(20 pts) A woman decides to put a lump sum of money into a certified deposit...

Question

Question

Answer 1

Answer #1

total months = 3 * 12 = 36 months

i = 0.75% per month

F = P *(1+i)^t

P = 2800 / (1+0.0075)^36

= 2800 / (1.0075)^36

= 2800 / 1.308645

= 2139.62

CFD

2800 i 0.75% per month 2140 deposited for 36 months

Answer 2

Similar Homework Help Questions

(20 pts) A woman decides to put a lump sum of money into a certified deposit...

(20 pts) A woman decides to put a lump sum of money into a certified deposit for 3 years earning a monthly interest rate of 0.75%. She wants to have $2,800 to go on a cruise through the Mediterranean. How much money does she need to put into the certified deposit? (10 pts) Draw the cash flow diagram. b) (10 pts) What is the amount of money deposited initially?
A woman decides to put a lump sum of money into a certified deposit for 3...

A woman decides to put a lump sum of money into a certified deposit for 3 years earning a monthly interest rate of 0.75%. She wants to have $2,800 to go on a cruise through the Mediterranean. How much money does she need to put into the certified deposit? b) Draw the cash flow diagram. b) What is the amount of money deposited initially? Please show all work in legible writing, thank you
Please show all work in legible writing, thank you A woman decides to put a lump...

Please show all work in legible writing, thank you A woman decides to put a lump sum of money into a certified deposit for 3 years earning a monthly interest rate of 0.75%. She wants to have $2,800 to go on a cruise through the Mediterranean. How much money does she need to put into the certified deposit? b) Draw the cash flow diagram. b) What is the amount of money deposited initially?

help plz 4) (20 pts) A man decides to put a lump sum of money into a certified deposit for 5 years earning a monthly...

help plz 4) (20 pts) A man decides to put a lump sum of money into a certified deposit for 5 years earning a monthly interest rate of 0.50%. He wants to have $4,000 to go on a vacation to Spain. How much money does he need to put into the certified deposit? (10 pts) Draw the cash flow diagram. Negative money is out of your pocket. a) b) (10 pts) What is the amount of money deposited initially?
(30 pts) A couple wants to have $80,000 for their daughter to go to college in...

(30 pts) A couple wants to have $80,000 for their daughter to go to college in 15 years from now. How much money should they put in the bank monthly, if they are getting 6% annual interest compounded monthly? (10 pts) Draw the cash flow diagram. b) (20 pts) What should be the amount of uniform deposit done monthly?
2) (30 pts) A couple wants to have $80,000 for their daughter to go to college...

2) (30 pts) A couple wants to have $80,000 for their daughter to go to college in 15 years from now. How much money should they put in the bank monthly, if they are getting 6% annual interest compounded monthly a) (10 pts) Draw the cash flow diagram. b) (20 pts) What should be the amount of uniform deposit done monthly?

help plz 2) (30 pts) A couple wants to have $1,200,000 for retirement in 30 years...

help plz 2) (30 pts) A couple wants to have $1,200,000 for retirement in 30 years from now. How much money should they put in the bank monthly, if they are getting 4% annual interest compounded monthly? a) (10 pts) Draw the cash flow diagram. Negative money is out of your pocket. b) (20 pts) What should be the amount of uniform deposit done monthly?
Please show all work in legible writing, thank you A couple wants to have $80,000 for their daughter to go to college i...

Please show all work in legible writing, thank you A couple wants to have $80,000 for their daughter to go to college in 15 years from now. How much money should they put in the bank monthly, if they are getting 6% annual interest compounded monthly? Draw the cash flow diagram a) b) What should be the amount of uniform deposit done monthly?
help plz 3) (30 pts) A Mother wanted to provide her daughter with a college education...

help plz 3) (30 pts) A Mother wanted to provide her daughter with a college education so every monthly paycheck she put $200 into the bank. If the bank was giving her 6% annual interest, how much money will the daughter have towards college after 18 years of working? a) (10 pts). Draw the cash flow diagram. Negative money is out of your pocket. b) (20 pts) What will be the future amount of money in her college account?

A young man followed the advice of his Dad and started saving some money directly from...

A young man followed the advice of his Dad and started saving some money directly from every monthly paycheck where he put $175 into the bank. If the bank was giving him 4% annual interest, how much money will the young man have after 40 years of working? (10 pts) Draw the cash flow diagram. b) (20 pts) What will be the future amount of money in his bank account?