Find the present value What present value amount do you need to deposit in a bank...
Find the present value
What present value amount do you need to deposit in a bank account with 2.00% annual interest rate to have $100,000.00 at the end of 20 years?
Homework Answers
We use the formula:
A=P(1+r/100)^n
where
A=future value
P=present value
r=rate of interest
n=time period.
100,000=P*(1.02)^20
P=100,000/(1.02)^20
=$67297.13(Approx).
Add Answer to:
Find the present value
What present value amount do you need to deposit in a bank...
P5.3 Present Value. Suppose you want to deposit a certain amount of money into a savings...
P5.3 Present
Value. Suppose you want to deposit a certain amount of
money into a savings account and then leave it alone to draw
interest for the next 10 years. At the end of 10 years you would
like to have $10,000 in the account. How much do you need to
deposit today tomake that happen? You can use the following
formula, which is known as the present value formula, to find
out:
P = F/(1+r)^n
The terms in the...
Visual C# Create Present Value application Application that lets you deposit a certain amount of money...
Visual C# Create Present Value application Application that lets you deposit a certain amount of money into a savings account and then leave it alone to draw interest for the next 10 years. At the end of 10 years you would like to have $10,000 in the account. How much do you need to deposit today to make that happen? You can use the following present-value formula, to find out. P =F/(1+r)^n P is the present value, or the amount...
Suppose you want to deposit a certain amount of money into a savings account and then...
Suppose you want to deposit a certain amount of money into a savings account and then leave it alone to draw interest for the next 10 years. At the end of 10 years you would like to have $10,000 in the account. How much do you need to deposit today make that happen? You can use the following formula, which is known as the present value formula, to find out: P = F / (1+ r)^n The terms in...
MUSt SHOW ALL WORK 1. (a) If you deposit $200 in the bank today, what is...
MUSt SHOW ALL WORK
1. (a) If you deposit $200 in the bank today, what is its future value at the end of three years if it is invested in an account paying 12% annual interest, assuming annual compounding? (1 point) (b) What is the present value of $200 to be received in three years if the appropriate interest rate is 12% (annual compounding)? (1 point)
You agree to deposit $500 at the beginning of each month into a bank account for...
You agree to deposit $500 at the beginning of each month into a
bank account for the next 24 months. At the end of the 24th month,
you will have $13,000 in your account. If the bank compounds
interest monthly, what annual interest rate will you have
earned?
Note: Only use the formula listed and show the steps of how you
reached the answer, I don't need to know just the answer, I'm
trying to learn. Thank you. Don't use...
1)How much money do you need to deposit into an account annually if you desire to...
1)How much money do you need to deposit into an account annually if you desire to have $9 million in 45 years. Assume a 4% annual interest rate, compounded annually. Your first deposit will occur at the end of the first year. 2) Your machine operator is becoming more productive and generates additional profit each year. You expect to receive $39,000 in profit at the end of the year, but this will increase by 8% a year for the next...
A)What is the present value of a security that will pay $45,000 in 20 years if...
A)What is the present value of a security that will pay $45,000 in 20 years if securities of equal risk pay 6% annually? Do not round intermediate calculations. Round your answer to the nearest cent. B)if you deposit $7,000 in a bank account that pays 5% interest annually, how much will be in your account after 5 years? Do not round intermediate calculations. Round your answer to the nearest cent. C)Your parents will retire in 24 years. They currently have...
What is the present value of an annuity that pays $352 at the beginning of each...
What is the present value of an annuity that pays $352 at the beginning of each year for 47 years if the annuity earns 12% annually? An account pays 2% annual interest compounded monthly. What is the effective interest rate on this account? If you deposit some money into a bank account today, to the nearest year, how long will it take to triple your deposit if it earns 11% annually? What is the present value of an annuity that...
You agree to deposit $500 at the beginning of each month into a bank account for...
You agree to deposit $500 at the beginning of each month into a
bank account for the next 24 months. At the end of the 24th month,
you will have $13,000 in your account. If the bank compounds
interest monthly, what annual interest rate will you have
earned?
Note: Please post the formula used to solve the question and
list the steps taken to reach the answer, please don't use excel. I
provided a list of formulas, please state the...
I need help on question 3. Time Value of Money Exercise: Question 1: Assume you deposit...
I need help on question 3.
Time Value of Money Exercise: Question 1: Assume you deposit $700 every three months at ercent annual rate, compounded $700 every three months at a 6 percent am much will you have at the end of 20 years? Question 2: You borrow a five-year $13.000 loan with monthly percentage rate (APR) on the loan? 3,000 loan with monthly payments of $250. What is the annual Question 3: How much would you have to invest...
P5.3 Present
Value. Suppose you want to deposit a certain amount of
money into a savings account and then leave it alone to draw
interest for the next 10 years. At the end of 10 years you would
like to have $10,000 in the account. How much do you need to
deposit today tomake that happen? You can use the following
formula, which is known as the present value formula, to find
out:
P = F/(1+r)^n
The terms in the...
MUSt SHOW ALL WORK
1. (a) If you deposit $200 in the bank today, what is its future value at the end of three years if it is invested in an account paying 12% annual interest, assuming annual compounding? (1 point) (b) What is the present value of $200 to be received in three years if the appropriate interest rate is 12% (annual compounding)? (1 point)
You agree to deposit $500 at the beginning of each month into a
bank account for the next 24 months. At the end of the 24th month,
you will have $13,000 in your account. If the bank compounds
interest monthly, what annual interest rate will you have
earned?
Note: Only use the formula listed and show the steps of how you
reached the answer, I don't need to know just the answer, I'm
trying to learn. Thank you. Don't use...
You agree to deposit $500 at the beginning of each month into a
bank account for the next 24 months. At the end of the 24th month,
you will have $13,000 in your account. If the bank compounds
interest monthly, what annual interest rate will you have
earned?
Note: Please post the formula used to solve the question and
list the steps taken to reach the answer, please don't use excel. I
provided a list of formulas, please state the...
I need help on question 3.
Time Value of Money Exercise: Question 1: Assume you deposit $700 every three months at ercent annual rate, compounded $700 every three months at a 6 percent am much will you have at the end of 20 years? Question 2: You borrow a five-year $13.000 loan with monthly percentage rate (APR) on the loan? 3,000 loan with monthly payments of $250. What is the annual Question 3: How much would you have to invest...
Most questions answered within 3 hours.
-
A 4.45 percent coupon municipal bond has 12 years left to
maturity and has a price...
asked 12 minutes ago -
13. In the book, “The Goal” to what country does Alex convince
Johnny the company should...
asked 14 minutes ago -
Write a simple Python program to find the day for the given
date. The procedure to...
asked 20 minutes ago -
5) A semi-permeable membrane is used to separate pyruvic acid
from an aqueous solution of 0.1...
asked 22 minutes ago -
The resistance of the body varies from approximately 500 kΩ
(when it is very dry) to...
asked 26 minutes ago -
Please explain how participation income and expenses are
allocated to each partner. Where is this defined?
asked 35 minutes ago -
The tires of a car make 61 revolutions as the car reduces its
speed uniformly from...
asked 51 minutes ago -
Peabody, Inc., sells fireworks. The company’s marketing director
developed the following cost of goods sold budget...
asked 55 minutes ago -
A signal transduction pathway includes the steps listed
below.
1. An inactive signal transduction molecule is...
asked 54 minutes ago -
1. The correlation coefficient determined for two variables has
a value of 0.89. Describe, in words,...
asked 1 hour ago -
The following data relate to direct materials costs for
November:
Actual costs
4,700 pounds at $5.35...
asked 59 minutes ago -
Kyle, a 95.0 kg football player, leaps straight up into the air
(with no horizontal velocity)...
asked 1 hour ago