Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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Use the sinking fund formula shown to the right to determine the monthly payment needed to accumulate
$560,000
with
9%
interest are compounded monthly for
31
years. |
p=Arn1+rnnt−1
|
The monthly invested payment is
$
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- Find the amount of each payment to be made into a sinking fund which earns 8% compounded quarterly and produces $49,000 at the end of 4.5 years. Payments are made at the end of each period. The payment size is $ . (Round to the nearest cent.)arrow_forwardCalculate the future value of end-of-month payments of $500 made for 4 years into an investment fund that earns 6.25% compounded quarterly. $27,768 38 (X) Round to the nearest centarrow_forwardUse the sinking fund formula shown to the right to determine the semiannual payments with 6% interest are compounded semiannually for 4 years to accumulate $17,000. p=Arn1+rnnt−1 The semiannual invested payment is $arrow_forward
- Fint the periodic payments PAT necessary to accumulate the given amount in an annity account. (Assume end-of-period deposita and compounding at the same intervals as depovits. Round your answer to the nearest cent.) $65,000 in a fund paying 3% per year, whth quarterty payments for 20 years PHT-1arrow_forwarddetermine the size of the payments that must be made to a sinking fund in order to accumulate $233,188 if the interest rate is 5.25% compounded quarterly and payments are made for 7 1/4 years. Use TVM solverarrow_forwardUse the sinking fund formula shown to the right to determine the semiannual payments with 8% interest are compounded semiannually for 4 years to accumulate $24,000.arrow_forward
- Sinking fund formula found to nearest cent annual payments with 6% interest compounded annually for 5 years and will accumulate 8400arrow_forwardDetermine the monthly payment necessary to accumulate $30,000 in a fund paying 6% per year, compounded monthly, for 8 years. (Assume end-of-period deposits and compounding at the same intervals as deposits.) Round your answer to the nearest cent.arrow_forwardUse the sinking fund formula shown to the right to determine the monthly payment needed to accumulate $400,000 with 7% interest are compounded monthly for 29 years. The monthly invested payment is $arrow_forward
- You deposit 20,000 today into a fund paying ?(1)=8%. From this fund, you receive 10 payments of R, with the payments made at the end of 2 years, 4 years, 6 years, …, 20 years. What is R?arrow_forwardFind the periodic payment for each sinking fund that is needed to accumulate the given sum under the given conditions. (Round your answer to the nearest cent.) FV = $1,500,000, r = 4.7%, compounded semiannually for 25 yearsarrow_forwardFind the periodic payment for each sinking fund that is needed to accumulate the given sum under the given conditions. (Round your answer to the nearest cent.) FV = $1,200,000, r = 4.9%, compounded quarterly for 45 years $arrow_forward
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