User Account

All Pages

Calculate how much has to be in your account

Assignment Help Finance Basics
Reference no: EM13167455

PROBLEM 1:

You have just turned 22 and you intend to start saving for your retirement. You plan to retire in 41 years when you turn 63. During your retirement you would like to have an annual income of $165,000 per year for 28 years.

Make the following assumptions:

• Assume that the relevant compounded interest rate is 9 percent for all 69 years.
• You make the first payment today and the last payment on the day you turn 63.
• You make the first withdrawal when you turn 64 and the last withdrawal when you turn 91.

A) Calculate how much has to be in your account before the first withdrawal at age 64.

B) Calculate how much you would have to save annually between now and age 63 in order to finance your retirement income and to fill that account.

PROBLEM 2:

You just took a $125,000, seven-year loan. Payments at the end of each month are flat (equal in every month) at an annual interest rate of 4.75 percent.

A) Calculate the monthly payment.

B) Provide the appropriate loan table, showing the breakdown in each month between principal repayment and interest.

Reference no: EM13167455

Questions Cloud

Explain that the additions of bromobenzene must be done slow : The procedure (paragraphs 2 and 3) states that the additions of bromobenzene, methyl benzoate and hydrochloric acid must be done slowly.
Calculate the average speed of an oxygen gas molecule : Calculate the average speed of an oxygen gas molecule, O2, at 21.0 degrees Celsius. Express your answer numerically in meters per second.
Describe positive iodine-starch test : List five food product would give a positive iodine-starch test for carbohydrate mention somthing beside potato
What is the density of a sample of ammonia : What is the density of a sample of ammonia (NH3) gas in a 4.32 L flask at a pressure of 641 torr and a temperature of 37.0oC?
Calculate how much has to be in your account : Calculate how much you would have to save annually between now and age 63 in order to finance your retirement income and to fill that account.
How many moles of oxygen can be formed : if a reation vessel contains .25 mol KO2 AND .15 mol H2O, what is the limiting reactant ? How many moles of oxygen can be formed ?
Identify the incorrect names of formulas : identify the incorrect names of formulas.
What is the volume of air at atmospheric pressure : What is the volume of air at atmospheric pressure (100kPa) that must be pumped into a tyre that has a volume of 0.1 cubic meter?
What is the atomic mass of the element : If it is known that 41.6 grams of PURE ELEMENT THAT IS NOT DIATOMIC represents 1.30 moles of this element, what is the atomic mass of the element?

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial perspective on customers

The material in this module shows that many companies place disproportionate emphasis on the financial perspective at the costs of the other three perspectives.

  Question related to risk

Suppose you have a friend who is always getting into trouble by taking unwise risks. What advice, based on what you have learned in this course, would you give this person?

  Assess risks and opportunities in terms of economic

Assess risks and opportunities in terms of economic. A analysis of the case study "AccuForm: Ethical leadership and its challenges in the era of globalization"

  Calculating the amount required for a family

Your daughter is a starting freshman in high school. By the time she enters freshman year in college, you would wish to have savings accumulated to pay her tuition for her next 4-years of college.

  Determine the expected return

Determine the expected return on a portfolio that is equally invested in two assets

  Find the appropriate value

The Family Practice Clinic has long-term debt of 567,000 dollar as of December 31, 2009 determine the equivalent value of long-term debt in 2005.

  Determine annual incremental earnings

Daily Enterprises is buying a $10.5 million machine. It will cost $55,000 to transport and install machine. The machine has a depreciable life of 5 years and will have no salvage value.

  Cost classification

Outer Banks Shirt Shop produces T-shirts and decorates them with custom designs for retail sale on the premises. Several costs incurred through corporations are listed below.

  Calculate the npv and the irr

Davis Corporation must select between a gas-powered and an electric powered fork-lift truck for moving materials in its factory. Since both forklifts perform same function, firmwill select only one.

  Tvm - retirement planning

You're planning your retirement and you come to the conclusion which you need to have saved $1,250,000 in 30 years. How much do you have to put in your account at the end of each year to reach your retirement goal?

  Describe analysis of the financial statements

Describe Analysis of the financial statements with comparision of industry averages

  Cost of common stock equity-capm

Find out the required return that J&M common stock should provide. Find out J&M's cost of common stock equity using the CAPM.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd