Find the lump sum deposted today that will yeld the same total amount as payments of $13.000 at the end of each year for 12 years, at an interest rate of 7% compounded annually The lunp sum is Round to the rearest cent)

Q: Compute the amount of money to be set aside today

A: Present value means the value of  future money . Future cashflow are discounted at a discounted…

Q: Find the amount of each payment to be made into a sinking fund which earns 7% compounded quarterly…

A: Answer Future Value $32,000 Period In Years 2.5 Rate 7% Compund  Quaterly Total Periods…

Q: Find the periodic payment R required to accumulate a sum of S dollars over t years with interest…

A: The FV of an investment refers to the cumulative value of its cash flows at a future date assuming…

Q: Determine the amount of money that must be invested now (time 0) at 10% nominal interest, compounded…

A: An effective annual rate is a financial statistic that accounts for compounding to determine the…

Q: Determine the principal P that must be invested at rate r = 3%, compounded monthly, so that $700,000…

A: Future value (FV) = $700,000 Interest rate = 3.50% Monthly interest rate (r) = 3.50%/12 =…

Q: Find the future value of the annuity due. Payments of $600 per quarter for 6 years at 6% compounded…

A: STEP 1 Annuity Due An approach to determine how much money a series of payments will be worth at…

Q: Find the lump sum deposited today that will yield the same total amount as this yearly payment made…

A: Present value of annuity is the current value of the future payments that are calculated using the…

Q: What amount must be set aside now to generate payments of $30,000 at the beginning of each year for…

A: Annual payment (P) = $30,000 Interest rate (r) = 5.52% Period (n) = 10 Years

Q: A payment of $25,000 is due today. What three equal payments, one in 3 years, one in 5 years, and…

A: Present Value refers to a concept that states the discounted value or say value at today's time of…

Q: Calculate the amount of money that needs to be invested today at 7.9% compounded semi-annually to…

A: Present value is referred to as the amount of funds today, which is worth higher than the same…

Q: A sum of money invested now at 10 percent compounded semi-annually is to provide payments of $1500…

A: Let the money to be invested now = X Semiannual payment (A) = $1500 Number of payments (n) = 16 r =…

Q: The payment size is $. (Round to the nearest cent.)

A: End of period payments N = 3.5 years i.e. 14 quarters Interest rate = 8%/4 = 2% per quarter Future…

Q: What is the final amount of $2696 payable every three months for 5 years and 9 months, if money is…

A: Here, Quarterly Payment is P2696 Time Period is 5 years and 9 months Time Period in Quarters  (n)…

Q: Determine the amount of money that must be invested now (time 0) at 8% nominal interest, compounded…

A: A series of payments made over a period at equal interval of time is an annuity. The present value…

Q: Find the present value of a annuity of P4,500.00 every 2 months for 7 years that is deffered 3 years…

A: Convert 6% compounded quarterly to its equivalent interest rate for bimonthly interval. Here, 'R'…

Q: Use the accompanying sinking fund formula to determine the payment needed to reach the accumulated…

A: Accompanying sinking fund formula:-A= [P*(1+R/n)^(t*n) -1] /R/nWhere A= Accumulated amount.P= Each…

Q: Find the future values of the ordinary annuities at the given annual rate r compounded as indicated.…

A: The objective of the question is to calculate the future value of an ordinary annuity. An ordinary…

Q: 0) (Annuity) Payments of $400 are to be made at the beginning of each quarter for 5 years orth 8%…

A: The future value of annuity is the amount accumulated over the time and amount of interest being…

Q: Use the sinking fund formula shown to the right to determine the monthly payment needed to…

A: Given Information: Required amount is $620,000 Interest rate is 8% Compounded monthly for 32 years

Q: Find the future value (in dollars) of the investment. (Round your answer to the nearest cent.)…

A: Future value of annuity = P * [ (1+r)^n  - 1 ] /r  where, P= annuity amount i.e. $8000 r =rate of…

Q: If 400,000 is deposited at the rate of 6% compounded annually at the beginning of each period for 6…

A: The Future value of annuity due is the total future value of each cash flow which is made at the…

Q: Find the future value of an annuity due of $400 each quarter for 2 1/2 years at 12%, compounded…

A: Compound = Quarterly = 4Payment = p = $400Time = t = 21/2 * 4  = 10Interest rate = r = 12 / 4 = 3%

Q: Find the interest rate needed for the sinking fund to reach the required amount. Assume that the…

A: Compound = Quarterly = 4Future Value = fv = $19,654Time = nper = 4 * 4 = 16Payment = pmt =…

Q: Find the lump sum deposited today that will yield the same total amount as payments of $15,000 at…

A: Answer -   Formula for Lump Sum deposited Today -  P = R ( 1 - (1+i)-n/ i)

Q: Find the periodic payment R required to accumulate a sum of S dollars over t years with interest…

A: An annuity is a cash flow that occurs at regular intervals. For instance a cash inflow of $100 each…

Q: Find the amount of each payment to be made into a sinking fund which earns 8% compounded quarterly…

A: A sinking fund is a type of fund that sets aside a periodic sum in an account to repay a debt in the…

Q: Find the present value of an annuity of $3000 per year at the end of each of 6 years after being…

A: The Present Value of Deferred Annuity refers to the concept which dictates the discounted value of a…

Q: A $20,000 loan obtained today is to be repaid in equal instalments over the next six years, starting…

A: An annuity is a stream of equal cash flows occurring at regular intervals of time. When cash flows…