If $900 is invested at 10% compounded quarterly, what is the interest earned after a) 4 years  Interest earned = $  b) 3 years Interest earned = $

Q: What present value amounts to $8688.26 if it is invested for 2 years at 11% compounded every 4…

A: The PV of an investment refers to the value of all the future cash flows that the investment…

Q: How much annual income would need to be generated over a 5 year period, to be equivalent to $4,000…

A: Calculate the annual income over a period of 5 years as follows:MS-Excel --> Formulas -->…

Q: Compute the present value of $199500 that is invested for 6 years and 9 months at 2.45% compounded…

A: Here, Future Value is $199,500 Time Period is 6 years and 9 months Time Period in Months will be:…

Q: If $800 is invested for one year at 6% compounded quarterly, the amount of  interest earned is…

A: Principal, P = $ 800Interest rate is 6% compounded quarterlyHence, r = 6%, m = frequency of…

Q: At what nominal rate, compounded quarterly, would $15,000.00 have to be invested to amount to…

A: FV = PV * (1 + i/n)^(n * Years) Where FV = Future Value = $18276.04 PV = Present Value = $15000 i =…

Q: If ​$8000 is invested at 6​% compounded​ continuously, what is the amount after 6 ​years?

A: Investment=$8000Interest rate=6%Number of years=6

Q: What is the future value in five years of $1,000 invested in an account with an APR of 10 percent,…

A: The FV of an investment refers to the combined worth of the cash flows of the investment at a future…

Q: 1. Find the compound amount and interest if: a. P 45 000 is invested at 5% compounded quarterly for…

A: Compound interest is referred as the interest which is calculated on principal amount which involves…

Q: how much more interest will be earned if $4500 is invested for 7 years at an annual rate of 11%…

A: Given information: Present value is $4,500 Number of years is 7 Interest rate is 11%

Q: Solve for the compound interest earned if 10,000 pesos is invested for  1-1/2 years at 8% compounded…

A: Compound interest refers to the interest calculation mechanism where the previous period interest is…

Q: An investment of $4838.57 earns interest at 4.9% per annum compounded annually for 2 years. At that…

A: Future value can be calculated usingFV (rate, nper, pmt, [Pv], [type])Rate The interest rateNper…

Q: If $600 is invested in an account earning 2.75% compounded continuously, how much would be in the…

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

Q: $500 is invested at 6% compounded quarterly, what is the interest earned after: 3 years 4 y

A: The more is the compounding of interest than more is effective interest and more is amount of future…

Q: $5,100 is invested at 6% compounded annually. what is the amount of the account at the end of 3…

A: Under Compound Interest Method, Interest is accumulated with the principle.

Q: How long will it take for P 1,000.00 to amount to P 1,346.00 if invested at 6 compounded quarterly?

A: Interest is the amount charged or received by investing or borrowing some amount. It can be simple…

Q: What present value amounts to $11,273.57 if it is invested for 5 years at 10% compounded annual?…

A: Present value is calculated using following equation Present value = Future value1+rn Where, r is…

Q: How much compound interest is earned on a 6.5-year investment that has a rate of return of…

A: Future value (FV) = $ 9600 Period = 6.5 Years Period in quarters (n) = 6.5*4 = 26 Interest rate = 6%…

Q: Using Table 11-1, calculate the compound amount and compound interest (in $) for the investment.…

A: In finance, the concept of time value states that money today has more purchasing power than the…

Q: How much must be invested now at 6% interest, compounded monthly, to accumulate $1,000 at the end of…

A: Present value = Future value/(1 + r)n         OR Present value = Future value x (Present value…

Q: nd the accumulated amount after 2 years if RM1000 is invested at 8% per year compounded (a)…

A: a) Compounded Annually A = $1,166.40 A = P + I where P (principal) = $1,000.00 I (interest) =…

Q: What will an amount of $75 000 become in 5 years time if invested at                      4.15% p.a.…

A: Future value is the compounded value of a sum of money invested at a given interest rate for a…

Q: What will be the maturity value of P12,000 invested for four (4) years at 15% compounded quarterly?…

A: The question is based on the concept of the time value of money, the value of money keeps on…

Q: If $200 is invested at 5% compounded quarterly, what is the interest earned after: a) 6 years,…

A: The formula used as follows: A=P1+rnn×t

Q: amount

A: Compound interest formula: Formula for calculating PV is: PV = FV/(1+i/n)^nt where FV is the future…

Q: What is the compound interest and accumulated value of: 30,000 principal , 7% rate that is…

A: Compound Interest is the interest that is calculated on the initial principal plus the accumulated…

Q: What is the FV of $1,000 in 15 years if it earns an annual rate of 9.5% quarterly compounded?…

A: FV means future value. It is the compounded value of a sum of money invested today. Money invested…

Q: Use the present value formula to determine the amount to be invested​ now, or the present value…

A: Present value is the value of an asset in today’s time. It the value which is worth today. It helps…

Q: if $11,000.00 is invested at 18% annual simole interest, how long does it take to be accumulated to…

A: Investment (P) = $ 11000 Interest rate (r) = 18% Future value (F) = $ 34,760 Period = n

Q: An investment of S6,560 earns interest at the rate of 5% and is compounded quarterly. What is the…

A: Investment = 6560 Interest rate = 5℅/4 = 1.25℅ per quarter N = 28 quarters (7 years)

Q: Ex. Find the amount and compound interest when Rs. 18,000 is invested for 4 years at 7% p.a. rate of…

A: Invested amount = Rs. 18,000 Interest rate = 7% Period = 4 Years

Q: Q) $15,000 is invested in an account at time 0. At the end of 4 years, Invested into the same…

A: Future Value Future value (FV) is the value of a current asset at a future date based on an assumed…

Q: What present value amounts to $23,513.44 if it is invested for 6 years at 10% compounded quarterly?

A: Present value is the estimation of the current value of future cash value which is likely to be…

Q: Solve for the compound amount and compound interest earned if $ 825 is invested for 10 years at 4%…

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

Q: What is the present value amounts to $14,332.50 of it is invested for 2 years at 5% compounded…

A: Future value = $14,332.50 Period = 2 years Interest rate = 5% compounded annually

Q: 4. P1000 is invested every 3-months at 4.8% compounded continuously. How much will the annuity be…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: 1. A man invests $4000 for 5 years at 4.2% compounded monthly. A. How much will be in the account at…

A: Amount of investment = $4000 Interest Rate =4.2% per annum Interest Rate monthly (r) = 4.2%/12 =…

Present Value

Present value (PV) is defined as the current or present value of all future sums of cash flow or money at a specified rate of return. This rate of return is known as the discounted rate, which is essentially the interest rate, discounted over some time. The expected cash flows are discounted at a discount rate to compute the present value. The higher the discount rate, the higher the future value (FV), but the lower the present value.