If $5500 is deposited at the end of each quarter in an account that earns 5% compounded quarterly, after how many quarters will the account contain $90,000?

Q: se that $2500 is placed in a savings account at an annual rate of 3.4, compounded quarterly.…

A: The period can be calculated by using the EXCEL NPER function. Where, 'RATE' is the interest rate…

Q: A company plans to purchase a new piece of equipment in 36 months. If $3105 is deposited into a…

A: Future value of a present value is the value of that amount after taking into account the time value…

Q: What is the size of the payments that must be deposited at the beginning of each 6-month period in…

A: The size of the payment can be computed by using the PMT formula of excel. The values require for…

Q: If $450 is deposited at the end of each quarter into an account paying 10% compounded quarterly, how…

A: The question is based on the concept of Annuity.

Q: If $1,300 is deposited each quarter in an account that earns 2% compounded quarterly, how many full…

A: To calculate the number of payments, future value of annuity formula will be used. where C is…

Q: w much will be in an account at the end of five years the amount deposited today is $10,000 and…

A: The given problem can be solved using FV function in excel. FV function computes  future value for…

Q: A $183900 Ioan is repaid by 23 payments of $2500 each at the end of quarter, followed by 29 payments…

A: Loan is contract between lender & borrower where lender provide funds to borrower for definite…

Q: How many payments will you have made when your account balance reaches $15,000?

A: Future Value of Annuity: It is the worth of the recurring cash flows or payments at a certain…

Q: What is the size of the payments that must be deposited at the beginning of each 6-month period in…

A: Future value (FV) = $150,000 Interest rate = 7.6% Semi annual rate (r) = 7.6%/2 = 3.80% Period = 18…

Q: How much money should be on the account today in order for annually withdrawals of $100.00 to be…

A: Here we will use the concept of time value of money. As per the concept of time value of money the…

Q: The owner of Oak Hill Squirrel Farm deposits $3,000 at the end of each quarter into an account…

A: A study that proves that the future worth of the money is lower than its current value due to…

Q: What is the size of the payments that must be deposited at the beginning of each 6-month period in…

A: The equivalent annual cost is the periodic payment made towards the acquisition of an asset or…

Q: 2. If $500 is deposited in an account paying 8.3% annual interest, compounded continuously, how long…

A: Compounding effect on the investment refers to the condition where the interest is being charged on…

Q: If a sum of $3000 is borrowed for six months at 9 percent simple interest per year, what is the…

A: A method of computing interest amounts in which the compounding effect was not considered by the…

Q: To establish a "rainy day" cash reserve account, a certain company deposits $14,000 of its profit at…

A: In the given question we need to calculate the future value of the account after 4 years and after…

Q: If $1,000 is deposited each quarter in an account that earns 2% compounded quarterly, how many full…

A: The question is based on the concept of Annuity

Q: Suppose a savings account pays 7% annual interest with interest compounded daily (assume there are…

A: Daily compounding Nominal rate= 7% Number of compounding periods = 365 Deposit = 2578 N = 3285 days…

Q: If you were to use the TVM Solver to determine how much money would be in an account (that earns…

A: Future value(FV) is value of current amount at future date that is computed by compounding current…

Q: Money borrowed today is to be paid in 8 equal payments at the end of each quarter. If the interest…

A: Quarterly payment (Q) = P 37291 n = 8 payments r = 1% per annum = 0.25% quarterly

Q: If $2500 is deposited at the end of each quarter in an account that earns 5% compounded quarterly,…

A: Annuity is a stream of recurring cashflow at regular interval for fixed period at specific rate.…

Q: If $8000 is deposited at the end of each half year in an account that earns 6.2% compounded…

A: The future value of a cash flow is the future worth of a cash flow at a certain rate of interest and…

Q: What is the balance in an account at the end of 10 years if $2,500 is deposited today and the…

A: In the given question we are required to calculate the future value from the following details:…

Q: Money borrowed today is to be paid in 13 equal payments at the beginning of each quarter. If the…

A: in this we have to find out present value FACTOR and than find out present value.

Q: You’re prepared to make monthly payments of $265, beginning at the end of this month, into an…

A: Monthly payment (P) = $ 265 Future value (FV) = $ 68000 Annual interest rate  =9% Monthly interest…

Q: What is the size of the payments that must be deposited at the beginning of each 6-month period in…

A: Future value of annuity due = P * [ (1+r)^n  - 1 ] /r  * (1+r) Where, r = rate per period i.e.…

Q: What is the size of the payments that must be deposited at the beginning of each 6-month period in…

A: The amount which is deposited at the beginning of every period for a specified duration is known as…

Q: Regular quarterly payments of $6000 are deposited into an account paying 3.19% interest, compounded…

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

Q: How much must be deposited at the beginning of each month in an account that pays 6% compounded…

A: Monthly rate = 6%/12 = 0.5% Number of periods = 7*12 = 84 Future value required is $31,000 Find…

Q: If money is woth 5 1/2% compounded annually, what single payment now equivalent to 45 annual…

A: Deferred annuity is a type of annuity in which the payment of annuity series began after a specified…

Q: How much (in dollars) is needed in an account that earns 9.6% compounded monthly to withdraw $1,000…

A: Computation:

Q: A loan of $27900 is repaid by payments of $675 at the end of every quarter. Interest is 4%…

A: Given: Particulars Amount Loan(PV) $27,900 Payment(PMT) $675 Quarters 4 Interest rate 4%

Q: An account starts with a value of $5,500. It earns 7.4%, compounded monthly. $300 is added to the…

A: A study that proves that the 1value of money today is higher than the future value of money is term…

Q: How much must be deposited at the beginning of every six months in an account that pays 4%…

A: The amount which is deposited at the beginning of each period is called as annuity due. The period…

Q: Suppose you deposit D dollars at the beginning of each month into an account that pays a monthly…

A: Given: B = $2,600 D = $160 r = 0.005 B = D(1+r)[ (1+r)t -1]/r.

Q: An account pays 3.3% interest compounded quarterly. Marson will make a regular deposit at the end…

A: Interest - Interest is a regular payment that is made at a certain rate of interest for a fixed…

Q: What is the size of the payments that must be deposited at the beginning of each 6-month period in…

A: I/Y = rate = 6.2%/2 = 3.1% NPER = Number of years = 13*2 = 26 PV = Present value = 0 FV = future…

Q: What amount must be deposited today, if, starting one year from today, you wish to make 15 equal…

A: Given, annual withdrawals $3,450. Number of payments 15. Interest rate is 0%.

Q: t is the balance in an account at the end of 10 years if $2,500 is deposited today and the account…

A: The given problem can be solved using FV function in excel. FV function computes amount balance in…

Q: A payment of $2,690 was due two years ago, and a payment of $1,650 is due today. What single payment…

A: This question can be solved in light of time value of money and future value. The formula to…

Q: If $550 is deposited at the end of each quarter into an account paying 8% compounded quarterly, how…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: What value of r will make the future value of the account P5, 200 in six months?

A: Future Value: It is the future worth of the present cashflows or the present sum of money. Future…

Q: Raj placed $6000 in saving account. For how long can $600 be withdraw from the account at the end of…

A: Calculation of number of installments: Answer: Number of installments is 10.215 months.

Q: Money borrowed today is to be paid in 9 equal payments at the beginning of each quarter. If the…

A: Compound Interest: Compound interest is calculated using the principal of a loan or deposit–as well…

Q: If the sum of P12,000.00 is deposited in an account earning interest rate of 9% compounded…

A: Future Value: The future value is the amount that will be received at the end of a certain period.…

Q: Suppose $10,000 is deposited into an account that earns 10% per year for 5 years. At that point in…

A: Value of the Corpus=10,000×1.105=$16,105.10 Thus, the value of the corpus after 5 years is…

Q: To establish a "rainy day" cash reserve account, a certain company deposits $12,000 of its profit at…

A: Amount of deposits =12000 interest rate =1.95 compounding quarterly  After 4years  After 5.5 years

Q: You're prepared to make monthly payments of $200, beginning at the end of this month, into an…

A: Monthly payment (M) = $200 r = 10% per annum = 0.833% per month Let n = Number of payments

Mortgages

A mortgage is a formal agreement in which a bank or other financial institution lends cash at interest in return for assuming the title to the debtor's property, on the condition that the obligation is paid in full.

Mortgage

The term "mortgage" is a type of loan that a borrower takes to maintain his house or any form of assets and he agrees to return the amount in a particular period of time to the lender usually in a series of regular equally monthly, quarterly, or half-yearly payments.