Round your answers to two decimal places.)$ How much interest would they earn over the life of the account?$ Determine the value of the fund after 10 years.$ How much interest was earned during the 10th year?$1. Lovely Mae’s deposit of 100,000 is placed into a college fund at the beginning of every month for 10 years. The fund earns 9% annual interest, compounded monthly, and paid at the end of the month. How much is in her account right after the last deposit? Show solution.
- Zachary wants to set up a fund for her son's education such that she could withdraw $1,764.00 at the beginning of every 3 months for the next 3 years. If the fund can earn 4.60% compounded semi-annually, what amount could she deposit today to provide the payment?Kelsey wants to set up a fund for his son's education such that he could withdraw $1,232.00 at the beginning of every 3 months for the next 4 years. If the fund can earn 4.10% compounded semi-annually, what amount could he deposit today to provide the payment?New parents wish to save for their newborn's education and wish to have $30,000 at the end of 19 years. How much should the parents place at the end of each year into a savings account that earns an annual rate of 4.6% compounded annually? (Round your answers to two decimal places.)How much interest would they earn over the life of the account?Determine the value of the fund after 8 years.How much interest was earned during the 8th year? Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
- (d) Gabrielle needs $200,000 in eight years. She has set up a sinking fund that earns 5% compounded monthly in order to have the amount in eight years? (1) How much should she deposit each month? (ii) How much interest is earned over the period?New parents wish to save for their newborn's education and wish to have $35,000 at the end of 16 years. How much should the parents place at the end of each year into a savings account that eans an annual rate of 6% compounded annually? (Round your answers to two decimal places.) $ How much interest would they earn over the life of the account? $ Determine the value of the fund after 12 years. %24Ginger Rogers deposits $3,000 a year into her retirement account. If these funds have an average earning of 8 percent over the 40 years until her retirement, what will be the value of her retirement account?
- Since the birth of his daughter, 15 years ago, Natalie has deposited $180.00 at the beginning of every month into an RESP. The interest rate on the plan was 3.90% compounded monthly for the first 10 years and 5.00% compounded monthly for the next 5 years. a. Calculate the value of the fund today (the end of a 15-year term). b. How much of this is interest? Leah deposited $15,000 into a fund at the beginning of every quarter for 10 years. He then stopped making deposits into the fund and allowed the investment to grow for 3 more years. The fund was growing at 5.72% compounded monthly. a. What was the accumulated value of the fund at the end of year 10? b. What was the accumulated value of the fund at the end of year 13? c. What is the total amount of interest earned over the 13-year period?Abigail wishes to establish a trust fund from which her daughter can withdraw $6,000 every six months for 15 years, when she reaches 16 years old. At the end of which time, she will receive the remaining money in the trust, which she would like to be $25,000. The trust will be invested at 6% per annum compounded semi-annually. How large should the trust be?2. Trixy needs to accumulate 780,000.00 for her insurance investment for 5 years. She set up a sinking fund for the said amount that earns 7.5 % interest compounded semi-annually. Construct a sinking fund schedule for her investment.
