A woman is considering giving an endowment to a university in order to provide payments of P5000 and decreasingly by 4% at the end of each quarter during a year. If interest rate is 10% compounded monthly, what is the capitalized equivalent that must be deposited now so that the bi-monthly payment can be repeated forever?
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Direction: Solve manually, use 5 decimal in interest rate, and draw the cash flow diagram.
A woman is considering giving an endowment to a university in order to provide payments of P5000 and decreasingly by 4% at the end of each quarter during a year. If interest rate is 10% compounded monthly, what is the capitalized equivalent that must be deposited now so that the bi-monthly payment can be repeated forever?
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- A woman is considering giving an endowment to a university in order to provide payments of P55,000, P85,000, respectively, at the end of the first, and second semiannual during a year. If the interest rate is 12% compounded quarterly, what is the capitalized equivalent that must be deposited now so that the semiannual payments can be repeated forever? Draw the cash flow diagram and use interest rate with five decimal places.Solve the following problems. You must show all your solutions -Draw the cash flow diagram for each problem -use interest rate with five decimal places. -Box your final answer and upload the picture of your complete solution. 1. A woman is considering giving a quarterly endowment to a university in order to provide payments of P5,000 and decreasing by 4% at the end of each quarter during a year. If the interest rate is 10% compounded monthly, what is the capitalized equivalent that must be deposited now so that the bimonthly payment can be repeated forever?Draw the cash flow diagram for each problem and use interest rate with five decimal places. A person needs $20,000 immediately as a down payment on a new home. Suppose that she can borrow this money from her company credit union. She will be required to repay the loan in equal payments made every six months over the next 10 years. The annual interest rate being charged is 10% compounded bimonthly. What is the amount of each payment?
- You want to be able to withdraw $4000 from an account at the end of each year for the next 19 years. How much money should you invest now into an account earning 6.6% interest per year, compounded annually, in order to fund the desired withdrawals? Assume the account is empty after the last withdrawal is made. Give the answer to 2 decimal places, and do not use the $ sign in the answer box. The amount to invest now is Blank 1. Calculate the answer by read surrounding text. dollars.Direction : Read , analyze , and solve the following worded problem involving annuities . Show your complete solutions. I already provided the answer I just need the SOLUTION. Your mother's savings may allow you to withdraw 50 000, 00 Php semi - annually for 5 years starting at the end of 5 years. How much is your mother's savings if the interest rate 8% converted semi annually ? Answer: Your mother's savings is amounting to 284 930.09 PhpSuppose you have estimated that you will need $2,500 per month in your retirement to meet your expenses and live comfortably, and that you have found or chosen a fund (account) which pays monthly interest 4% APR . What principal, or balance, will your account need to maintain in order to be able to pay you this amount each month? Round/take your answer to the nearest cent.
- Laura wants to accumulate $150,000 in her bank account by depositing $1000 at the beginning of each month. If interest on the account is 5% compounded quarterly, for how long does Laura have to deposit the money? Please include the cashflow diagram and what kind of annuity formula can we use on this question aside from the excel format?A father wants to set up a bank account that will pay his daughter $12,000 at the end-of-quarter (EOQ) 4 and $24,000 at EOQ 8. He will fund this account by making quarterly payments of $A from the present (time zero) through EOQ 7. If the quarterly percentage rate is 2%, what is the value $A that must be deposited into the account? Please include equations used and cashflow diagramA person wishes to accumulate P2,500 over a period of 15 yrs so that a cash payment can be made for a new roof on a summer cottage. To have this amount when it is needed, annual payments will be made into a savings account that earns 8% interest per year. How much must each annual payment be? Draw a cash flow diagram.
- Solve the following problems. You must show all your solutions -Draw the cash flow diagram for each problem -use interest rate with five decimal places. -Box your final answer and upload the picture of your complete solution. 1. A woman deposits an annual bonus into a savings account that pays 6% interest compounded monthly. The size of the bonus increases by 10.5% each year, and the initial bonus amount was $3,000. Seven deposits were made. Determine how much will be the amount 10 years after her last deposit.Sean needs $18,000 immediately as a down payment on a new home. He can borrow this money from his company credit union. He will be required to repay the loan in equal payments made every six months, starting two years from now, over the next 5 years. The annual interest rate is 10%. Draw a cash flow diagram in the point of view of Sean. How many equal payments should be made? USING MANUAL COMPUTATION NO EXCELCarol wants to invest money in an investment account paying 10% interest compounding semi-annually. Carol would like the account to have a balance of $53,000 three years from now. How much must Carol deposit to accomplish her goal? Note: Use tables, Excel, or a financial calculator. Round your final answer to the nearest whole dollar. (FV of $1, PV of $1, FVA of $1, and PVA of $1).