Two $200 payments at the ends of the third and fourth years would be worth how much today? if there is an 8% yearly interest rate?

Q: How much should be invested each year for 10 years to provide you with $7000 per year for the next…

A: Annuity means no. of payments which are equal in size and made at equal length of intervals. Person…

Q: How much money will be in a bank account at the end of 15 years if $100 is deposi ted today and the…

A: Following details are given in the question : Deposit today (Present value) = $100 Time period = 15…

Q: What is the present value of a $175 annual payment over 10 years if interest rates are 4 percent…

A: To compute the present value of an annual payment over 10 years at an interest rate of 4 percent, we…

Q: What is the future value of $1000 in 10 years if the interest is compounded at 6% annually ?

A: Future Value  Future value  is the worth of any asset or any sum of money at a future date when such…

Q: You are set to receive an annual payment of $10,900 per year for the next 15 years. Assume the…

A: First we need to use future value of ordinary annuity( payment due at end of period) formula to…

Q: how much would you have to deposite if you wanted to have $49000 in five years?annual interest rate…

A: The formula to calculate present value is as below:

Q: s the future value (FV) of $72,000 in 25 years, assuming the interest rate is 5.5% per year?

A: The worth of a present asset at a future date based on an expected rate of growth is known as future…

Q: (3) You want to triple your money in 25 years. What is the annual compound interest rate necessary…

A:

Q: What is the future value of $2,500 deposited for one year earning a 14 percent interest rate…

A: In the given question we require to compute the future value of investment from following details:…

Q: If 5000 TL installments are deposited at the end of each year with 3% interest rate in order to save…

A: The number of installments can be calculated with the help of NPER function of Excel

Q: What is the future value of $2,000 deposited for one year earning 6 percent interest rate annually?

A: Given details are : Present value of deposit = $2000 Time period = 1 year Interest rate = 6%  From…

Q: If you deposit $4,600 today into an account earning an annual rate of return of 14 percent, what…

A: Given information, Present value (PV) = $4,600Annual rate of return (r) = 14% or 0.14Number of…

Q: How much money will be in an account for 10 years from today if 20,000 is deposited today at a rate…

A: Following details are given in the question: Present value (Investment today) = $20000 Time period =…

Q: What's the present value, when interest rates are 8.5 percent, of a $195 payment made every year…

A: Calculation of present value:- Present value is $ 2,294.12   EXPLANATION:- Annual payment(given)…

Q: What is the future value of $700 deposited for one year earning 4 percent interest rate annually?

A: In the given question we need to compute the future value of $700 deposited today for one year at 4%…

Q: If you deposit ​$3,500 today into an account earning an annual rate of return of 11 ​percent, what…

A: Deposit today (P0) = $3,500 Annual rate of return (i) = 0.11 Period (p) = 40 years Account worth in…

Q: What’s the future value

A: The worth of today’s dollar at a future date is the future value of the dollar. For example, the…

Q: What would your investment account be worth in 23 years if you currently have $7,000 saved and plan…

A: Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only one…

Q: What is the future value of 1,000 over five years if 8% interest is paid annually ?

A: Present value is the sum of money that must be invested in order to achieve a specific future goal.…

Q: Suppose that you will receive annual payments of $10,000 for a period of 10 years. The first payment…

A: Given: Annual payments = $10,000 Interest rate = 6% Period = 10 years

Q: How much should you deposit into an account that pays 3.6% compounded monthly if you want to have…

A: The time value of money implies that the cash in hand at present has a higher value than the cash…

Q: Suppose you will receive OMR 1 each year for the 3 coming year the Interest Rate is 10% Question:…

A: Calculation of future value annuity: Answer: Future value annuity is OMR 3.31

Q: What is the maximum amount you should pay today for an investment that pays a single future cash…

A: Future cash flow (FV) = $25000 Interest rate = 2% Semi annual interest rate (r) = 2%/2 = 1% Period =…

Q: What is the present worth of a uniform series of 10 payments that begin one year from now in the…

A: Present Value is the amount of money's worth on the present day which to be received/paid in future,…

Q: What is the value of today of an investment that will pay $100 per year for 5 years. Assume first…

A: Present value of annuity is the present value of recurring cash flows with regular intervals at a…

Q: How much should be invested each year for 10 years to provide you with $8000 per year for the next…

A: Present value includes the value without interest rate and future value includes the value with…

Q: What is the present value of ​$1,000 paid at the end of each of the next 100 years if the interest…

A: Payment = p = $1000Time = t = 100 YearsInterest rate = r = 4%

Q: How much should you invest each quarter if you can earn a rate of 4.8% compounded quarterly?  How…

A: To find the payment per quarter one can use “ pmt function “ in excel. To find the total money we…

Q: What is the present value of $6,000 paid at the end of each of the next 87 years if the interes The…

A: Present value is today equivalent value of cash flows that are to be received in the future period…

Q: What is the present value of $2,000 paid at the end of each of the next 88 years if the…

A: Annual payment (P) = $ 2000 Number of annual payments (n)  = 88 Interest rate (r) = 8%

Q: Given an interest rate of 8.5% compounded annually, what is the value of the annuity that pays…

A: Interest rate (r) = 0.085Annual payment (C) = $2,000Period (n) = 10 yearsValue of the annuity = ?The…

Q: You are set to receive an annual payment of $11,000 per year for the next 16 years. Assume the…

A: An annuity is a type of security that pays a periodic amount over a period of time. When the…

Q: 4. How much will you need to invest today to receive $50,000 in 10 years, assuming an investment…

A: Given Information: Future value is $50,000 Rate is 3% compounded monthly Number of years 10

Q: How much do you have to deposit today so that beginning 11 years from now you can withdraw ​$12,000…

A: Given, Amount that can be withdrawn from years 11 to 16 is $12000 Additional amount at end of 16 th…

Q: what is the present value of a loan tbat calls for the payment of $500 per year for six years if the…

A: Present value of loan is the amount of loan which has been taken by the borrower from the lender.…

Q: What is the value of the payments today?

A: We can determine the PV of the payments using the formula below:In the formula above PMT = annual…

Q: What is the future worth of P8500 deposited every 3 months for 3 years if the interest is 10%…

A: Quarterly deposit (P) = P8500 Interest rate = 10% Quarterly interest rate (r) =…

Q: What is the present value of $1800 paid at the end of each of the next 100 years if the interest…

A: Annual Payment (P) = $1,800Number of years (n) = 100Annual interest rate (r) = 8% or 0.08We need to…

Effective Interest Rate

The term interest rate can be defined as the amount that is charged by the lender as a percentage on the principal amount. Interest rate which is charged annually is known as annual percentage rate.