You are interviewing for a job and receive two offers: A: $34,000 to start, with guaranteed annual increases of 5% for...
Suppose that you have a money market certificate earning an annual rate of interest, which varies over time as follows: - Yeark 1 7% 2 5% 3 4% 4 4% 5 6% If you invest $9,000 in this certificate at the beginning of year one and do not add or withdraw any money for five years, what is the value of the certificate at the end of the fifth year? The value of the certificate at the end of the...
Use these factors to answer questions n i PV$ 1 FV$1 PVA FVA 4 7% 0.76290 1.31080 3.38721 4.4399 6 6% 0.70496 1.41852 4.91732 6.9753 72 0.50% 0.69830 1.43204 60.33951 86.4089 1. You want to have $37,000 at the end of 6 years to buy a new car. How much should you save each month to achieve your goal if you can earn 6%? $_ _(round to nearest dollar) 2. You want to buy a $37,000 car today and will...
Chapter 8 In class assignment- submitted in Canvas Use these factors to answer questions n i PV$1 FV$1 PVA FVA 3 5% 0.86384 1.15763 2.72325 3.1525 5 6% 0.74726 1.33823 4.21236 5.6371 60 0.50% 0.74137 1.34885 51.72556 69.7700 You want to have $30,000 at the end of 5 years for a down payment on a house. How much should you save each month to achieve your goal if you can earn 6%? $______ (round to nearest dollar) You want to buy...
Use the following information: Annual cash inflows that will arise from two competing investment projects are given below: Investment Year A B 1 $4,000 $16,000 2 $8,000 $12,000 3 $12,000 $8,000 4 $16,000 $4,000 Total $40,000 $40,000 Each investment project will require the same investment outlay. The discount rate is 16% Compute the present value of the cash inflows for Investment A. (Round to nearest dollar) Compute the present value of the cash inflows for Investment B. (Round to nearest...
Question Help Suppose that you earned a bachelor's degree and a. After 5 years, you will have approximately $. now you're teaching high school. The school district (Do not round until the final answer. Then round to offers teachers the opportunity to take a year off to the nearest dollar as needed.) earn a master's degree. To achieve this goal, you deposit $4000 at the end of each year in an annuity b. The interest is approximately $ that pays...
When you start your first job after graduating from Ohio State on January 1st, 2023, you saved a portion of your salary in your company's 401k savings plan. Your salary is $60,000 annually, of which you put 10% in the savings plan at the end of each year. (In reality, a portion is saved from each paycheck, but we will use annual deposits for simplicity.) Assume the savings plan earns 4% interest annually. Now it is four years later, January...
please answer these within aboit 30-50 min thank you! QUESTION 3 Incorrect Mark 0.00 out of 1.00 P Flag question Future Value Computation You deposit $3,000 at the end of every year for three years. How much will accumulate in three years if you earn 8% compounded annually? Use Excel or a financial calculator for computation. Round your answer to the nearest dollar. $ 10,518 Check QUESTION 4 Not complete Marked out of 1.00 P Flag question Present Value Computation...
Consider the two savings plans below. Compare the balances in each plan after 6 years Which person deposited more money in the plan? Which of the two investment strategies is better? Yolanda deposits $550 per month in an account with an APR of 3%, while Zach deposits $7000 at the end of each year in an account with an APR of 3.5% The balance in Yolanda's saving plan after 6 years was $ (Round the final answer to the nearest...
if you depoiled S100ow r-O) and S200 t years from now n.2 ín a savings account that pays 10% annual interest, how much would you have at the end of year 10? Cick the icon to view the interest factors for discrete compounding when 10% per year. You would have at the end d year 10. (Round to the nearest dolar) have the alternative of receiving elther $22,000 at the end of tive years or P dollars today Currendy, you...
13/03/2017 Project on Mathematics of Finance (Chapter 5). 10. A woman is selling some land, and she will be paid a lump sum of $80,000 in 14 years. Until then, the buyer pays 9% simple interest quarterly. (a) Find the amount of each quarterly interest payment. (b) The buyer sets up a sinking fund so that enough money will be present to pay off the $80,000. The buyer wants to make semiannual payments into the sinking fund, the account pays...