You have $5,000 on a credit card that charges a 23% interest rate. If you want to pay off the credit card in 4 years, how much will need to pay each month (assuming you don't charge anything new to the card)? you

Q: How much money would you need to deposit today at 8% annual interest compounded monthly to have…

A: Given  Rate of interest = 8% per year compounded monthly. Future value of money =$20000 Time = 5…

Q: eBook A father is now planning a savings program to put his daughter through college. She is 13,…

A: Average rate of inflation is 5% annually. So if she enrolls in a 4 year program after 5 years, total…

Q: With an interest rate of 7%, how much money can be lent now if $15,000 will be repaid at the end of…

A: Interest rate (r) = 7% or 0.07 Accumulated amount (A) = $15000 Time period (n) = 5

Q: An 8-year annuity due has a future value of $1,000. If the interest rate is 5%, what is the amount…

A: An annuity is a contract between you and an insurance company in which you make a lump-sum payment…

Q: If you want to withdraw $20,000 at the end of 2 years and $55,000 at the end of 4 years, how much…

A: Withdraw: It means to take out money from the account.

Q: 3. Determine the present worth of an annuity consisting of 14 quarterly payments each S1000, the…

A: The annuity is the series of equal payment of money which has equal gap in periods . Ordinary…

Q: If you deposit $2,042 today in a savings account that pays 8% interest annually, how much would you…

A: Given: Principal (P) = $2042 Interest rate (R) = 8% annually Time (T) = 5 years

Q: You have 100 pesos a month you can deposit into an account earning 3.9% APR, compounded monthly. How…

A: The value of an asset at a future date is termed  as future value. It calculates the nominal future…

Q: 1- How much can you afford to spend now on an Alarm Fire system if it will save you $21,300 per year…

A: The value that depicts the expected stream of income that is being determined on the date of…

Q: If a company's annual discount rate is 10% how much money would you need in 4 years to be equivalent…

A: Present Value=FV(1+r)N    where, Present Value = $1000 r = discount rate = 10% = 0.10 FV = Future…

Q: Find the present value of an annuity of 2,000 payable at the end of each year for 10 years, if the…

A: * SOLUTION :-  *(3) :- Given that,  Annual payment per year (C)= 2000 Interest rate (r) = 4% = 0.04…

Q: Henry plans to purchase a house in 5 years. He needs $30,000 for a down payment.. If he can ean 6%…

A: A down payment is a sum of money that a buyer pays in the early stages of purchasing an expensive…

Q: At 2% interest rate, how much should you invest today to be able to withdraw 2,958 annually for 5…

A: Given that, Future value ( Fv)= 2958 Interest rate  (r)= 2% or 0.02 The total number of years (n) =…

Q: At what simple interest rate must ₱100,000 be invested so as to gain an interest of ₱10,000 after 5…

A: We have given that  Total simple interest after 5 years =10,000 Deposited amount or principal amount…

Q: If $700 is invested at 11% simple interest, calculate its value after 8 years.

A: Below is the given values: Invested money = $700 Simple interest = 11% Time = 8 years

Q: You would like to buy a new car 10 years from today. The car will cost you at that time JD30800. You…

A: Saving means income is not spent or save for the future in order to consume more in the future. It…

Q: If you wish to have $800 in a savings account at the end of 4 years, and 5% interest will be paid…

A: The rate of interest is the opportunity cost of holding money.

Q: If you borrow $12,000 at 20% interest rate for 5 years, what is your ordinary simple interest in…

A: Simple Interest refers to the money that is paid only on principal. Principal is the money that is…

Q: A car may be purchased with a $3500 down payment now and 72 monthly payments of $480. If the…

A: It is given that the down payment amount for the car is equal to $3,500. The Equated monthly…

Q: 2. What is the monthly payment for a loan of 100,000 over 5 years nominal interest rate is 12%…

A: Loan amount = $ 100,000 Tenure = 5 years = 5 × 12 months = 60 months Interest rate = 12% (compounded…

Q: You have borrowed $10,000 from a bank with the understanding that you will pay it off with a lump…

A: The future value of loan = $12000 Present value of loan = $10000 Time period (n) = 2 years

Q: Sam has the option of purchasing a car for $30,000 or leasing it for a $375 payment made at the…

A: Given: Sam purchased a car for = $30,000 Leases it for = $375 per month Time period = 4 years The…

Q: If you deposit dollar 10000 into a fund paying 6% interest compounded monthly. how much can you…

A: Given the present value in the fund = 10000 Interest rate = 6% Monthly interest rate = 6%/12 = 0.5%…

Q: - How long will it take money to quadruple if it earns 7% compounded semi-annually?

A: Given: Interest rate compounded semi annually=7% To find: Number of years for money to quadruple

Q: An employee wants to retire and receive P5000 a month. She wants to pass this monthly payment to…

A: Given, Monthly payments = P 5,000   Interest rate = 8% compounded annually

Q: Wou decide to place all your savings of $1,234 into a fund that has a modest annual interest rate of…

A: An annual percentage rate is expressed as an interest rate. It calculates what percentage of the…

Q: What is value of $475 at interest rate of 3.7% after 15 years?

A: The data presented in the question above is:- Principal amount = $475 Interest rate = 3.7%  Time…

Q: 3-17 You are planning to withdraw $100 in Year 1, $150 in Year 3, and $200 in Year 5. At a 5%…

A: Given:Year=1, FV=$100Year=3, FV=$150Year=5, FV=$200i=5%

Q: Mr. Deere just purchased a new riding lawn mower. The first year maintenance is free. His…

A: The interest rate acts as a discount rate, in order to account for the time value of money. Any…

Q: You are 65 years old and about to retire. You have $100,000 saved in a retirement account and would…

A: Period cash flows depict a series of flows of cash in which equal amounts tend to happen at periodic…

Q: Michelle borrows 5,000 for 6 years at 8% rate. At the end of 6 years, she decided to renew the loan…

A: Lump sum refers to when the entire payment is made at once instead of in the form of continuous…

Q: Assume that you save 10,000USD on the 1st day of every month.   Under the monthly 7% compound…

A: The balance on the first day of the 7th month can be calculated by the following formula. Amount =…

Q: We know that a certain piece of equipment will cost $275,000 in 6 years. How much must be deposited…

A: Answer - Given in the question - Cost = $275,000  t =6 years  interest rate = 8% Need to find -…

Q: If your grandfather had deposited the money with a monthly interest of 1% instead of 12% per year,…

A: Effective annual rate (EAR) = [1 + (r / m)]m - 1, where r: Stated annual nominal rate and m: Number…

Q: The president of a growing firm wishes to give each of 13 employees a holiday bonus. How much is…

A: Given No of employees = 13 Future bonus value of each employess = 1000 Total future bonus = 1000 *…

Q: A bonus package pays an employee S500 at the end of the 1* year, $1,000 at the end of 2nd year, and…

A: here we calculate the present worth of the employee by using the given information , so the…

Q: How much money would you need to deposit today at 9% annual interest compounded monthly to have…

A: Correct : A. $7007

Q: 3 A sum of $6000 is invested at an interest rate of 7% per year. Find the time required forthe Money…

A: The compound interest rate is the increase of the interest rate in the real amount of the loan or…

Q: How much interest would Princess Ybañez will be paid each year on a loan of $2000 at an annual…

A: Simple Interest refers to the interest rate that is determined by multiplying the interest rate by…

Q: Question 3 Edward takes out today a loan of $150,000.00 from a local Bank at 8% Simple Interest for…

A: Simple interest is a method of calculating the interest that is charged on a given amount of loan…

Q: 4. An engineering consultant wants to withdraw $16,000 per year for each of the next 10 years to…

A: Answer: The following formula to find the present value that will be deposited is given below:…

Q: In how much time, if I deposit B / .800.00 they are equivalent to B / .6,000.00, with 15% interest

A: The formula which is used in excel shown below image

Q: $20,000 is invested for 9 months at an annual simple interest rate of 2%. (a) How much interest…

A: The simple interest formula is as below: S.I=C.i.nwhere S.I=amount of simple…

Q: Mr. Ahmed deposited $200,000 in the Old Third National Bank. If the bank pays 3% interest, how much…

A: Given information Initial deposit=$200,000 r= 3% n=10 Future values are the compounded value of the…

Q: In an account earning 8% nominal interest compounded bimonthly, How much should be deposited now to…

A: The data presented in the question above is:- Amount = $9052  Interest = 8%  This interest rate is…

Q: A friend lends you $280 for a week, which you agree to repay with 5% one-time interest. How much…

A: Given question is related to interest rate

Q: 5. For an interest rate of 8% compounded annually, find: a. How much can be loaned now if $5,000…

A: here we calculate the present value of the loan by using the amount of loan given at end of 5 year…

Q: A man borrowed 1000$for 6 years. He pays 6% per year, compounded quarterly. How much he should pay…

A: The interest earned on the principal can be both simple and compound interest. The amount after…