Samuel David wants to make 5 equal annual withdrawals of $8,000 from a fund that will earn interest at 10% compounded annually. Required: How much would Samuel have to invest on: January 1, 2019, if the first withdrawal is made on January 1, 2019?
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Samuel David wants to make 5 equal annual withdrawals of $8,000 from a fund that will earn interest at 10% compounded annually.
Required:
How much would Samuel have to invest on: January 1, 2019, if the first withdrawal is made on January 1, 2019?
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- Amount of an Annuity John Goodheart wishes to provide for 6 annual withdrawals of 3,000 each beginning January 1, 2029. He wishes to make 10 annual deposits beginning January 1, 2019, with the last deposit to be made on January 1, 2028. Required: If the fund earns interest compounded annually at 10%, how much is each of the 10 deposits?If 90,000 is invested in a fund on December 31, 2019, and 5 equal annual withdrawals of 23,138.32 are made starting on December 31, 2020, that will deplete the fund, what is the interest rate being earned if interest is compounded annually?Determining Loan Repayments Jerry Rockness needs 40,000 to pay off a loan due on December 31, 2028. His plans included the making of 10 annual deposits beginning on December 31, 2019, in accumulating a fund to pay off the loan. Without making a precise calculation, Jerry made 3 annual deposits of 4,000 each on December 31, 2019, 2020, and 2021, which have been earning interest at 10% compounded annually. Required: What is the equal amount of each of the next 7 deposits for the period December 31, 2022, to December 31, 2028, to reach the fund objective, assuming that the fund will continue to earn interest at 10% compounded annually?
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- Today is 1/7/2021, John plans to deposit $500 at the beginning of each month into an investment fund. The first deposit will be deposited today. John predicts that the return rate of this fund will be j2=3.59% from 1/7/2021 to 30/9/2021 and j2=3.93% from 1/10/2021 to 31/12/2021. What will be balance amount of this account on 31/12/2021? Round your answer to three decimal places. Question Answer a. 3034.806 b. 3032.925 c. 3033.446 d. 3033.714Santoz borrowed $225,000 on March 1, 2021. This amount plus accrued interest at 12% compounded semiannually is to be repaid March 1, 2031. To retire this debt, Santoz plans to contribute to a debt retirement fund five equal amounts starting on March 1, 2026, and for the next 4 years. The fund is expected to earn 10% per annum. Required: How much must be contributed each year by Santoz to provide a fund sufficient to retire the debt on March 1, 2031? Please give your explanation!Today is 1/7/2021, John plans to deposit $500 at the beginning of each month into an investment fund. The first deposit will be deposited today. John predicts that the return rate of this fund will be j 2 = 3.2% from 1/7/2021 to 30/9/2021 and j2 = 4.83% from 1/10/2021 to 31/12/2021. What will be balance amount of this account on 31/12/2021? Round your answer to three decimal places.Question 11 Answer a. 3037.527 b. 3038.404 с. 3038.048 d. 3039.408
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