How long will $500,000, in an investment account that earns 5.25% compounded monthly, sustain month-end withdrawals of

Question:

How long will $500,000, in an investment account that earns 5.25% compounded monthly, sustain month-end withdrawals of $3000?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Business Mathematics In Canada

ISBN: 978-0070009899

7th edition

Authors: Ernest Jerome

See More Books

Question Posted: Jan 20, 2016 07:50 AM

See More Questions

On December 31, 2009, you sign a contract to make annual deposits of $4,200 in an investment account that earns 10 percent. The first deposit is made on December 31, 2009. Required: 1. Calculate what...
On January 1, Beth Woods made a single deposit of $ 8,000 in an investment account that earns 8 percent interest. Required: Round answers to two decimal places. 1. Calculate the balance in the...
On December 31, 2012, Natalie Livingston signs a contract to make annual deposits of $ 4,200 in an investment account that earns 10 percent. The first deposit is made on December 31, 2012. Required:...
Suppose that the government of Malud increases both its own spending and autonomous taxes by $300 and the economys multiplier equals 2.5. If consumers spend 95% of their disposable (after-tax)...
Anita Company owns a controlling interest in Brian Company and Gabriel Company. Anita purchased an 80% interest in Brian at a time when Brian reported retained earnings of $ 450,000. Anita purchased...
In mining engineering, holes are often drilled through rock using drill bits. As a drill hole gets deeper, additional rods are added to the drill bit to enable additional drilling to take place. It...
Which Accomplishment of LeBron James Is Most Impressive? Table 2.23 shows the means and standard deviations for four of the variables in the NBAPlayers2015 dataset. FGPct is the field goal...
Prepare the journal entries required for Rocco State University to record the following transactions. 1. Tuition and fees assessed total $3,000,00080% is collected, scholarships are granted for...
You have a portfolio consisting solely of shares G and share W. The portfolio has an expected return of 13.64%. Share G has an expected return of 8.2% while share W is expected to return 16.2%. What...
Your client, Leona Ledford, was personally served with a summons and complaint on October 23 in the case of Masters v Ledford Her answer is due in 30 days. You will mail the answer to the court. What...
Silas is about to begin regular month-end contributions of $500 to a bond fund. The funds long-term rate of return is expected to be 6% compounded semiannually. Rounded to the next higher month, how...
Farah has $600,000 in her RRSP and wishes to retire. She is thinking of using the funds to purchase an annuity that earns 5% compounded annually and pays her $3500 at the end of each month. If she...
In physics, it is shown that the height s of a ball thrown straight down with an initial speed of 48 ft/sec from a rooftop 160 feet high is s = s(t) = - 16t 2 + 48t + 160 where t is the elapsed time...
What exactly does it mean that Files.walk yields the results in depth-first order? Are directory children listed before or after parents? Are files listed before directories? Are either listed...
What is the difference between a Connection and a Statement?
Two large multi-specialty medical groups have recently asked you to conduct audits using the BCG matrix. For the first group, your analysis reveals the following distri- bution of services: cash...
Find an example of a non-static generic method in the standard Java library.
Repeat Exercise E25.1 , using a DTD for validation. Data from exercise E25.1 Write a program that can read XML files, such as: 0.5 half dollar Your program should construct a Purse object and print...
If k > 0, show that 00 S ke-kx dx = 1.
Tarick Toys Company manufactures video game consoles and accounts for product costs using process costing. The following information is available regarding its June inventories. The following...
(Single-step Income, Retained Earnings, Periodic Inventory) Presented below is the trial balance of Mary J. Blige Corporation at December 31, 2004. A physical count of inventory on December 31...
(Irregular Items) Tony Rich Inc. reported income from continuing operations before taxes during 2004 of $790,000. Additional transactions occurring in 2004 but not considered in the $790,000 are as...
(Multiple- and Single-step Income, Retained Earnings) The following account balances were included in the trial balance of J.R. Reid Corporation at June 30, 2004. The Retained Earnings account had a...
You are a supervisor at your company. You've overheard Employee A making offensive comments to other employees, and Employee B has complained about these comments. You've given Employee A a verbal...
What is the probability of developing and dying from cancer today?
On January 1, 2024, Majestic Mantles leased a lathe from Equipment Leasing under a finance lease. Lease payments are made annually. Title does not transfer to the lessee and there is no purchase...

How long will $500,000, in an investment account that earns 5.25% compounded monthly, sustain month-end withdrawals of

Question:

Step by Step Answer:

The withdrawals constitute an ordinary simple annuity having PV 500000 PMT 3000month ...View the full answer

Business Mathematics In Canada

Students also viewed these Accounting questions