1. What is the present value of a $1,200 payment made in fiveyears when the discount rate is 9 percent? (Do not roundintermediate calculations. Round your final answer to 2 decimalplaces.)
2. What is the future value of a $1,000 annuity payment overfour years if interest rates are 8 percent? (Do not roundintermediate calculations. Round your final answer to 2 decimalplaces.)
3. What's the present value of a $930 annuity payment over fiveyears if interest rates are 9 percent? (Do not round intermediatecalculations. Round your final answer to 2 decimal places.)
4. Monica has decided that she wants to build enough retirementwealth that, if invested at 9 percent per year, will provide herwith $5,100 of monthly income for 25 years. To date, she has savednothing, but she still has 30 years until she retires. How muchmoney does she need to contribute per month to reach her goal? (Donot round intermediate calculations. Round your final answer to 2decimal places.)
Please answer all of the questions, if you can not answer all ofthe questions do not reply.
1. What is the present value of a $1,200 payment made in fiveyears when the discount rate is 9 percent? (Do not roundintermediate calculations. Round your final answer to 2 decimalplaces.)
2. What is the future value of a $1,000 annuity payment overfour years if interest rates are 8 percent? (Do not roundintermediate calculations. Round your final answer to 2 decimalplaces.)
3. What's the present value of a $930 annuity payment over fiveyears if interest rates are 9 percent? (Do not round intermediatecalculations. Round your final answer to 2 decimal places.)
4. Monica has decided that she wants to build enough retirementwealth that, if invested at 9 percent per year, will provide herwith $5,100 of monthly income for 25 years. To date, she has savednothing, but she still has 30 years until she retires. How muchmoney does she need to contribute per month to reach her goal? (Donot round intermediate calculations. Round your final answer to 2decimal places.)
Please answer all of the questions, if you can not answer all ofthe questions do not reply.
Related questions
| A five-year annuity of ten $5,900 semiannual payments willbegin 9 years from now, with the first payment coming 9.5 yearsfrom now. The discount rate is 8 percent compunded monthly. |
| a. | What is the value of this annuity five years from now?(Do not round intermediate calculations and round youranswer to 2 decimal places, e.g., 32.16.) |
| b. | What is the value three years from now?(Do not round intermediate calculationsand round your answer to 2 decimal places, e.g.,32.16.) |
| c. | What is the current value of the annuity? (Do not roundintermediate calculations and round your answer to 2 decimalplaces, e.g., 32.16.) |
Monica has decided that she wants to build enough retirement wealth that, if invested at 10 percent per year, will provide her with $5,200 of monthly income for 20 years. To date, she has saved nothing, but she still has 25 years until she retires.
| How much money does she need to contribute per month to reach her goal? (Do not round intermediate calculations and round your final answer to 2 decimal places.) |
| Contribute per month | $ |
