If money earns 5.22% compounded quarterly, what single payment in two years would be equivalent to a payment of $2,050 due three years ago, but not paid and $700 today?

Q: hat equal payments in 3 years and 5 years would replace payments of $42,500 and $92,500 in 7 years…

A: Here the present value of two payments to be made at the end of 7 years and 8 years should be equal…

Q: A payment of $750 is due in 2 years, and $5,100 is due in 4 years. What single payment made today…

A: The concept of TVM refers to the interest-earning capacity of money because of which the money…

Q: What is the discounted value of payments of $38.00 made at the end of each year for 8 years if…

A: The time value of money is the foundational concept in finance which takes into account the effect…

Q: What equal payments in 3 years and 5 years would replace payments of $47,500 and $72,500 in 6 years…

A: The concept of time value of money will be used here. As per this concept money has the power to…

Q: If you borrowed $2400 at an annual simple interest rate of 5.75%, how much would you owe altogether…

A: Interest on loan=Amount Borrowed×Rate×Years=$2,400×5.75%×3.5=$483

Q: What equal payments in 2 years and 5 years would replace payments of $ 37,500 and $97, 500 in 7…

A: Periodic payment refers to an amount that is being paid at every period including the interest and…

Q: A payment of $11,335 is due in 3 year, $18,000 is due in 4 years, and $8,850 is due in 6 years. What…

A: The present value of a future amount is calculated using the following formula,

Q: If you invest $48500 to earn 7% interest, which of the following compounding approaches would return…

A: Compounding in simple language means the interest on the previous interest. So if the compounding…

Q: years. What single equivalent payment made today would replace the three original payments? Assume…

A: The time value of money recognizes the idea that the value of an amount of money today differs from…

Q: What amount 1.5 years from now is equivalent to $ 7000 due in 8 years, if money can earn 6.2%…

A: Time period=1.5 years Future Value (FV) = $7000 Interest rate (r)= 6.2% compounded semiannually…

Q: How long will it take for the money to quadruple (in years) if it earns 8% compounded semi-annually?

A:

Q: If interest is compounded at 6.5% per year, how long will it take for $50,000 to accumulate to…

A: Present value = $50,000   Future value = $88,600 Interest rate = 6.5% Let time taken = n 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: If you were to borrow $9,600 over five years at 0.12 compounded monthly would be your monthly…

A: Please refer to the image below.

Q: Given an interest rate of 8.2% compounded annually, how much would you accumulate if you started…

A: Future value is the future worth of the given cash flows at the given period and interest…

Q: Our home loan, based on a rate of 3.24% APR compounded monthly, required 30 years of monthly…

A: Solution:- When an amount is borrowed, it can either be repaid as a lump sum payment or in…

Q: A payment of $700 is due in 3 years, and $5,000 is due in 5 years. What single payment made today…

A: PV=FV11+rn=$70011+4.54×1004×3+$500011+4.54×1004×5=$612.062293+$3997.59977=$4609.66206=$4609.66

Q: If money earns 7.26% compounded quarterly, what single payment in three years would be equivalent to…

A: The future value of money refers to the monetary worth of an amount of money over time. It accounts…

Q: How many more payments would be required to be able to accumulate at least $54,000 by saving $1,650…

A: The objective of the question is to find out the difference in the number of payments required to…

Q: You make a $2500 deposit today in a savings account that pays 3.5% interest APY compounded monthly.…

A: Initial deposit = $2500 Interest rate = 3.5% compounded monthly Period = 10 years

Q: If money earns 8.10% compounded quarterly, what single payment in three years would be equivalent to…

A: TVM refers to the concept that considers the effect of money's interest-earning capacity, which…

Q: need $20,000 five years from now. The account pays 9% compounded annually. If you can receive…

A: Present value is the equivalent value today of the future cash flow based on the time and interest…

Q: Two payments of $7,500 each must be made three years and six years from now. If money can earn 8.4%…

A:

Q: If money is borrowed today with an amount of P50,000.00 and subjected to a 9% compounded quarterly…

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

Q: will we owe more or less than $200,000 (half the original loan amount)?

A: Loan Amount: It represents the credit taken by the borrower from the lender. The borrower makes…

Q: If you borrow $5000 for five years and seven months at 9% compounded quarterly. How much is owed on…

A: Formula = Principal * [ 1 + Interest rate / 4 ]Number of quarters

Q: What amount should be deposited today at 4.56% compounded monthly to have $5000 in 3 years?

A: Interest Rate = 4.56%No. of years = 3Future Value (FV) = 5000

Q: HOW MUCH MONEY SHOULD BE DEPOSITED TODAY IN AN ACCOUNT THAT EARNS 4% COMPOUNDED MONTHLY, SO THAT IT…

A: Present value refers to the value of money today which is earned in future.

Q: A payment of $23,000 is due today. What three equal payments, one in 2 years, one in 4 years, and…

A: Given That: P.V=$23000 Payment is done in 3 equal payment Rate of interest= 4.25% Duration= 6 years…

Q: A $5000 payment due 1 1/2 years ago has not been paid. If money can earn 3.25% compounded annually,…

A: TVM is the concept that considers money's interest-earning capacity, which makes money earned…

Q: In how many years will it take $17804accumulate to $33482 when you deposited in a savings account…

A:

Q: What single payment today would replace a payment of $2,850 in 2 years and a payment of $3,900 in 5…

A: Compound interest may be a budgetary concept where interest is calculated not as it were on the…

Q: If you were to borrow $9,400 over five years at 0.10 compounded monthly, what would be your monthly…

A: Given data, Monthly rate=0.1012No of periods=5 years×12=60 months

Q: y is equivalent to receiving $10,000 three years from today, if interest is compounded quarterly at…

A: The present value of future money would give the amount of money that is equivalent today…

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.