a. At an effective rate of interest of 8% per annum, the present value of P 100,000 due in x is P65,322. Determine x. b. What deposit made today will provide for a payment of P 1,000 in 1 year and P 2,000 in 3 y if the effective rate of interest is 7.5%? Total PV-PV of 1,000 at time 1+PV of 2,000 at tim c. Ian will receive P 50,000 at the end of each year for the next 4 years. Using an effective am

Q: c) A person invests ugx.200,000 at an interest rate of 10% compounding annually. He receives ugx…

A: Present value shows the amount that is presently worth. It is calculated by using number of periods,…

Q: a. If starting at t≥ 1, increasing t by one year multiplies the present value by b. Set the initial…

A: The current worth is the worth of the amount that is expected by an investor from its future cash…

Q: am. 136.

A: Let's solve each part of the problem:1. **Present Value of the Annuity:**  We can use the present…

Q: q5. An investment product will provide a cash flow of $613 at the end of each year for the following…

A: Q7) Effective Annual Rate = (1+APR/No. of periods)^No. of periods-1Effective Annual Rate =…

Q: Find the present value of an annuity due of 600 per annum payable semiannually for 5 years (i.e. 300…

A: Present value of annuity due can be calculated as: = Annuity payment * (1+PVAF (i%, n-1 periods))

Q: If you place $25,500 into an 80-day short-term GIC at TD Canada Trust earning 0.55% simple interest,…

A: Maturity value = Amount invested + Interest earned

Q: What is the future value annuity due of RM32,000 for the next 10 years with a discount rate of 8%?…

A: Amount of Annuity = RM 32,000 Years(n) = 10 Interest Rate(r) = 8% Future Value of Annuity = RM…

Q: What is the future value annuity due of RM34,560 for the next 10 years with a discount rate of 12%?…

A: Using the FV function in excel

Q: The buyer of a lot paid P110,000 down payment and agreed to pay P35 000 at the end of each six…

A: The cash price can be found by adding up the downpayment and present value of the annuity. The…

Q: dinary annuity that pays $1,000 at the end of each of the next 5 years if the interest rate is 15%.

A: Given information :

Q: 4. Consider that you are depositing 1000 Riyals, annually, from year 2021 to year 2023 (as shown in…

A: Annual Deposit = 1000 Time period of deposits = 3 years Interest Rate = 10%

Q: Consider a five-year fixed - payment security that has a present value of $1,500. If the annual rate…

A: Present value of annuity payment = wherePresent value = $1500 (given)A = Periodic payment = payment…

Q: An investor buys a building for $500,000 cash and leases it for payments of: $85,000 $85,000 $90,000…

A: The NPV is the present value of the benefits less the initial costs. The IRR is that discount rate…

Q: Given an interest rate of 9 percent per year, what is the value at date t-6 of a perpetual stream of…

A: Interest rate (i) = 0.09 Annual payment (C) = $1200 Period from year 6 to 14 (n) = 8 Value at t6 = ?…

Q: Find the present value PV of the annuity account necessary to fund the withdrawal given. (Assume…

A: Given: Payment = $1,400 Years = 20 Interest rate = 4%

Q: For the follwing case, determine the  number of years it wll take for the intitial deposit to grow…

A: The number of years it will take to reach the target can be computed with the help of log function.

Q: If you deposit OMR 19500 in your account in a bank; suppose the bank pays 16.25% compound interest…

A: Future value is calculated by compounding the present value at a given compounding rate.

Q: Find the value of the ordinary annuity at the end of the indicated time period. The payment R,…

A: The quarterly payment is $750. The annual rate of return is 5.1%. The maturity is five years.…

Q: 8. Using an annual interest rate of 9%, how long will it take a deposit of $1,500 to grow to $3,000,…

A: Deposit amount (PV) = $1500 Future value (FV) = $3000 Interest rate (r) = 9%

Q: 4. Consider that you are depositing 1000 Riyals, annually, from year 2021 to year 2023 (as shown in…

A: First we need to find the future value of 1000 riyals deposits in year 2023. Then we need to find…

Q: 16. What monthly payments are required to acquire $50,000.00 in five years if the interest is…

A: Using PMT function in excel

Q: Find the present value PV of the annuity account necessary to fund the withdrawal given. (Assume…

A: given, A= $200 R=2% N = 20

Q: 2) Fund X earns i(12) = 6% interest, while Fund Y earns i(12) = 3% interest (and both start off with…

A: in this problem you have to calculate monthly interest and calculate future value of that.

Q: D) At a certain Interest rate the present value of the following two payment patterns are equal. (i)…

A: Interest rate is the rate earned on any investment. It is also referred to as Annual Percentage rate…

Q: The price of T.V set is worth 20,000.00 that needs to be paid in 20 installment of 1000.00 each. If…

A: The installments method will require to borrower to pay the amount borrowed over the period of time.…

Q: Qnl. A series of payments of 700 Riyals is made at the end of each quarter in an account for 5…

A: When an individual or company is making series of payments for the particular period of time then,…

Q: Suppose that you will receive annual payments of $15,000 for a period of 15 years. The first payment…

A: First, understand the present value of an ordinary annuity:The PV of an ordinary annuity is the…

Q: #2 - You expect to receive a payment of $1 million in a year. That annual interest rate is 5%. What…

A: “Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first…

Q: ou decide to invest $10.5k today into a security that will make fixed annual payments to you of…

A: Today's investment amount = $10,500Interest rate = 7.5%Annual payment = $2,152

Q: Jones expects an immediate investment of $49,156.80 to return $8,000 annually for ten years, with…

A: Variables in the question:Present value of investment=$49156.80Annuity payment=$8000N=10 years

Q: What will a deposit of $2500 at 7.8% compounded semiannually be worth if left in the bank for six…

A: Formula for Future Value FV=PVx(1+r/2)nxt Where, FV = Future Value PV = Present Value r = rate of…

Q: und X earns i(12) = 6% interest, while Fund Y earns i(12) = 3% interest (and both start off with no…

A: The future value is the future worth of the amount that will be paid or received at future.

Q: The price of T.V set is worth 20,000.00 that needs to be paid in 20 installments of 1000.00 each. If…

A: Following is the answer to the question

Q: 15. Helen Barns wishes to purchase a new home and borrows $389,000 with a repayment plan of 25…

A: Step 1: The calculation of the annual payment  AB1Borrowings (PV) $3,89,000.00 2Years (N)253Interest…

Q: Q.No.3: Assume interest rate of 15.5%. Project A: Costs Rs.1150 immediately and generates Rs.630 for…

A: DISCOUNTING FACTOR= 1/(1+r)^n WHERE n = 1,2,3,4,5 r=15.5%

Q: You are planning to make monthly deposits of £400 into a retirement account that pays 7 per cent…

A: Solution:-When an equal amount is deposited each period at end of period, it is called ordinary…

Q: ou are required to two choose from two actions: A1: deposit K1 000 000 in the bank for 1 year at 7 %…

A: Future value of present amount With present value (PV), interest rate (r) and period (n), future…

Q: Gary King will deposit $27500 into an account today that earns 13% per year compounded annually.…

A: Given information: Principle amount = $27,500 Rate of interest = 13% Period = 5 years

Q: Find the amount of an ordinary annuity of 20 semi-annual payments of P1, 000 if interest rate is 12%…

A: Total Semi annual payments is 20 Interest rate is 12% compounded semi annually Amount of annunity is…

Q: Find the present value PV of the annuity account necessary to fund the withdrawal given. $2,300 per…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: What is the present value annuity due of RM4,500 with a 6 percent discount rate for 5 years? Select…

A: Annuity means finite no. of payments which are same in size and made in equal intervals. Person gets…

Q: Loan payments of $1,100 due 100 days ago and $1,950 due 82 days ago are to be replaced by a payment…

A: Value of money changes with time and this change depends on the interest rate and time of the loan…