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A: Computation of quarterly deposit:Hence, the quarterly deposit is $921.76.
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A: Let n be the number of months given, FV = $10,000 A= $150 r = 3.9%
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A: Given Information: Monthly withdrawal = $3,000 Time period = 25 years Interest rate = 9%
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A: Given; Principal= $5,000 Interest =19% annually or 1.58% monthly Time = 5 Years or 60 months (5*12)…
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A: We need to use the concept of time value of money to solve the question. According to the concept of…
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A: Using excel PMT function = PMT(rate,nper,pv,fv)
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A: Loan amount (PV) = $ 30,000 Interest rate = 8% Monthly interest rate (r) = 8%/12 =…
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A: Amount = $2,000 = A Time period = 10 years = T Interest rate = 2% = R Compounded monthly where it…
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A: Points can be defined as the percentage of an amount that is to be paid to the bank, In the above…
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A: Loan amount (PV) = $95000 Interest rate = 6.25% Monthly interest rate (r) = 6.25%/12 =…
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A: The formula used as follows: FV=PV1+rnnt
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A: Using excel PMT function
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A: Recurring deposit is an annuity where same amount is deposited with an institution over cardinal…
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A: Annual deposit (D) = $10,000 Interest rate (r) = 8% Number of deposits (n) = 3
Q: You want to be able to withdraw $45,000 each year for 25 years. Your account earns 6% interest. a)…
A: Given: Withdraw amount =$45000Interest rate annually =6%Time=25 years
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A: Computation of periodic deposit:
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A: Annuity Payments: These are payments of equal intervals made. Examples of annuity payments include…
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A: A cost system is a system that is designed to evaluate the cost incurred by the company.
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A: Credit Card Amount = $5,000 Interest rate = 23% Time duration = 4 years
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A: A future value (FV) of an annuity due represents periodic cash flows starting at the beginning of…
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A: The question gives the following information:
Q: You have $3,500 on a credit card that charges a 14% interest rate. If you want to pay off the credit…
A: PMT= Present Value of annuity/{1-[1/(1+r)^n]/r} Where r =rate of interest per period i.e. 14%/12=…
Q: You want to be able to withdraw $50,000 each year for 30 years. Your account earns 5% interest.…
A: This the question of present value of ANNUITY. Annuity is a equal stream of cashflow at equal…
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A: Deposit amount into a savings account= 1% of your monetary transactions Return= 5% per year Annual…
Q: Calculating the Cost of ATM Fees. If a person has ATM fees each month of $16 for 7 years, what…
A: ATM fees per month = $ 16 Period = 7 Years Number of months = 16*7 = 112
Q: You have $4,500 on a credit card that charges a 14% interest rate. If you want to pay off the credit…
A: Monthly Payment: Monthly payments let a borrower pay down part of the remaining sum, which is…
Q: 2) You wish to save $150,000 for a new car. You are going to make $5000 deposits at the end of each…
A: A study that proves that the future worth of the money is lower than its current value due to…
Q: Suppose you want to have $800,000 for retirement in 20 years. Your account earns 8% interest. a) How…
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A: The amount of deposit can be find out by using the formula of present value of ordinary annuity.
Q: You need a home loan of $65,000 after your down payment. How much will your monthly house payment be…
A: FORMULA Monthly payment = LV/[1-(1+R)-N]/R Where LV - Loan amount i.e. $65000 R - Monthly interest…
Q: You have $2,000 on a credit card that charges a 17% interest rate. If you want to pay off the credit…
A: Credit card amount due (PV) = $2000 Annual interest rate = 17% Monthly interest rate = 17%/12 =…
Q: Suppose you want to have $600,000 for retirement in 20 years. Your account earns 5% interest.a) How…
A: The question given is related to the annuity payouts, which refers to a series of payments paid over…
Q: If a person has atm fees each month of $18 for 6 years, what would be the total cost of those…
A: Total cost can be calculated by multiplying the cost per year and the number of years.
Q: You have $2,000 on a credit card that charges 18% interest rate if you want to pay off the credit…
A: The amount of loan = $2,000 Interest rate = 18% Time period = 4 years
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- Calculating the Cost of ATM Fees. If a person has ATM fees each month of $16 for 7 years, what would be the total cost of those banking fees?If you have ATM fees each month of $8 for 4 years, what is the total cost of those banking fees?2. Suppose you have a bank account into which you make $100 deposits each month. You find a bank account paying r 100% (r is a decimal rate) per month. You would like to save up for a $2,000 car down payment, which you would like to have in 15 months. What must the bank account pay in order for this to be accomplished?
- 4. You want able to withdraw 15,000 each month for 15 years. your account earns 3 1/4% interest. a. how much do you need in your account at the beginning? b. how much total money will you pull out of the account? c. How much of that money is interest?4. Consider a credit card with a balance of $7000. You wish to pay off the credit card, which has an APR of 17.99%, within 1 year. Calculate the following. Round your answer to the nearest cent, if necessary. a. Find the number of months you will need to pay the credit card if you pay $585 per month. b. Will you meet your goal and have the credit card paid in one year?If a person has atm fees each month of $18 for 6 years, what would be the total cost of those banking fees?
- Question 3: You just got a loan for $15,000 and you plan to pay it off in three years. Your monthly payments are $500 each. What is the interest rate that the bank is charging you? What if you did bi- monthly payments of $250? How much sooner will the loan be paid off?Hi please answer 2b. You decide to take advantage of the store’s payment plan. The payment plan’s terms are as follows: 18 equal monthly payments, 6% interest, compounded monthly. a) What is the total cost that you will end up paying for the Chromebook? b) What will your monthly payment be?You are interested in saving for a trip when you graduate in three years. You can save $75 each of the next 36 months and earn 2.75% interest on your money. How much money would you have in your savings account in 36 months for your trip? ( Please reference the loan infromation in the "Task 5 Data " cells as the argument for your functions
- Imagine you have a credit card balance of $1,000 that you would like to pay off within one year. The annual interest rate on that credit card is 16%, but interest compounds monthly, and you are required to make a payment each month. What amount would you have to pay monthly to pay off this balance within one year? Question options: a $90.71 b $80.66 c $83.33 d $99.12(b) With a constant monthly payment of $40 per month, how many years would it take to pay off the balance? (c) If you paid twice the minimum payment, how long would it take to pay off the card? What is the total amount you would pay? ___years Total of $___ (d) How much money would you save in interest if you paid twice the minimum payment?PROBLEM (1-4) (A) If you want to have $250 in 5 years and you can earn an annual return of 7%, how much must you invest today? Be sure to use cell references and make sure that your answer appears as a positive value. (B) If you make a one-time deposit today of $800 you can earn 10% per year, how much would you have in your account after 15 years? Be sure to use cell references and remember that deposits from you are outflows. (C) If your investment of $1,254 declined to $435 in 6 years, what compounded annual rate of return would you have earned? Be sure to use cell references and to convert your answer to a percent rounded to two places after the decimal point. (D) If you can earn 5% per year, precisely how many years would it take for your investment of $450 to turn into $1,200? Be sure to use cell references and display your answer rounded to two places after the decimal point. TIME VALUE OF MONEY: LUMP SUMS PV FV r n (A) (B) (C) (D)