Carol Travis started a paper route on January 1, 2020. Every three months, she deposits $1,050 in her bank account, which earns 8 percent annually but is compounded quarterly. On December 31, 2023, she used the entire balance in her bank account to invest in a contract that pays 6 percent annually. How much will she have on December 31, 2026? (Use a Financial calculator to arrive at the answer. Round "FV Factor" to 3 decimal places. Round your intermediate and final answer to the nearest whole dollar.) Future value www.
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- Samuel Ames owes 20,000 to a friend. He wants to know how much he would have to pay if he paid the debt in 3 annual installments at the end of each year, which would include interest at 14%. Draw a time line for the problem. Indicate what table to use. Look up the table value and place it in a brief formula. Solve.Kai Chang made a $4,400 deposit in her savings account on her 21st birthday, and she has made another $4,400 deposit on every birthday since then. Her account earns 7 percent compounded annually. How much will she have in the account after she makes the deposit on her 32nd birthday? Use Appendix C for an approximate answer, but calculate your final answer using the formula and financial calculator methods. Note: Do not round intermediate calculations. Round your final answer to 2 decimal places. Future valueKai Chang made a $2,400 deposit in her savings account on her 21st birthday, and she has made another $2,400 deposit on every birthday since then. Her account earns 9 percent compounded annually. How much will she have in the account after she makes the deposit on her 32nd birthday? Use Appendix C for an approximate answer, but calculate your final answer using the formula and financial calculator methods. Note: Do not round intermediate calculations. Round your final
- Trina opened a deposit account on December 1, 2016 with a deposit of $5 000. She added $2000.00 on September 1 2018 and will add $ 6000 on December 1, 2023. How much will be in the account on June 1, 2024 if the deposit earns 12% compounded monthly?Every year, on 1st January, starting in 2020 and ending in 2049 (so 30 payments), you deposit $1,000 into a bank account. What rate of return would you need to earn on the account so that on 31st December 2049, just after that year's interest was paid into the account, you had $50,000 in the account?1. Q. Susan is a university student who was gifted a $3000 check upon graduating high school in June 2018. In January 2019, she decided to invest her money in a mutual fund earning an annual interest rate 6%, compounding quarterly. Assume the end-of-month convention. a. How much money did Susan loose by waiting until January 2019 to invest her money? b. If Eden made additional investments of $225 every quarter (starting at the end of March 2019), how much would the account be worth at the end of March 2022? C. Suppose that Susan decided to withdraw 2 equal amounts, one at the end of April and one at the end of May in 2022 and remain with exactly $3000 in her account. What would be the amount of each withdrawal? Note: this answer should consider the additional quarterly investments of $225. d. Suppose that Susan decided to purchase a used car for herself in the amount of $10,000, upon graduating from WSU (at the end of June 2022). Given her existing investment plan (considering the…
- To prepare for his retirement in 13 years, Tekla deposited 10,000 in an account paying 9%. Nine years after, he deposited another 10,000. How much will be available at his retirement?* Find the simple interest earned in an account where 5,000 is on deposit from March 14, 2020 to your birthday next year at 5%. Write your birthday. Use all methods discussed.* For what rate it is possible for a deposit of 40,000 to earn 8,400 in simple interest if the money is to be left on deposit for 5½ years?* Find the principal necessary to earn 500 in simple interest if the money is to be left on deposit for 5 years and earns (A) 8.5%; (B) 8%; (c) 7.5%.* Michelle signs a note for 2,000 due in 9 months at 3%. Three months after the note is signed, the holder of the note sells it to Donita who charges 3.5%. How much does the holder receive?* Tekla owes 100 due in 5 months and 700 due in 9 months. What single payment in 6 months will discharge these obligations if the settlement is based on an interest…1. Q. Susan is a university student who was gifted a $3000 check upon graduating high school in June 2018. In January 2019, she decided to invest her money in a mutual fund earning an annual interest rate 6%, compounding quarterly. Assume the end-of-month convention. a. How much money did Susan loose by waiting until January 2019 to invest her money? b. If Eden made additional investments of $225 every quarter (starting at the end of March 2019), how much would the account be worth at the end of March 2022?At the time of her grandson's birth, a grandmother deposits $4000 in an account that pays 4% compounded monthly. What will be the value of the account at the child's twenty-first birthday, assuming that no other deposits or withdrawals are made during this period? Click the icon to view some finance formulas. The value of the account will be $ (Round to the nearest dollar as needed.) Formulas In the provided formulas, A is the balance in the account after t years, P is the principal investment, r is the annual interest rate in decimal form, n is the number of compounding periods per year, and Y is the investment's effective annual yield in decimal form. nt A=P(1+1) " P= A (₁.3⁰² Print A=Pet Y Done -1
- John Rider wants to accumulate $100,000 to be used for his daughter’s college education. He would like to have the amount available on December 31, 2021. Assume that the funds will accumulate in a certificate of deposit paying 8% interest compounded annually. Required: Answer each of the following independent questions. 1. If John were to deposit a single amount, how much would he have to invest on December 31, 2016? 2. If John were to make five equal deposits on each December 31, beginning on December 31, 2017, what is the required amount of each deposit? 3. If John were to make five equal deposits on each December 31, beginning on December 31, 2016, what is the required amount of each deposit?In january 2014, bobby deposited $750 of his birthday money into a savings account earning 4.03% interest compounded bimonthly. if there are no other deposits or withdrawals from the account, find the total interest earned by the end of 2024.Dave borrowed $1,300 on January 1, 2022. The bank charged him a $5.00 service charge, and interest was $78.20. If Dave paid the $1,300 in 12 equal monthly payments, what was the APR?