a. Use the appropriate formula to determine the periodic deposit. b. How much of the financial goal comes from deposits and how much comes from interest? Periodic Deposit Rate $? at the end of each month 3.5% compounded monthly Click the icon to view some finance formulas. a. The periodic deposit is $ (Do not round until the final answer. Then round up to the nearest dollar as needed.) Formulas b. $ of the $220,000 comes from deposits and $ comes from interest. (Use the answer from part (a) to find these answers. Round to the nearest dollar as needed.) Time 10 years A= In the provided formulas, P is the deposit made at the end of each compounding period, r is the annual interest rate of the annuity in decimal form, n is the number of compounding periods per year, and A is the value of the annuity after t years. P[(1+r)²-1] r Financial Goal $220,000 A= nt 4* P[(1+3) P= nt - X
a. Use the appropriate formula to determine the periodic deposit. b. How much of the financial goal comes from deposits and how much comes from interest? Periodic Deposit Rate $? at the end of each month 3.5% compounded monthly Click the icon to view some finance formulas. a. The periodic deposit is $ (Do not round until the final answer. Then round up to the nearest dollar as needed.) Formulas b. $ of the $220,000 comes from deposits and $ comes from interest. (Use the answer from part (a) to find these answers. Round to the nearest dollar as needed.) Time 10 years A= In the provided formulas, P is the deposit made at the end of each compounding period, r is the annual interest rate of the annuity in decimal form, n is the number of compounding periods per year, and A is the value of the annuity after t years. P[(1+r)²-1] r Financial Goal $220,000 A= nt 4* P[(1+3) P= nt - X
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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Question
![a. Use the appropriate formula to determine the periodic deposit.
b. How much of the financial goal comes from deposits and how much comes from interest?
Periodic Deposit
Rate
$? at the end of each month 3.5% compounded monthly
Click the icon to view some finance formulas.
a. The periodic deposit is $.
(Do not round until the final answer. Then round up to the nearest dollar as needed.)
Formulas
b. S of the $220,000 comes from deposits and S
comes from interest.
(Use the answer from part (a) to find these answers. Round to the nearest dollar as needed.)
A=
In the provided formulas, P is the deposit made at the end of each
compounding period, r is the annual interest rate of the annuity in decimal form, n
is the number of compounding periods per year, and A is the value of the annuity
after t years.
P[(1+r)²-1]
T
Time
10 years
A=
nt
P=
Financial Goal
$220,000
响
nt
[(¹-3)
-
X
SEX](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fa935b5b3-550a-4564-9870-ed0c06de3fa7%2Feeb8009d-f69d-4e65-a48a-edca83a715c8%2Fn480o6s_processed.jpeg&w=3840&q=75)
Transcribed Image Text:a. Use the appropriate formula to determine the periodic deposit.
b. How much of the financial goal comes from deposits and how much comes from interest?
Periodic Deposit
Rate
$? at the end of each month 3.5% compounded monthly
Click the icon to view some finance formulas.
a. The periodic deposit is $.
(Do not round until the final answer. Then round up to the nearest dollar as needed.)
Formulas
b. S of the $220,000 comes from deposits and S
comes from interest.
(Use the answer from part (a) to find these answers. Round to the nearest dollar as needed.)
A=
In the provided formulas, P is the deposit made at the end of each
compounding period, r is the annual interest rate of the annuity in decimal form, n
is the number of compounding periods per year, and A is the value of the annuity
after t years.
P[(1+r)²-1]
T
Time
10 years
A=
nt
P=
Financial Goal
$220,000
响
nt
[(¹-3)
-
X
SEX
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