How much money would you need to deposit every year for 40 years to become a millionaire if the interest rate on your account is 12%? Please note that the 12% interest table hasn't been provided, so you will need to use the interest formulas.
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- Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $2,500 over the next 4 years when the interest rate is 15%, how much do you need to deposit in the account? B. If you place $6,200 in a savings account, how much will you have at the end of 7 years with a 12% interest rate? C. You invest $8,000 per year for 10 years at 12% interest, how much will you have at the end of 10 years? D. You win the lottery and can either receive $750,000 as a lump sum or $50,000 per year for 20 years. Assuming you can earn 8% interest, which do you recommend and why?Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $4,200 over the next 6 years when the interest rate is 8%, how much do you need to deposit in the account? B. If you place $8,700 in a savings account, how much will you have at the end of 12 years with an interest rate of 8%? C. You invest $2,000 per year, at the end of the year, for 20 years at 10% interest. How much will you have at the end of 20 years? D. You win the lottery and can either receive $500,000 as a lump sum or $60,000 per year for 20 years. Assuming you can earn 3% interest, which do you recommend and why?To live comfortably in retirement, you decide you will need to save $2 million by the time you are 65 (you are 30 years old today). You will start a new retirement savings account today and contribute the same amount of money on every birthday up to and including your 65th birthday. Using TVM principles, how much must you set aside each year to make sure that you hit your target goal if the interest rate is 5%? What flaws might exist in your calculations, and what variables could lead to different outcomes? What actions could you take ensure you reach your target goal?
- You invest $2000 today at 7% per year. If you leave thisfor your grandchildren by not touching the account for80 years, what is the amount of interest on interestearned for this investment? Please explain how to do this problem in the financial calculator. The most important thing is that I understand how to solve the problem on my ownTony Ring wants to attend Northeast College. He will need $65,000 4 years from today. Assume Tony's bank pays 12% interest compounded semiannually. What must Tony deposit today so he will have $65,000 in 4 years? (Use the Table 12.3 provided.) Note: Do not round intermediate calculations. Round your answer to the nearest dollar amount.You need to have $30,000 for a down payment on a house in 6 years. If you can earn an annual interest rate of 3.3 percent, how much will you have to deposit today? USE EXCEL FORMULAS ONLY! NO ALGEBRAICALLY!
- To help with a down payment on a home, Elsa is going to invest. Assuming an interest rate of 1.73% compounded annually, how much would she have to invest to have $36,800 after 7 years? Do not round any intermediate computations, and round your final answer to the nearest dollar. If necessary, refer to the list of financial formulas. $0 S oo E DYou believe you will need to have saved $593,000 by the time you retire in 30 years in order to live comfortably. You also believe that you will inherit $113,000 in 5 years. (Do not round intermediate calculations. Leave no cells blank - be certain to enter "0" wherever required. Round your answers to 2 decimal places.) If the interest rate is 7% per year, what is the future value of your inheritance at retirement? How much additional money must you save to meet your retirement goal, assuming you save your entire inheritance?Manuel Rios wishes to determine how long it will take an initial deposit of $10,000 to double. If Manuel earns 10% annual interest on the deposit, how long will it take for him to double his money? How long will it take if he earns only 7% annual interest? c. How long will it take if he can earn 12% annual interest? Reviewing your findings in parts a, b, and c, indicate what relationship exists between the interest rate and the amount of time it will take Manuel to double his money. How do i work this out by hand not through excel?
- Manuel Rios wishes to determine how long it will take an initial deposit of $10,000 to double. If Manuel earns 10% annual interest on the deposit, how long will it take for him to double his money? How long will it take if he earns only 7% annual interest? c. How long will it take if he can earn 12% annual interest? Reviewing your findings in parts a, b, and c, indicate what relationship exists between the interest rate and the amount of time it will take Manuel to double his money.Amanda is going to invest to help with a down payment on a home. How much would she have to invest to have $23,400 after 9 years, assuming an interest rate of 1.79% compounded annually? Do not round any intermediate computations, and round your final answer to the nearest dollar. If necessary, refer to the list of financial formulas.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 8. What is the amount of X if the goal is to empty the account? Use 6% interest.