Reference no: EM132314436
5-2 My Finance Lab Assignment : (Compound intrest with non-anual period)
Calculate the amount of money that will be in each of the following accounts as the end of the given deposit period:
|
Account Holds
|
Amount Deposited
|
Annual Intrest Rate
|
Compounding period per year(M)
|
Compounding period (years)
|
|
a) Logan III
|
$900
|
16%
|
3
|
10
|
|
b) Vernell cols
|
96,000
|
8
|
1
|
3
|
|
c) Tina Eliot
|
8,000
|
12
|
6
|
5
|
|
d) Wayne Robinson
|
118,000
|
10
|
4
|
5
|
|
e) Eunice chung
|
31,000
|
12
|
12
|
5
|
|
f)Kelly Cravess
|
14,000
|
8
|
2
|
3
|
Example
a) The amount of money in theodore Logan III's account of the end of 10 years will be $
Homework 6-1 MY Finance lab Assignment : (Annuity Payments)
Mr. Bill S. Preston, Esq., purchased a new house for $80,000. He paid $25,000 down and agreed to pay the rest over the next 30 years in 30 equal annual payments that include principal payments plus 12 percent compound interest on the unpaid balance.
If Bill agress to pay the loan over 30 years in 30 equal end-of-year payments plus 12 percent compound intrest on the unpaid balance what will these equal payments be?
6-1 MY Finance lab Assignment : (Annuity Payments)
To pay for your child's education, you wish to have accumulated $16,000 at the end of 9 years. To do this, you plan to deposit an equal amount into the bank at the end of each year. If the bank is willing to pay 13 percent compounded annually, how much must you deposit each year to obtain your goal?
The amount of money you must deposit each year in order to obtain your goal is $
6-1 MY Finance lab Assignment : Loan Amontization
On December 31, Beth Kelm Rocky bought a yaeht of $110.000. She paid #18,000 down and agreed to pay the balance in 13 equal installments that include both the principal and 8 percent intrest on the declining balance. How big will the annual payemnts be?
If beth agree to pay the loan plus 8 percnet compuond intrest on the unpaid balance over the next 13 years equal end-of-year payments, what will those equal payments be?
6-1 MY Finance lab Assignment : (Present value of annuity payments)
The state lottery's million dollar payout provides for $1.1 million to be paid in 20 installments of $55,000 per payment. The First $55,000 payment is made immediately and the 19 remaining $55,000 payments and the 19 remaining $55,000 payments occur at the end of the next 19 years.
a) If the 9% is the discount rate, What is the present value of this stream of cash flow payments?
b) If 18% is the dicount rat, what is the present value of the cash flow.
6-1 MY Finance lab Assignment : (Annuity payments)
Lisa simpson wants to have $1,300,000 in 40 years by making equal annual end-of-the year deposits into a tax deferred accoount paying 10% annually.What must Lisa's annual deposite be ?
The amount of Lisa's annual deposit must be $...?