For the last 3 years Homer has made deposits of $213 at the end of every six months earning interest at 4.48% compounded semi-annually. If he leaves the accumulated amount in an account earning 1.72% compounded quarterly, what will the balance be in Homer's account at the end of another 7 years? Round your answer to the nearest dollar. Full solution to this problem required in the rough work.
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Ee 131.
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- Use the appropriate formula located on Illustration 10-1 on page 209 to solve the problem. Bob deposits $5000 at the end of each 6 months for 14 years in an account paying 6% interest compounded semiannually A) Find the amount he will have on deposit at maturity. B) How much interest did Bob earn? Hint: Find the total amount that was deposited by multiplying the total number deposits with amount of each deposit and then subtracting this from the future value. Show the use of the appropriate formulas for each part by indicating the evaluation of the formula with information and provide the answers. Be sure to parts using the provided letters and organize your work neatly.Mark Welsch deposits $7,300 in an account that earns interest at an annual rate of 12%, compounded quarterly. The $7,300 plus earned interest must remain in the account 2 years before it can be withdrawn. How much money will be in the account at the end of 2 years? (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round "Table Factor" to 4 decimal places.)Pascal has recently opened an RRSP. He plans to deposit $ 733 at the end of every month for 20 years. The account will compound interest semi-annually at the nominal rate of 6.4 %. How much money will Pascal have in his account immediately after his last deposit?a. $ 323528.06b. $ 365727.37c. $ 351660.93d. $ 369243.98e. $379793.81
- Pascal has recently opened an RRSP. He plans to deposit $ 733 at the end of every month for 20 years. The account will compound interest semi-annually at the nominal rate of 6.4 %. How much money will Pascal have in his account immediately after his last deposit? a. $ 323528.06 b. $ 365727.37 c. $ 351660.93 d. $ 369243.98 e. $ 379793.811. Lynn deposits $683.09 at the beginning of each quarter for three years in order to accumulate $9,500.60. Lynn would like to know what nominal rate of interest compounded quarterly she must earn to accumulate $9,500.60. Answer the following question: This question is an example of what? Show how you find the answer to the nominal rate p.a. compounded quarterly. 2. Lynn deposits $683.09 at the beginning of each quarter for three years in order to accumulate $9,500.60. Lynn would like to know what nominal rate of interest compounded quarterly she must earn to accumulate $9,500.60. Answer the following question: What variable does $683.09 represent? 3. Lynn deposits $683.09 at the beginning of each quarter for three years in order to accumulate $9,500.60. Lynn would like to know what nominal rate of interest compounded quarterly she must earn to accumulate $9,500.60. Answer the following question: The TVM variable of should be set equal to zero in the financial calculator.Starting three years from today, you make equal annual deposits of $5,000 into an account which offers 12 percent compounded semiannually. (a) How many years from today will it take for your balance to reach exactly $220,606.2574? (b) How many years from today will it take for your balance to reach exactly $233,842.6328? (c) How many years from today will it take for your balance to reach exactly $247,873.1908? [Hint: With semiannual compounding, each of these questions has an exact answer.] Step by step please, as if writing on a sheet of paper and taking notea.
- Louis is saving for his retirement by making annual end of year deposits for 30 years into a bank account that pays interest at a nominal rate of 8% compounded quarterly. For the first 10 years the deposits are level at $5000 each year. After the 10 th year, each deposit is 3% more than the year before. A) Give an actuarial expression for the account balance after the final deposit is made ? B) What is the account balance after the final deposit is made ?Find the future value of a deposit of $15000 at 6% interest compounded monthly for 11 years. On September 8, Peter Pun started an annuity. He arranged to have $85 deducted from his end- of-month paychecks. The money would earn 7% interest compounded monthly. (a) Find the future value of the account on December 1 using an Amortization Formula. (hint: there are three payments/periods; September, October and November)Jim makes a deposit of $12,300 in a bank account. The deposit is to earn interest compounded annually at the rate of 9 percent for seven years. Required: a. How much will Jim have on deposit at the end of seven years? (Hint: What is future value?) Note: Do not round intermediate calculations and round your final answer to the nearest whole dollar amount. b. Assuming the deposit earned a 12 percent rate of interest compounded quarterly, how much would he have at the end of seven years? Note: Do not round intermediate calculations and round your final answer to the nearest whole dollar amount. c1. What is the effective annual yield for alternative (a) where interest is compounded annually? (Hint: Consider the future value of each deposit after one year only.) Note: Do not round intermediate calculations and round your final answer to 2 decimal places. c2. What is the effective annual yield for alternative (b) where interest is compounded quarterly? (Hint: Consider the future value of…
- A business man has an obligation to pay $ 8,000 four years from now, and another obligation to pay $ 12,000 nine years from now. The money needed is to be provided by setting up an account into which equal deposits are made at the end of each year for 9 years. Find the annual deposit ( All interest is at 7 percent compounded annually.) please , doing these math correctlyMark Welsch deposits $7,300 in an account that earns Interest at an annual rate of 8%, compounded quarterly. The $7,300 plus earned Interest must remain in the account 1 years before it can be withdrawn. How much money will be in the account at the end of 1 years? (PV of $1. FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round "Table Factor" to 4 decimal places.) Present Value Table Factor Total AccumulationYou make periodic deposits of $100 at the end of every six months to an account that pays 4.5% interest compounded semiannually. a. Find the value of your account after 25 years. (Round to the nearest dollar).b. Find the interest.