Question: 6) A client opens an Annuity with $200 monthly deposits, at a rate of 4% monthly. a. Determine the total amount after 30 years. b.

6) A client opens an Annuity with $200 monthly deposits, at

6) A client opens an Annuity with $200 monthly deposits, at a rate of 4% monthly. a. Determine the total amount after 30 years. b. They decide to take a 20-year Annuity Payout at 4% monthly. How much do they receive each month? c. What was the Total Annuity payout? d. How much interest did they receive

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Choose between alternatives E and F, based on NPW. The minimum attractive rate of return is 15%. The following table summarizes the economic characteristics of the alternatives: Alternative Total...

Part 1: Investment Appraisal (A) An investor has two alternative schemes to improve his property portfolio. Scheme A involves a complete modernisation now of buildings which will cost 5,500,000 now....

Section: Section 2.5: Loans, Annuities, and Credit Cards Name: Please show your calculations as you would enter them into your calculator for credit. (2 pts) 1. You bought a used car and financed it...

TABLE 6 Present Value of an Annuity Due of $1 1- PVAD = (1+1) X (1+i) i 21/1 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.5% 5.0% 5.5% 6.0% % 7.0% 8.0% 9.0% 1 1.00000 1.00000 1.00000 1.00000 4.0% 1.00000 1.96154...

pleasePlRule of 7 2 1 ) Tom invested $ 1 4 , 5 0 0 in an account he expects will earn 4 % annually. Approximately how many years will it take for the account to double in value? 2 ) Sam has $ 2 , 0 0...

Please answer each of the following and include your calculator inputs. Answers must include the inputs for credit. 15 pts. Please place this assignment in the dropbox by September 20 . 1. Sam's...

on Chapter 4 discusses the time value of money, including future value and present value based upon interest rates and time. Use this formatted Excel spreadsheet to answer questions on the scenarios...

1. (FIXED AMOUNT - calculating the FV) If Clark University tuition is currently $52,000. Assuming annual increases of 4%, what will the tuition cost be in 25 years? 2. (FIXED AMOUNT - calculating the...

(1 point) Michael and Ashley are married, and they are filing their 2018 federal income taxes jointly. Suppose $75 is deducted from each of Michaels monthly paychecks for health insurance, and $100...

Pick a new car that you'd be interested in purchasing. This can be anything from a completely realistic purchase that you're considering right now to something entirely in Fantasyland. There are only...

:Help me with the following questions. Suppose that the depreciation rate increases. In the Solow growth model, determine the effects of this on the quantity of capital per worker and on output per...

Let And Form the 16 Ã 16 matrix A in partitioned form, Let b = (1, 2, 3, 4, 5, 6, 7, 8, 9, 0, 1, 2, 3, 4, 5, 6)t. a. Solve Ax = b using the conjugate gradient method with tolerance 0.05. b....

The Happy Days is a comedy script which tells the story of a young gifted screenwriter and an old and famous actor. The role of the old actor is written specifically for Sir Brian Monahan, a British...

The smallest incentive that wil get people to do something is usually the most eflective in pettingthets les like the acturty and leep doing it . This in bert explained by the A . serl - presertation...

The first scenario will be a Verbal Judo scenario in which your scenario follows the standard Verbal Judo interaction: You need to ask somebody to modify their behavior either to do something or to...

(Appendices) PURCHASES, PURCHASE RETURNS, AND PAYMENT FOR PURCHASES. Jordan Footwear sells athletic shoes. During April Jordan made the following purchases on credit with terms 3/15, n/40: LO4 Assume...

(Appendices) A CLASSIFIED INCOME STATEMENT FOR A MERCHANDISING BUSINESS. For each of the cases presented below, compute the missing amounts: LO8

(Appendices) PURCHASES, TRANSPORTATION-IN, AND PURCHASE RETURNS. Alpharack Company sells a line of tennis equipment to retailers. Alpharack uses periodic inventory accounting. Alpharack engaged in...