Ans for No 3)
Given that Monthly deposits- $62.50
Time- 3 years
End of the 4th year $2550 was drawn.
Assuming interest made once in a year= 10%
1st year; Cash Inflows
Jan | (62.5*1) | 62.5 | |
Feb | 62.5*2 | 125 | |
Mar | 62.50*3 | 187.5 | |
April | 62.50*4 | 250 | |
May | 62.50*5 | 312.5 | |
June | 62.50*6 | 375 | |
July | 62.50*7 | 437.5 | |
August | 62.50*8 | 500 | |
Sep | 62.50*9 | 562.5 | |
Oct | 62.50*10 | 625 | |
Nov | 62.50*11 | 687.5 | |
Dec | 62.50*12 | 750 | |
Interest 10% | 750*10%=75 | 750+75 |
825 |
2nd Year; Cash Inflows
Jan | 825+62.5 | 887.5 | |
Feb | 825+62.5*2 | 950 | |
Mar | 825+62.5*3 | 1012.5 | |
April | 825+62.5*4 | 1075 | |
May | 825+62.5*5 | 1137.5 | |
June | 825+62.5*6 | 1200 | |
July | 825+62.5*7 | 1262.5 | |
August | 825+62.5*8 | 1325 | |
Sep | 825+62.5*9 | 1387.5 | |
Oct | 825+62.5*10 | 1450 | |
Nov | 825+62.5*11 | 1512.5 | |
Dec | 825+62.5*12 | 1575 | |
Interest 10% | 1575*10%=157.5 | 1575+157.5 | 1732.5 |
In 3rd Year; Cash Inflows
Jan | 1732.5+62.5 | 1795 | |
Feb | 1732.5+62.5*2 | 1857.5 | |
Mar | 1732.5+62.5*3 | 1920 | |
April | 1732.5+62.5*4 | 1982.5 | |
May | 1732.5+62.5*5 | 2045 | |
June | 1732.5+62.5*6 | 2107.5 | |
July | 1732.5+62.5*7 | 2170 | |
August | 1732.5+62.5*8 | 2232.5 | |
Sep | 1732.5+62.5*9 | 2295 | |
Oct | 1732.5+62.5*10 | 2357.5 | |
Nov | 1732.5+62.5*11 | 2420 | |
Dec | 1732.5+62.5*12 | 2482.5 | |
Interest 10% | 2482.5*10%=248.25 | 2482.5+248.25 | 2730.75 |
In 4th year;
There were no installments;
therefore Total amount with Interest 10% at the end of 4th year= 2730.75+ 2730.75*10%=3003.825
Less; amount withdrawn - 2550 (Cash Outflow)
Amount remaining- 3003.825-2550=453.825
Note; As HOMEWORKLIB RULES mandatory guidelines answering the first full question
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