A retirement account has an effective interest rate is 1% per month. If they want to have $800,000 in her retirement account at the end of 24 years, how much do they need to contribute to their account each paycheck.

Q: Find the nominal interest compounded quarterly equivalent to 12.00% effective interest?

A: Effective annual interest rate is rate that is regarded as the real return on a loan or savings for…

Q: An investment company is going to place $300,000 into an annuity. Then, it is going to add $25,000 a…

A: An investment is the responsibility of money or capital to something with the expectation of profit…

Q: How long will it take money to double itself if invested at 10% compounded annually?

A: Compound interest formula: F = P (1 + r)n Where F is the future value P is principal value r is…

Q: homeowner planning a kitchen remodeling can afford a $700 monthly payment. How much can the…

A: Given,   R = $700  Time = 5 years  Rate (r) = 9%

Q: How many years will it take for an investment to be twice its value if it earns 8% compounded…

A: We use the rule of 72 here. No. of years needed to double any investment = 72/ interest rate

Q: You are saving for the down payment on a house, so you put $1,000 in an account every 6 months. If…

A: An interest rate is charged on the borrowing money of consumers. It is charged by the lender of the…

Q: You deposit $5000 each year into an account earning 8% interest compounded annually. How much will…

A: Uniform annual deposit (A) = $5000The interest rate on the deposits is 8% compounded annually. So i=…

Q: ou borrow $5,000.00 and repay it back in monthly payments of $200.00 for three years. What is the…

A: Borrowed Amount = 5000 Monthly Payment = 200 n = 3 years

Q: How long will it take money to quadruple itself if invested at 13% compounded annually?

A: Money quadruples meaning current value becomes four time in n years.

Q: How many years will it take an investment to triple if the interest rate is 8%compounded?

A: The rule of 115 can be used to calculate the number of years that take an investment to triple.

Q: How long (in years) will it take to quadruple a money if it earns 2% compounded semiannually?

A: Compounding refers to a process in which the interest is accumulated on the principal amount as well…

Q: How long will it take for a money to quadruple itself if invested at 12% simple interest rate.

A: Future value is calculated by the following formula when there is a simple interest rate. FV = P(1 +…

Q: Miho invested $5000 in a bank that pays an annual interest rate of 9% compounded continuously. What…

A: Invested amount = $5000 Annual interest rate = 9% Total time period = 15 years

Q: How long in years will it take money to quadruple if it earns 7.5% compounded semi-annually?

A: Present Value (PV) = P  Future Value (FV) = 4 times PV (quadruple) = 4P Interest rate compounded…

Q: Picabo borrows $1000. To repay the amount, she makes 12 equal monthly payments of $93.12. Determine…

A: The annual percentage rate (APR) is a direct measure that includes nominal interest rates and fees…

Q: At 8% annual interest compounded monthly, how long will it take to become a millionaire if you…

A: The annual interest rate is 8%, compounded monthly The amount invested is $150,000 We have to find…

Q: Ms. Roberts decided to invest some money in an insurance company with an interest rate of 9%…

A: We use the rule of 72 here. Rule of 72: Years to double the principal = 72/Interest Rate

Q: You want to borrow $41,611. You must repay the loan in 13 years in equal monthly payments and a…

A: Loan amount (PV) = $41,611 Term of loan = 13 years Interest rate = 15% nominal per year

Q: You deposit $200 each month into an account earning 5% interest compounded monthly. a) How much will…

A: The future value of a deposit refers to how much the deposited money will grow over time,…

Q: Suppose that $100 is invested for five years at an interest rate of 8% per year, compounded…

A: Given: Amount=$100 Interest rate=8% Number of years=5 To find: Amount at end of 5 years

Q: Calculate the total interest earned, if you save $68 each month, Starting today, for 11 more…

A: Here's how to calculate the total interest earned on your savings:1. Define variables:Monthly…

Q: Determining the Present Value for a Decreasing Annuity How much money must you deposit now at 6%…

A: Given the annuity amount = $3000 Interest rate = 6% Quarterly interest rate = 6% / 4 = 1.5%…

Q: You have $25,000 in an account that pays 6% interest compounded annually. You want to make equal…

A: Deposit in Year 1 = $25000Annually compounded interest rate = 6%Duration = 8 years

Q: Find the periodic payments PMT necessary to accumulate the given amount in an annuity account.…

A: We are required to accumulate an amount of $80,000, therefore, this amount is the future value. FV =…

Q: Jane deposits $5,000 in a bank account that earns 6% interest compounded semi-annually. How much…

A: The principal amount can be described as the base amount of money that is invested or deposited into…

Q: You borrow $6,000 for 90 days at 6.5% interest. The lender uses a 365-day year. You make a payment…

A: Simple interest refers to the borrowing cost of money without consideration for the effects of…

Q: You buy a car for $27000. You get a loan at 7% interest compounded yearly. You will have 60 equal…

A: total interest refers as the total simple interest on a principal amount at a particular rate of…

Q: In how many years will money triple its amount if invested at 8 % compounded semi – annually?

A: Interest is the amount paid for using an amount of money.

Q: Chris makes a deposit of $500 into his savings account at the beginning of each year for the next 20…

A: The future value refers to the value of an investment or cash flow at a specific point in the…

Q: Compound interest is a very powerful way to save for your retirement. Saving a little and giving it…

A: The accumulation value of an annuity is the aggregate value of the annuity. But, the cash surrender…

Q: How quickly will 500$ will grow to 2000$ pesos if interest is 5% compounded quarterly?

A: Given:Amount=A=$2000Principal=$500Rate of interest=r=5%Number of times compounded in a year…

Q: Rashed wants to make his investment triple its value at the end of twelve (12) years’ time. What…

A: We need to assume some terms such as interest rate , principle amount and then nee dto calculate the…

Q: Suppose you borrow $5,000 at 7.25% interest for 14 months.  What is the maturity value?

A: Simple interest is one of the easiest method to compute the amount to be received at the end of…

Q: How long will it take GH¢2,000 to accumulate GH¢800 interest at 10% compounded quarterly?

A: Amount = Principle*(1+4*r100)4*n

Q: ou want $12,000 in your IRA in 6 years. Assuming you get 8% compounded quarterly, how much will you…

A: The future value in the individual retirement account should be $12000 Interest rate =8% compounded…

Q: John has started a new job and wants to open a retirement account. He is now 26 years old and plans…

A: A cash flow is a monetary device used to address the sources of income related with a security,…