Larry wants to start an IRA that will have $620,000 in it when he retires in 26 years. How much should he invest semiannually in his IRA to do this if the interest is 6% compounded semiannually? A) $16,081,74 B) 13969.83 C) 15081.65 D) $5094.65
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- Suppose that at age 25, you decide to save for retirement by depositing $95 at the end of every month in an IRA that pays 4.25% compounded monthly. How much will you have from the IRA when you retire at age 65? Find the interest. A. $118,696; $73,096 B. $120,485; $62,735 C. $146,390; $100,790 D. $119,567; $73,967Your father is about to retire, and he wants to buy an annuity that will provide him with $52,000 of income a year for 25 years, with the first payment coming immediately. The going rate on such annuities is 5.95%. How much would it cost him to buy the annuity today? a. $707,644.77 b. $873,949.58 c. $679,475.65 d. $719,904.45 e. $667,904.45(a) Patty Stacey deposits $2000 at the end of each of 5 years in an IRA. If she leaves the money that has accumulated in the IRA account for 25 additional years, how much is in her account at the end of the 30-year period? Assume an interest rate of 10%, compounded annually. (Round your answer to the nearest cent.) _____$ (b) Suppose that Patty's husband delays starting an IRA for the first 10 years he works but then makes $2000 deposits at the end of each of the next 15 years. If the interest rate is 10%, compounded annually, and if he leaves the money in his account for 5 additional years, how much will be in his account at the end of the 30-year period? (Round your answer to the nearest cent.) _____$
- Colin is trying to decide whether he should make his IRA contribution at the beginning of the year or at the end of the year. He wants to save $5,000 per year for 25 years in his IRA that can earn 7% per year. What would be the difference in his account value if he made the payments at the beginning of each year rather than at the end?a. $338,382.b. $22,137.c. $28,041.d. $316,245.Your uncle Barry is about to retire, and he wants to buy an annuity that will provide him with $77,000 of income a year for 25 years, with the first paying coming immediately and future payments occurring at the BEGINNING of the respective years. The interest rate on this annuity is 8.50%. How much would it cost him to buy the annuity today? (Ch. 5) Group of answer choices $957,617.32 $820,814.85 $855,015.47 $786,614.23 $788,032.69André is looking ahead to his retirement. He wants to have $580,000 in his savings account when he retires. How much must he deposit into his account now (a one-time deposit), if the account pays a fixed interest rate of 9%, to ensure that the account has $580,000 when he retires, 25 years from now? This question: 10 point(s) possible Assume that André will not make any additional deposits or withdrawals into or out of the account between now and when he reaches retirement. O A. $94,165 O B. $77,846 O C. $121,070 O D. $67,261 O Time Remaining: 00:34:10 Next MacBook Air DD F10 F8 F6 F5 esc F2 F3 F1 & delete % %3D @ # $ 8 1 2 3 4 } { T Y U W E R Q K L G H .. ·- 品:
- May I ask for an explanation and solution to the question for a better understanding. Thank you! 10. You inherit P150,000 from your aunt. You decide to invest the money in a three-year certificate of Deposit (CD) that pays 4% interest, compounding quarterly, to use as a down payment on a house. How much money will you have when the CD matures? a. P506,188.80 b. P169,023.75 c. P168,729.60 d. P674,918.40suppose you put $1500 into your IRA this year. You do not make any additional contributions to the account. If you earn a return of 10.5% annually, how much will you have in the account in 42 years? 932,208 6,615 1,031,590 69,615 99,3819. Implied interest rate and period Consider the case of the following annuities, and the need to compute either their expected rate of return or duration. Joshua inherited an annuity worth $6,830.77 from his uncle. The annuity will pay him eight equal payments of $1,100 at the end of each year. The annuity fund is offering a return of Joshua's friend, willie, has hired a financial planner for advice on retirement. Considering Willie's current expenses and expected future lifestyle changes, the financial planner has stated that once Willie crosses a threshold of $1,387,311 in savings, he will have enough money for retirement. Willie has nothing saved for his retirement yet, so he plans to start depositing $25,000 in a retirement fund at a fixed rate of 6.00% at the end of each year. It will take v for Willie to reach his retirement goal.
- 17) Sun Woo wants to purchase an annuity that will pay him $1,000 a month for fifteen years. If he can a 4.5% rate of return, how much will he have to pay today in order to purchase this B) $154,327 C) $96,489 D) $130,720 E) $185,171 negotiate annuity? A) $123,185Your uncle is about to retire, and he wants to puy an annuity that will provide him with $95,000 of income a year for 20 years, with the first payment coming immediately. The going rate on such annuities is 4.70%. How much would it cost him to buy the annuity today? a. $1,271,700.48 b. $1,309,613.64 c. $1,232,005.40 d. $1,214,613.64 e. $1,250,824.87Q7) Mohammed is 65 years of age and has a life expectancy of 12 more years. He wishes to invest $40,000 in an annuity that will make a level payment at the end of each year until his death. If the interest rate is 10%, what income can Mr. Mohammed expect to receive each year? (Choose the correct answer from below options and attach all your explanations in the other link provided)
