Question

6. Suppose a family is depositing money into a bank account continuously at the rate of about $10,000 per year, and the accou

0 0
Add a comment Improve this question Transcribed image text
Answer #1

6) A money Ln accouo cifto tyearu . A 10000 + .04- ALt) ; A(=23,000 Reu t Incuari of A LE) por yeaJ Money tepori te.d Per yea

Add a comment
Know the answer?
Add Answer to:
6. Suppose a family is depositing money into a bank account continuously at the rate of...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • (11) An account with an annual interest rate of 3% is opened and some amount of money is deposite...

    (11) An account with an annual interest rate of 3% is opened and some amount of money is deposited today. Assuming no Further transactions (withdrawals or deposits) on the account, how much should the initial deposit be so that the account has $500 16 months from now if interest is compounded (a) annually? (2 points) (b) monthly? (2 points) (c) quarterly? (4 points) (d) continuously? (2 points) Also, provide the ANNUAL yield in all parts. (11) An account with an...

  • Problem 1- Saving Money You want to deposit money into a bank account that pays 1.5%...

    Problem 1- Saving Money You want to deposit money into a bank account that pays 1.5% compounded monthly. Answer the following questions: f depositing $4000, how much is avaiable in the account at the end of S years? .How much do you have to deposit now in order to have $5000 available at the end of 5 years? Instead of depositing one sum of money at the beginning of the 5-year period, suppose you wish to make monthly payments. How...

  • Suppose you deposit 4859 today in a savings account that earns an annual interest rate of...

    Suppose you deposit 4859 today in a savings account that earns an annual interest rate of 4.53% which is compounded annually. Assuming no withdrawals, how much would you have at the end of 8 years?

  • (1 point) A bank account earns 11 percent interest compounded continuously. At what (constant, continuous) rate...

    (1 point) A bank account earns 11 percent interest compounded continuously. At what (constant, continuous) rate must a parent deposit money into such an account in order to save 100000 dollars in 13 years for a child's college expenses? rate = (dollars/year) If the parent decides instead to deposit a lump sum now in order to attain the goal of 100000 dollars in 13 years, how much must be deposited now? amount = (dollars)

  • Suppose a bank offers a savings account with the interest rate of 6% compounded annually. If...

    Suppose a bank offers a savings account with the interest rate of 6% compounded annually. If you deposit $100, how long does it take to triple your money if you do not withdraw any from your account?

  • A continuous annuity is a steady stream of money that is paid out, for example, by...

    A continuous annuity is a steady stream of money that is paid out, for example, by making an initial deposit in an account and then making steady withdrawals to pay the annuity. Suppose that an initial deposit of $3600 is made into an account that earns 6% interest compounded continuously, and immediately continuous withdrawals are begun at the rate of $200 per year.   a.) Set up the differential equation that is satisfied by the amount f(t) of money in the...

  • 8) You invest in a bank account which pays 6 percent compounded continuously. You withdraw money...

    8) You invest in a bank account which pays 6 percent compounded continuously. You withdraw money continuously at a rate of $4000 per month. Let B be the balance in dollars and t be time in years. Suppose you initially start with $300000. 8a) (10 points) Set up a differential equation for this situation. Include the initial condition. Do NOT solve. 8b) (8 points) Find the equilibrium for your differential equation. Is it stable or unstable?

  • Dewey plans on depositing $1200 every year into a bank account that earns a 4% APR...

    Dewey plans on depositing $1200 every year into a bank account that earns a 4% APR until he's 65, he is currently 25. What would be the total amount of money he deposited, balance at age 65 using the TVM solver, and how much interest would he have earned? N= I%= PV= PMT= FV= P/Y= C/Y= PMT: End    Balance:_______

  • Answer in Excel If I deposit $8,000 in a bank account that pays interest of 1.5%,...

    Answer in Excel If I deposit $8,000 in a bank account that pays interest of 1.5%, compounded annually, how much will I have in the account after 10 years? If I deposit $8,000 in a bank account that pays simple interest of 1.5%, how much will I have in the account after 10 years? How would you explain the difference in the answers to the foregoing two problems, given that both banks pay interest at the same rate? Be specific....

  • Question 15 O Mark this question Suppose an account pays 6% interest that is compounded annually....

    Question 15 O Mark this question Suppose an account pays 6% interest that is compounded annually. At the beginning of each year, $2,000 is deposited into the account (starting with $2,000 for the first year) What is the value of the account after the tenth deposit if no withdrawals or additional deposits are made? 0 $21,200.00 O $26,361.59 O $23,581.70 O $35,816.95 Suppose $15,000 is deposited into an account paying 6.5% interest, which is compounded annually. How much money is...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT