Answer:
Monthly deposit= $485.93
Explanation:
Giving the following information:
You want to retire exactly 35 years from today with $2,020,000 in your retirement account.
interest rate= 10.35 percent compounded monthly
First, we need to calculate the monthly interest rate.
Monthly interest rate= 0.1035/12= 0.008625
Now, using the following formula we can calculate the monthly deposit:
FV= {A*[(1+i)^n-1]}/i
A= monthly deposit
Isolating A:
A= (FV*i)/{[(1+i)^n]-1}
n= 35*12= 420
A= (2,020,000*0.008625) / [(1.008625^420)-1]
A= $485.93
Answer:
Value of investment = $117
Explanation:
Given:
P = $100
r= 4% = 0.04
n = 4 years
Computation:
A = P(1+r)ⁿ
A = 100(1+0.04)⁴
A = 100(1.04)⁴
A = 116.9858
A = $117
Value of investment = $117
profitability index
Explanation:
our money will be save for our future
Answer:
$1,307
Explanation:
The computation of the future value by using the following formula is shown below:
As we know that
Future value = Present value × (1 + interest rate)^number of years
$1,500 = Present value × (1 + 0.035)^4
So, the present value is
= $1,500 ÷ (1.035)^4
= $1,307
Hence, the present value is $1,307 and the same is to be considered
The purchase price of an asset plus the costs of operation.
Source: Investopedia
