MC algo 5-20 Calculating Present Values Your bank will pay you an interest rate of 157...

Question

Question

Answer 1

Answer #1

Future Value Required = $28,000

Interest Rate = 0.157% compounded weekly

Time Period = 9 years

Present Value = Future Value/(1 + r)ⁿ

Present Value = 28,000(1 + 0.00157)^52*9

Present Value = $13,437.12

Answer 2

Similar Homework Help Questions

Your bank will pay you an interest rate of .077 percent compounded weekly. You want to...

Your bank will pay you an interest rate of .077 percent compounded weekly. You want to have $20,000 in 6 years. How much will you have to deposit today? Assume 52 weeks per year.
Your bank will pay you an interest rate of .137 percent compounded weekly. You want to...

Your bank will pay you an interest rate of .137 percent compounded weekly. You want to have $26,000 in 8 years. How much will you have to deposit today? Assume 52 weeks per year. $14,906.72 $24,213.38 $15,037.48 $14,992.67 $14,710.57
MC algo 4-17 Calculating Present Values You want to have $86,000 in 18 years to help...

MC algo 4-17 Calculating Present Values You want to have $86,000 in 18 years to help your child attend college. If you can earn an annual interest rate of 4.2 percent, how much will you have to deposit today? Multiple Choice $20,376.44 $41,009.03 $35,734.78 $39,356.08 $37,623.41

Your bank will pay you an interest rate of .112 percent per week. you want to...

Your bank will pay you an interest rate of .112 percent per week. you want to have $23,500 in 8 years. How much will you have to deposit today? Assume 52 weeks per year.
Your bank will pay you an interest rate of .127 percent per week. You want to...

Your bank will pay you an interest rate of .127 percent per week. You want to have $25,000 in 6 years. How much will you have to deposit today? Assume 52 weeks per year.
help!!! Your bank will pay you an interest rate of .097 percent per week. You want...

help!!! Your bank will pay you an interest rate of .097 percent per week. You want to have $22,000 in 10 years. How much will you have to deposit today? Assume 52 weeks per year Multiple Choice $13,465.52 $13,583.64 $13,449.62 $13.288.34 $20.918.35 A project will generate annual cash flows of $237,600 for each of the next three years, and a cash flow of $274,800 during the fourth yoar. The initial cost of the project is $763,600. What is the internal...

MC algo 5-53 Calculating Annuity Due Present Values You have just leased a car that has monthly payments of $390 for th...

MC algo 5-53 Calculating Annuity Due Present Values You have just leased a car that has monthly payments of $390 for the next 3 years with the first payment due today. If the APR is 7.44 percent compounded monthly, what is the value of the payments today? Multiple Choice O $12,183.73 O SMA7873 $11,478.73 O $12,548.80 O $12,626.60 O $13,090.20
MC algo 4-8 Calculating Future Values You are going to deposit $3,300 in an account that...

MC algo 4-8 Calculating Future Values You are going to deposit $3,300 in an account that pays.39 percent interest compounded monthly. How much will you have in 9 years? Multiple Choice Ο $5,043.98 Ο $4,980.67 Ο $5,029.41 Ο Ο $5.02439 Ο Ο S5,004.87
MC algo 5-41 Calculating Annuity Interest Rates You want to have $3 million when you retire...

MC algo 5-41 Calculating Annuity Interest Rates You want to have $3 million when you retire in 38 years. You feel that you can save $670 per month until you retire. What APR do you have to earn in order to achieve your goal? Multiple Choice 10.56% 8.77% 10.86% 10.10% 9.50%

1. You are going to deposit $3,400 in an account that pays .40 percent interest compounded...

1. You are going to deposit $3,400 in an account that pays .40 percent interest compounded monthly. How much will you have in 5 years? a. $4,320.18 b. $4,337.46 c. $4,298.19 d. $4,324.50 e. $4,302.97 2. Your bank will pay you an interest rate of .102 percent per week. You want to have $22,500 in 10 years. How much will you have to deposit today? Assume 52 weeks per year. a. $13,418.45 b. $13,419.42 c. $13,536.16 d. $21,338.27 e. $13,241.89...