Time Value Personal Finance Problem Misty needs to have $21,000 in 8 years to fulfill her goal of purchasing a small sailboat. She is willing to invest a lump sum today and leave the money untouched for 8 years until it grows to $21,000, but she wonders what sort of investment return she will need to earn to reach her goal. Use your calculator or spreadsheet to figure out the approximate annually compounded rate of return needed if she can invest $15,400 today. ...

Time to accumulate a given sum Personal Finance Problem Manuel Rios wishes to determine how long it will take an initial deposit of $7,000 to double. a. If Manuel earns 8% annual interest on the deposit, how long will it take for him to double his money? b. How long will it take if he earns only 5% annual interest? c. How long will it take if he can earn 10% annual interest? d. Reviewing your findings in parts a, b, and c, indicate what relationship exists between the interest rate and the amount of time it will take Manuel to double his money. a. If Manuel earns 8% annual interest, the amount of time to double his money is years. (Round to two decimal places.) C

Suppose Rachel and Nadia buy a house and have to take out a loan for $191000. If they qualify for an APR of 4.25% and choose a 30 year mortgage, we can find their monthly payment by using the PMT formula. If Rachel and Nadia decide to pay $1500 per month, we can use goal seek to see how many years it will take to pay off the loan. Use the PMT function and goal seek (as needed) to answer the following questions about Rachel and Nadia's mortgage. a. What is their monthly payment on the 30 year loan? $ b. If they qualify for the same APR on a 15 year loan, what will the new monthly payment be? $ c. If Rachel and Nadia have monthly payments of $1500 each month, how long will it take for them to pay off their loan? years d. If they want to have monthly payments of $650 and still pay the loan off in 30 years, what interest rate would they have to qualify for? %

WITH SOLUTION PLS  Suppose you make an annual contribution of P8,698 each year to a college fund for a niece. He is 6 years now, and you will start next year and make the last deposit when he is 18. The fund is a money market account earning 5.29% per year. What will it be worth immediately after the last deposit?

Margaret has an investment opportunity where she can receive cashflows as follows 1. $1,000 end of years 1 & 2 2. $1,100 end of years 3 & 4 3. $1,200 end of years 5 to perpetuity 4. $1,400 end of years 8 to perpetuity   If you require a return of 8%, how much should you be willing to pay for this investment today?   A. $36, 700 B. $59, 750 C. $24, 702 D. $25, 584 E. $27, 353 F. $58, 750

Use a financial calculator or computer software program to answer the following questions: a) Melanie is trying to save money for retirement and has a future goal of $750,000 at the end of 20 years. Determine the present value of her goal using a discount rate of 12%. b) How would the present value change if the $750,000 is to be received at the end of 15 years instead? Explain the impact and show your work?

Future value.   Jack and Jill are saving for a rainy day and decide to put ​$40 away in their local bank every year for the next 20 years. The local​ Up-the-Hill Bank will pay them 6​% on their account.   a.  If Jack and Jill put the money in the account faithfully at the end of every​ year, how much will they have in it at the end of 20 ​years? b. ​ Unfortunately, Jack had an accident in which he sustained head injuries after only 10 years of savings. The medical bill has come to ​$400. Is there enough in the​ rainy-day fund to cover​ it? a. If Jack and Jill put the money in the account faithfully at the end of every​ year, how much will they have in it at the end of 20 ​years?   ​$nothing ​(Round to the nearest​ cent.)

It has been proposed that in order to retire with the same lifestyle you currently have, you will need to have at least 1.5 million dollars saved by retirement. How much would you have to invest right now in order to achieve your goal? Assume you can find an investment that pays 5.6% compounded monthly. You're current age is 30 and youwould like to retire in 35 years.      2.  What interest rate would you need in order to reach this goal if you             had $8000 to invest?