A person try to buy an apartment five years from now , assuming that the first deposit was ( $ 3000 ) at end of the first year , what is the amount he will accumulated at end of the five years for the following cases : ( interest rate 10 % ) a . Deposition will increase by ( $ 300 ) for the next four years ? B. Deposition will decrease by ( $ 150 ) for the next four years ?
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- A couple take a 30-year home mortgage of $120,000 at 7.8% compounded monthly. They make their regular monthly payments for 5 years, then decide to pay $1000 per month. a. Find their regular monthly payment. b. Findtheunpaidbalancewhentheybeginpayingthe$1000. c. How many payments of $1000 will it take to pay off the loan? Give the answer correct to one decimal place. d. Use your answer to part(c)to find how much interest they save by paying the loan this way.Suppose Jennifer deposits $500 in an account at the end of this year. $400 at the end of the next year, and $300 at the end of the following year. If her opportunity cost rate is 7.5 percent, (a) how much will be in the account immediately after the third deposit is made? (b) How much will be in the account at the end of three years if the deposits are made at the beginning of each year?6) A couple will need $50, 000 for a down payment on a home in eleven years. They plan to invest $8,000 up front and make a payment at the end of each month for the full eleven years. Assume the account earns 6.89% monthly. (a) How much will the initial deposit be worth in ten years? Round to two decimal places. (b) How much should the monthly payment be? Round to two decimal places.
- Assume that you plan to buy a condo 5 years from now, and you estimatethat you can save $2,500 per year. You plan to deposit the money in a bankaccount that pays 4% interest, and you will make the first deposit at the end ofthe year. How much will you have after 5 years? How much will you have if theinterest rate is increased to 6% or lowered to 3%? ($13,540.81, $14,092.73,$13,272.84)11) Max purchases a lot for $300,000. Max will pay $25,000 dollars at the end of each year. the interest rate is 4% compounded annually, how many full payments must be made? a) what will be the size of the payment one year after the last full payment?Assume that you plan to buy a condo 5 years from now and you need to save for a down payment. You plan to save 2, 500 per year (with the first deposit made immediately), and you will deposit the funds in a bank account that pays 4% interest. How much will you have after 5 years? How much will you have if you make the deposits at the end of each year?
- Linda Williams expects to need $ 42,000 for a down payment on a house in six years. How much would she have to invest today in an account paying 6.25 percent in order to have $ 42,000 in six years? (Round answer to 2 decimal places, e.g. 52.75.) $ Present valueSolve the given problem. A. Mrs. Ledesma apply for a loan for the renovation of their house. She agreed to pay P10,000 quarterly for 5 years that will start at the end of 2 years. If interest rate is 6% converted quarterly, how much is her loan? d. Period of deferral is ________. e. The interest rate per period is ___________. f. The present value of the loan is ___________. B. Your mother plans to buy you laptop for your online class. She got an offer from Abenson of monthly installment of 1,950 monthly for 1 year and a down payment of 5,500. The payment will start at the end of 3 months. How much is the cash price of the laptop if the interest rate is 3% compounded monthly. e. The interest rate per period is ___________. f. The present value of laptop is ___________. g. The down payment is _____________. h. The fair market value is ____________.Jill wants to make a few deposits so that she can withdraw $5000 per year at the end of each year for the next 15 years. A deposit of X is made a year from now, a second deposit of 2X is made at the end of year 4, and a deposit of (X/2) is made at the end of year (5+4). What is the amount of X if the goal is to empty the account? Use 6% interest.
- To buy a new house, you must borrow $140,000. To do this, you take out a $ 140,000, 30-year, 9 percent mortgage. Your mortgage payments, which are made at the end of each year (one payment each year), include both principal and 9 percent interest on the declining balance. How large will your annual payments be?One year from now you will need a $1,000 deposit to rent a new apartment. You now have $927. *Round your answer to the three decimal places. Do not write %, write in decimals only. If you invest your $927 for one year, what is the lowest annual interest rate that will enable you to meet your goal?Use a bankers year: 360 days To complete the sale of a house, the you accept a 240-day note for $9,000 at 7% simple interest. (Both interest and principal are repaid at the end of the 240 days.) Wishing to use the money sooner for the purchase of another house, the you sell the note to a third party for $9,108 after 80 days. What annual simple interest rate will the third party receive for the investment? Express your answer as a percentage.