User Account

All Pages

How much must you deposit annually to accumulate

Assignment Help Finance Basics
Reference no: EM132817939

You would like to have ?$75,000 in 15 years. To accumulate this? amount, you plan to deposit an equal sum in the bank each year that will earn 8 percent interest compounded annually. Your first payment will be made at the end of the year.

a. How much must you deposit annually to accumulate this? amount?

b. If you decide to make a large? lump-sum deposit today instead of the annual? deposits, how large should the? lump-sum deposit? be? ? (Assume you can earn 8 percent on this? deposit.)

c. At the end of year? 5, you will receive ?$20,000 and deposit it in the bank in an effort to reach your goal of ?$75,000 at the end of year 15.

In addition to the? lump-sum deposit, how much must you invest in 15 equal annual deposits to reach your? goal? ? (Again, assume you can earn 8 percent on this? deposit.)

Reference no: EM132817939

Questions Cloud

What is the fair value for the stock of company : Using the dividend discount model, what is the fair value for the stock of this company?
Improve finances and be financial literate : How can people improve their finances and be financial literate?
Describe the pros and cons of your ell program : Based on your assigned group, list at least three pros and cons of your ELL program. Use your text and additional sources to support your response.
What the depreciation expense for the machinery is : What the depreciation expense for this machinery is? Detroit decided the estimated useful life of this machinery was only eight years
How much must you deposit annually to accumulate : To accumulate this? amount, you plan to deposit an equal sum in the bank each year that will earn 8 percent interest compounded annually.
Which of the five love languages is most appealing to you : Based on the descriptions in this section and this piece, which of the five love languages is most appealing to you to receive? Can you share a story/example.
What will be the alpha of the fund in the capm : What will be the alpha of this fund in the CAPM (on an annual basis)? Suppose you estimate a CAPM regression of a total stock market index fund using net return
How often have you heard that the world is getting smaller : How often have you heard people say that the world is getting smaller? Your life today is affected by the decisions and actions of people in other parts.
Journalize the adjusting entries at december : Journalize the adjusting entries at December 31, 2020. Bank collected $12,400 note for Azurite Company in August, with an interest of $780.

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

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