PLEASE ANSWER THE QUESTIONS BELOW AND BE SURE TO SHOW THE FORMULAS AND THE WORK. THANIK YOU :) 1) You invested $100,000 5 years ago at 7.5% annual interest rate. If you invest an additional $1,500 a year, at the beginning of each year for 20 years at the same 7.5% annual rate, how much will you have 20 years from now?

Q: You have an investment account that started with $3,000 10 years ago and which now has grown to…

A: To maintain and increase the buying power of the money invested, an investment's rate of return…

Q: : identify the values for the variables, in write an equation that can be used to find the amount of…

A: Future Value: It is the future worth of the present sum of the amount and is estimated by the…

Q: You can expect annual benefit of $15,800 if you deposit $142,200 in a bank account right now. The…

A: Pay back period is the period required to recover the initial cost of the project.

Q: Suppose that 10 years ago you bought a home for $150,000, paying 10% as a down payment, and…

A: Given:

Q: If you are willing to loan someone $100 and expect to be paid back $200 and earn 12% on your…

A: Given Loan amount is $100 Amount to be paid back is $200 Rate of return is 12%

Q: a)How much should you be willing to pay today for Gopher Gardens? b) If you can buy the property…

A: The price we are willing to pay is the PV of all future rent and selling price of the property…

Q: Suppose you have $1700 in your savings account at the end of a certain period of time. You invested…

A: Simple interest doesn't take compounding into consideration.

Q: 4. A manufacturer of flashlights wants to have $750,000 available 8 years from now so that a new…

A: As per the time value of money, a dollar is worth more today than the same dollar in the future.…

Q: As an investor, you have an opportunity to make an investment in real estate costing $100,000 today.…

A: The present value (PV) is $100,000. The monthly income (PMT) is $650. The period is 20 years and the…

Q: Suppose that you need to take out a loan today and anticipate being able to pay back $50,000 sixteen…

A: Let the loan amount = X Amount to payback (A) = $50000 n = 16 years

Q: You are trying to decide how much to save for retirement. Assume you plan to save $5,000 per year…

A: The future value represents the expected value of the present series of annuity cash flows.

Q: In planning for your retirement, you would like to withdraw $40,000 per year for 16 years. T from…

A: Over the period of time money grow to much larger amounts due to compounding of interest that is…

Q: (a) Barbara wants to accumulate $10000 by the end of 10 years. She starts making quarterly deposits…

A: Every investment value varies with time, therefore, time value computes the amount of the rupee at…

Q: You are trying to decide how much to save for retirement. Assume you plan tpo save $4.000 per year…

A: Here, To Find: Part A. No. of years required to exhaust the savings =? Part B. Rate of return need…

Q: 8. You have just received a windfall from an investment you made in a tri d's business. She will be…

A: The concept of time value of money will be used here.   When cash is received at different points in…

Q: How much money would you have at the end of 15 years if you initially invested $7,500 at a nominal…

A: Concept. A = P (1 + r)n  Where A = amount including compound interest. P = principal amount R = rate…

Q: Question 3 Part One - You invest $10,000 a year for 15 years at a 2% interest rate. How much money…

A: FV function computes amount balance in future for given interest rate (RATE), no. of periods (NPER),…

Q: The future value of an investment will be $14,500 in 5 years. It is currently worth $11,000. What is…

A: To find the interest rate earned on an investment, we can use the formula for future value: FV = PV…

Q: You expect to receive two cash flows: $41,000 paid in 5 years and $61,500 paid in 10 years. You'll…

A: Future value is an estimate of future cash values ​​that may be received at a future date,…

Q: You have started an investment club with your friend.  You identified an account which you think…

A: Future value is the estimation of current assets' value which are likely to be receive in future…

Q: If you deposited sum of 200 JOD at the beginning of each month for 20 Years at an annual interest…

A: There are three number of questions which has been asked by the student but as due to guideline we…

Q: If a financial planner promised to pay you $100000 a year forever, what is the maximum amount of…

A: Given information: Promised to pay $100,000 Interest rate is 5%

Q: You are offered the opportunity to put some money away for retirement. You will receive 10 annual…

A: The following information has been provided,10 annual payments of $5,000 beginning in 26 years will…

Q: Suppose you invest $130 a month for 4 years into an account earning 6% compounded monthly. After 4…

A: TVM concepts (time value of money) will be used and applied here.   Money invested today grows in…

Q: Let’s say we wanted to find the amount of interest you would get in only the 4th year if the annual…

A: Future value of amount is amount of interest accumulated over the period of time on initial…

Q: Required information You just deposited $5,500 in an investment account and will deposit $5000 more…

A: Investment today = $5500Investment 4 years from now = $5000Time = 10 yearsRate of return = 10%To…

Q: What equal amounts of money will have to be deposited 5, 8 and 11 years from now, if you want to…

A: Future worth is the amount that an investor expects from the cash flows in each period. Future worth…

Q: Using the image attached to answer the following questions. 4) Suppose you invest $14,500 some…

A: Time, the value of money refers to a concept used for evaluating the current value of an asset that…

Q: Solve the following problem. Use Excel, financial calculator, or PV and FV Tables. Show your work…

A: given information   amount = AED 10000 every year  time period = 4years = 16 quarters interest rate…

Q: If you could invest the mon

A: The present value of the amount to be invested today can be computed as follows using the Texas BA 2…

Q: Question#10: A person invested JD 50,000, after 4 years he invested an additional JD10,000, after…

A: given , pv = 50,000 pv4= 10,000 r=10% fv = 200,000

Q: ou’re trying to choose between two different investments, both of which will cost $65,000 today.…

A: Future Value: The futue value of an investment is its value at the end of the investment period.…

Q: How much would you have to deposit into your investment account today to reach the goal in 8 years?

A: Time value of money(TVM) means that the amount of money received will be worth more than…

Q: Lily Enterprise wants to accumulate a total sum of $824,000 in a few years. They want to deposit…

A: The theory of compounding facilitates in ascertaining the Future value (FV) of today's money. It is…

Q: 1. You have $35,000 you want to invest for the next 20 years to help with retirement. An investment…

A: The concept of time value will be used here. To compute the future value, we have to consider the…

Q: (2) You have $9, 500 you want to invest. Your bank has several investment accounts to choose from,…

A: Compounding is the concept of interest calculation when interest on interest is also accumulated in…

Q: Your plain to retine in 35 years and witte to have $1,000,000 inimestments How much money would you…

A: Time value of money (TVM) refers to the method or concept which is used to determine the amount of…

Q: 1. Evaluate the following. a) Calculate the simple interest earned after investing $1000 at 8%…

A: To calculate the simple interest we will use the below formula   Simple interest  = P*r*t Where P -…

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.