If I invest P50,000.00 to a corporation and we have a deal closed using simple interest with ROR equal to 7 %. How many years will I wait if I require them to give back my investment with 49 % profit?
Q: How much approx., would be the FW of P30,000 be worth after 50 years if a rate of 10%/yr (compounded…
A:
Q: A farmer bought a tractor costing P12,000 if paid in cash. The tractor may be purchased by…
A: Answer: Compound interest is calculated by considering both the principal amount in the beginning…
Q: The Future Worth (FW) of four $6000 payments at the end of the 1st, 2nd, 3rd, and 4th years with…
A: # The correct option is (D)
Q: If you invest $150,000 at an interest rate of 10% (annual rate) compounded monthly, what is your…
A: Answer - $150,000(1.0083)24
Q: nvestment of P50,000 is made at the beginning of each month for 5 years. How much will the…
A: Constant Monthly deposits = 50000 $ Time = 5 years Interest rate = 7 % Monthly rate - = 7 / 12 =…
Q: An annual deposit of P1,270is placed on the fund at the end of each year for 6 years. If the fund…
A: Annual constant deposit = 1270 Time = 6 years Interest rate = 5 % compounded annually
Q: paying simple interest of 11% per year. Julia will make the same two deposits, but the N$ 1 000 will…
A: Interest rates typically falls at the time of recessions as loan demand slows, bond prices increase…
Q: A house and lot can be acquired by a downpayment of P520,000 and a yearly payment of P100,500 at the…
A: Given down payment = 520000 P Yearly payment = 100,500 P Time = 10 years Interest rate = 8 %
Q: A civil engineer planning for her retirement places 9% of her salary each year into a…
A: Saving for retirement (SR) is 9% top the salary. Salary (S) is 160,000. Growth rate of salary (g) is…
Q: A man who won Php 500,000 in a lottery decided to place 50% of his winning in a trust fund for the…
A: Answer: Compound interest is calculated on a deposit or a loan by taking both the principal and the…
Q: At what annual interest rate will $1,200 invested today be worth $2,500 in 12 years?
A: We have: Annual interest rate = $1,200 Time= 12 years
Q: Kinnunen Company wishes to give its customers three options on payments for office equipment when…
A: The concept of “time value of money” states that the amount of money that a person holds today worth…
Q: Tang has just bought a house. She would like to set aside a fund to cover all future expected…
A: Given:- Landscape maintenance cost=$1,000 [Per year]Electrical and power maintenance cost=$2,000…
Q: For the following cashflows, which of the following relationships is correct? Year 0 -$300 Year 1…
A: The net present worth or net present worth applies to a progression of incomes happening at various…
Q: John got a deal to lend $60,000 today and in return, he will receive twenty-five annual payments of…
A: An ordinary annuity is a point at which an instalment is made toward the finish of a period. An…
Q: A man buys a house and lot worth P 150,000 if paid in cash , on the installment basis . He pays P…
A: Given, Principal Amount- p150,000 Down-payment- P50,000 ROI-14%
Q: A house and lot can be acquired by a down payment of P500,000 and a yearly payment of P100,000 at…
A: Answer Down payment = P 500000 Annual payment = P 100000 Number of annual payments = 10 Discount…
Q: A bond with a face value of $10,000 pays interest of 7% per year. This bond will be redeemed at its…
A: Formula used- Pv = fv(p/f,i,n) + coupoon payment(p/a,i,n)
Q: A condominium unit can be bought at a down payment of ₱150,000 and a monthly payment of ₱ 23,347 for…
A: Given Down-payment of a condominium unit =₱150,000. The monthly payment for 10 years =₱23,347 and…
Q: 4. What value of N comes closest to making the upper cash flow diagram (a) equivalent to the one…
A: Given, ROI-15% N= 6
Q: The maintenance cost for a new heavy-duty diesel engine is P20,000 two years after its purchase,…
A: Compound interest (or compounding interest) As "interest on interest," compound interest is thought…
Q: An investment offers 5% interest compounded continuously. What is the amount of interest earned in 1…
A: The term "continuously compounded" refers to the fact that interest can compound indefinitely.…
Q: condominium unit can be bought at a down payment of 150000P and a monthly payment of 10000P for 10…
A: A1 = 150000 A2 = 10000 n = 10 i = 0.01
Q: A young engineer calculated that monthly payments of $A are required to pay off a $5,000 loan for n…
A: Given, Monthly payment = $A Payoff loan = $5000 Time and interest rate = n and i% If borrowed…
Q: Charlie Cai promises to deposit a sum of $120,000 for his granddaughter's college education 18 years…
A: Given data, FV = 120000 PV = 30000 n = 18 year.
Q: If you invest $3,570 three years from now, how much will be in the account 15 years from now if i =…
A: Here we calculate the amount after 15 year from now by using the given information and choose the…
Q: 4. What value of N comes closest to making the upper cash flow diagram (a) equivalent to the one…
A: i = 15% Cash Flow of A = Cash Flow of B
Q: deposits at simple interest. (i) £300 borrowed for 5 years at 8% p.a. (ii) £1000 invested for 4…
A: The formula used to calculate Simple Interest is : Simple Interest = P x R x T100 Answer (i) P =…
Q: Mr. and Mrs. Ramirez bought a house and lot with a down payment of P1,000,000.00 and a yearly…
A: In economics, present value refers to the current value of a future stream of cash flwo. Future…
Q: You can purchase a $1000 face value bond with 10 years to maturity for $980. The bond pays a…
A: A coupon payment on a bond is the annual interest payment that the bondholder receives from the…
Q: What is the time period that is required to double the money itself which an interest rate of 5%…
A: Compound interest is the product of investing the money interest, meaning the interest is then paid…
Q: Frasier is 33 years old and just received an inheritance from his parents' estate. He wants to…
A: Given: The age of Frasier is = 33 years The amount of monthly payment is = $5,000 Years = 15 The…
Q: A bond with a face value of $10,000 pays interest of 4% per year. This bond will be redeemed at its…
A: Given: Face value=$10000 Interest=4% per year Life=8 years Yield=5%
Q: Question #1: 1.) A statue in central campus is said to have infinite life. However, due to inclement…
A: Given Let's draw a cash flow diagram for a two-cycle.
Q: Find the exact interest on PhP 28,700 at 7.3% in 265 days. A. PhP 1.531.10 B. PhP 1,521.10 C. PhP…
A: Amount= PhP 28,700rate of interest=i=7.3%number of days=n=265365
Q: What value of N comes closest to making the upper cash flow diagram (a) equivalent to the one below…
A: Given, ROI-15%
Q: maintenance costs of a new boiler are estimated as follows: P 600 per year for the first 3 years, P…
A: We have, First 3 year cost = P600 per year the 4th year cost = X 5th to 10 years cost = P1800 per…
Q: The required investment cost of a new, large shopping center is $49 million. The salvage value of…
A: Given: Required investment=$49 million Salvage value=$20 million Project life=17 years Annual…
Q: Patrick invested P50,000.00 to a ROR of 9.5% compounded semi-annually for 3 years. How much is the…
A: In economics, present value refers to the current value of a future stream of cash flow. Future…
Q: A man bought a lot worth P1,000,000 if paid in cash. On the installment basis, he paid a down…
A: Simple Interest basically refers to a way of calculating interest on a particular principle amount…
Q: Mr. and Mrs. Ramirez bought a house and lot with a down payment of P1,000,000.00 and a yearly…
A: Given, Down Payment- P1000000 Yearly Payment-P200000 Time- 10years ROI- 14%
Q: The buyer of a certain machine pay P2,000 cash down payment and P2,000 annually for the next 6…
A: In economics, present value refers to the current value of a future stream of cash flow. Future…
Q: If $1000 is invested annually at 6% continuous compounding for each of 10 years, how much is in the…
A: Given Annual deposit A=$1000 r = 6% continuous compounding Time period n=10
Q: What is the amount you would need to invest today or order to have $30,000 in 20 years and your…
A: A rate of return (RoR) is the net gain or loss of an investment over a specified time period,…
Q: Future worth equivalence at the end of year 8 Future worth equivalence at the end of year 10 i= 10%
A: Problem 2 2) Annual Worth equivalence spread(1 to 10)=11348.05*(A/P * 10% *10)11348.5 *…
Q: If you know that the future worth equal 964483 for the following cash flow diagram then what is the…
A: The cash flows are calculated with an interest rate of 8%. P refers to the principal amount or the…
Q: A man borrowed an amount of P684.255 to bank that offers an interest rate of 8.816% compounded…
A: Given, Principle amount (P) =684.255 Rate of interest (r) =0.08816 compounded continuously Time…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Please try to solve in 20 minute Your client plans to invest $2000 at the end of each year. The rate of return on the investment is 7.5% compounded annually. What will be the value of the investment at the end of 12 years?N 1. You need $3,000 to buy a new stereo for your car in 3 years. What value you must have now if the compounded annually return is 10%. 2. Your grandfather placed $5,000 in a trust fund for you. In 12 years what will be the worth of the savings. If the estimated rate of return on the trust fund is 8%?+If you invest $2,000 today, withdraw $1,000 in 3 years, deposit $3,000 in 5 years, deposit $1,500 in 8 years, and withdraw the entire sum three years after the final deposit, how much will you withdraw? Interest is 7%.
- Problem 2. After graduation, you just got hired by an engineering company and you were planning to take a loan in order to purchase a new car. Let's assume that the bank is willing to offer you a personal loan with an annual interest rate of9.5%compounded yearly. The car price is26.500JDand you are capable to pay 4,200 JD per year. After how many years you will be able to pay back the loan with the accumulated interest (use a spreadsheet to answer this question) and draw the cash flow diagram.Leon and Heidi decided to invest $2,500 annually for only the first eight years of their marriage. The first payment was made at age 25. If the annual interest rate is 12 percentage, how much accumulated interest rate and principal will they have at age 65?You decide to purchase a tractor for a net cost of $350,000. You finance thistractor for 5 years at 5.0% interest. You make one payment per year using equalprincipal payments. Calculate your annual payments and amortization (payoffschedule). Is the total cost of this loan more or less than if you had used the equaltotal payments formula? Explain.
- 1. If you borrow money from your friend with simple interest of 12%. Find the present worth of 20,000 which is due at the end of nine months? 2. A Loan of 10,000 is made for a period of (m) months at simple interest of 20%. If the future amount is due at the end of the load period is 4,166. Determine the (m) ? 3. The investmest made by John proved most remunerative. His 1,000,000 savings doubled at 2% per 6 months after (n) years. Determine the (n) ? 4. An investors holds a time payment purchase contact on some machine tools. The contact calls for the payments of 6,800 at the end of each month a 5 years period. The 1st payment is due in one month. He offers to sell you the contact for 330,680 cash today. If you otherwise can make 1% per month on your money, would you accept or reject the investors office?Find the periodic payments PMT necessary to accumulate the given amount in an annuity account. (Assume end-of-period deposits and compounding at the same. intervals as deposits. Round your answer to the nearest cent.) $40,000 in a fund paying 5% per year, with monthly payments for 5 years, if the fund contains $10,000 at the start PMT $566.14 Need Help? Read I Watch It14. What is the future worth of P 150,000.00 invested at 11% simple interest for 45 months?
- Edward wants to take a long trip around Europe 7 years from now. He estimates that he will need $12,000 to finance the trip. Edward has found a stock portfolio that generates a 8% yearly rate of return. How much does Edward need to invest today to afford the trip? Round to the nearest dollar, do not enter a dollar sign.A friend of yours bought a new sports car with a $5,000 down payment plus a $26,000 car loan that is financed at an interest rate of 0.25% per month for60 months. a. Calculate the required monthly loan payment on the car. b. How much does your friend still owe on the car loan immediately after she makes the 24th monthly payment? c. If, after the 24th payment, she decides to pay $300 more each month, how many months will it take her to payoff the remaining loan she owes? a) The required monthly Payment is $ (round to nearest cent) b. Your friend still owes on the car loan. (Round to the nearest dollar.) c. It will take her months. (Round-up to the nearest month)coupon bond, with semiannualcoupons, face value of 1,000, 20 years to maturity,$1,197.93 price Current Yield =?