Calculating Future Values Assume you deposit $1,000 today in an account that pays 8 percent interest. How much will you have in four years? (See Problem 2.)
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- Jenny puts $200 into a savings account today, the account pays an annual interest rate of 5%, but compounded semiannually, and you withdraw $100 after 6 months. What would your ending balance be 20 years after the initial $100 deposit was made? m Nper (or N) =n*m Rate (or I/Y)=i/m PV PMT FV Identify variables and use excelAssume you make a deposit of $7,500 now into a saving account that pays 12% per year, compounded quarterly. If you want to know the total amount after 2 years, the value of interest rate (i) you should use in the F/P factor is: Select one: а. 3% b. 4 % с. 24% d. 12 %How much do you have to deposit today so that beginning 11 years from now you can withdraw $ 15,000 a year for the next 4 years (periods 11 through 14) plus an additional amount of $ 30,000 in the last year (period 14)? Assume an interest rate of 5 percent. Question content area bottom Part 1 The amount of money you have to deposit today is $ enter your response here . (Round to the nearest cent.)
- QUESTION 1 Considering the following scenario. In years 0, 2, 4, 6, and 8, you deposit $750 in your savings account. The saving account earns 4.25% compounded anbually. What is the future value in year 10? 4,847.22 5,411.56 3,579.94 6,411.56You will deposit $30,000 per year into an account beginning today that pays 13 percent per year. How long (in years) would it take for you want have a total of $1,000,000 at retirement? m Nper (or N) =n*m Rate (or I/Y)=i/m PV PMT FV Identify variables and use excel● Question 1 John is 25 years old and wants to have 1 million dollars in savings by the time he retires at 65. He plans to open a savings account that pays 4% Interest compounded quarterly and he will be making quarterly deposits of $250 Into the account. John will need to make an initial deposit of s Time Value of Money Solver Enter the given values. N:= 0 Number of Payment Periods 0 1:% Annual Interest Rate as a Percent PV: Present Value PMT: Payment 0 0 FV: Future Value P/Y: 12 Payments per Year 0 OM Solve Solve Solve Solve Solve to reach his goal of 1 million hp
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- Quantitative Problem 1: You plan to deposit $2,300 per year for 5 years into a money market account with an annual return of 2%. You plan to make your first deposit one year from today. What amount will be in your account at the end of 5 years? Do not round intermediate calculations. Round your answer to the nearest cent. $ Assume that your deposits will begin today. What amount will be in your account after 5 years? Do not round intermediate calculations. Round your answer to the nearest cent. $What will be the value of your saving in 4 years with an interest rate of 10% if you invest $120 today, $220 in two years and withdraw $60 in year 4? Select one: a.$441.88 b.$259.08 c.$381.89 d.$541.02Assume you make monthly deposits of $3,000 now into an account that pays 12% per year, compounded monthly. If you want to know the total amount after 2 years, the value of interest rate (i) you should use in the F/P factor is: Select one: a. 1% b. 3% с. 12% d. 24%