Assume that your parents wanted to have $160,000 saved for college by your 18th birthday and...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Assume that your parents wanted to have $160,000 saved for college by your 18th birthday and they started saving on your first birthday. They saved the same amount each year on your birthday and earned 6.0% per year on their investments. a. How much would they have to save each year to reach their goal? b. If they think you will take five years instead of four to graduate and decide to have $200,000 saved just in case, how much would they have to save each year to reach their new goal? a. How much would they have to save each year to reach their goal? To reach the goal of $160,000, the amount they have to save each year is $ 5177.04. (Round to the nearest cent.) b. If they think you will take five years instead of four to graduate and decide to have $200,000 saved just in case, how much would they have to save each year to reach their new goal? To reach the goal of $200,000, the amount they have to save each year is $ (Round to the nearest cent.) Assume that your parents wanted to have $160,000 saved for college by your 18th birthday and they started saving on your first birthday. They saved the same amount each year on your birthday and earned 6.0% per year on their investments. a. How much would they have to save each year to reach their goal? b. If they think you will take five years instead of four to graduate and decide to have $200,000 saved just in case, how much would they have to save each year to reach their new goal? a. How much would they have to save each year to reach their goal? To reach the goal of $160,000, the amount they have to save each year is $ 5177.04. (Round to the nearest cent.) b. If they think you will take five years instead of four to graduate and decide to have $200,000 saved just in case, how much would they have to save each year to reach their new goal? To reach the goal of $200,000, the amount they have to save each year is $ (Round to the nearest cent.)
Expert Answer:
Answer rating: 100% (QA)
b future 20 value of anuaity Annual payment x Hr r Future value of annait 1... View the full answer
Related Book For
Statistics for Managers Using Microsoft Excel
ISBN: 978-0133130805
7th edition
Authors: David M. Levine, David F. Stephan, Kathryn A. Szabat
Posted Date:
Students also viewed these finance questions
-
The director of market research at a large department store chain wanted to conduct a survey throughout a metropolitan area to determine the amount of time working women spend shopping for clothing...
-
The director of market research at a large department store chain wanted to conduct a survey throughout a metropolitan area to determine the amount of time working women spend shopping for clothing...
-
The director of market research at a large department store chain wanted to conduct a survey throughout a metropolitan area to determine the amount of time working women spend shopping for clothing...
-
1. Suppose that a particle moves along a straight line with acceleration a(t) =-6t+2 meters per second per second at time t seconds. Suppose that we fix the positive direction as motion to the right,...
-
If a companys order-winning criteria involve increased flexibility and greater product variety, is the company more likely to employ a make-to-stock or a make-to-order finished goods inventory...
-
How are assets to be valued for the purpose of the accumulated earnings tax?
-
Assume HPC, Inc., began December with 60 units of inventory that cost a total of $720. During December, HPC, Inc., purchased and sold goods as follows: HPC, Inc., uses perpetual inventory. Under the...
-
The data in the table below represent time study observations for a woodworking operation. a. Based on the observations, determine the standard time for the operation, assuming an allowance of 15...
-
FBT(Fringe benefit tax ) questionnaire Brown Engineers Limited Employee number Employees Gross Remuneration 1 Joe Brown 75000 2 Jill Brown 75000 3 Jack Grey 55000 4 John Doe 55000 Vehicles Cost BV...
-
Compare the forward quotes, money market hedges and options with each other to determine the best exchange rate hedge for France (Complete Table 5 on the separate answer sheet) Calculate the exchange...
-
Winter Tyme, Inc., produces coats and jackets for the Seattle market. The company is considering a new 3-year expansion project into the Portland market. The expansion requires an initial investment...
-
Factor the polynomial completely. 9t4 +3+3 12t2: -- =
-
Simplify if it is possible to do so. No calculators! a. 4a+(-6a) c. 2-(-8) b. 14+(-1)+(-10) d. 2x+4y-10x
-
Series is the best-selling commercial jetliner in history. The first unit entered airline service in February 1968 and the 10,000th unit started flying in March 201 In the spring of 2011, however,...
-
A wire of length L and diameter d has a Young's modulus whose magnitude is E. Upon its length being reduced by two-thirds and diameter is halved, its Young's modulus becomes A B D E 3E/2 6E 4E/3
-
Data classification, in the context of information security, is the classification of data based on its level of sensitivity and its potential impact to the organization should that data be...
-
Fun Sports makes downhill ski equipment. Assume that Atomic has offered to produce ski poles for Fun Sports for $23 per pair. Fun Sports needs 200,000 pairs of poles per period. Fun Sports can only...
-
What impact has the Internet had on the globalization of small firms? How do you think small companies will use the Internet for business in the future?
-
Given a normal distribution with JX - 50 and a = 5, if you select a sample of n = 100, what is the probability that X is a. Less than 47? b. Between 47 and 49.5? c. Above 51.1? d. There is a 35%...
-
The data in Fed Receipt represent federal receipts from 1978 through 2011, in billions of current dollars, from individual and corporate income tax, social insurance, excise tax, estate and gift tax,...
-
For this problem, use the following multiple regression equation: a. Interpret the meaning of the slopes. b. Interpret the meaning of the V intercept 50 2x7X
-
An important measure of profitability is a. inventory turnover. b. quick (acid test) ratio. c. return on assets (ROA). d. net sales.
-
Which item among the following is not an intangible asset? a. A trademark b. A copyright c. A patent d. All of the above are intangible assets
-
In 2020, return on assets for JBC Company has increased. This means that the a. company has become more effective. b. company has become more efficient. c. company has become more effective and more...
Study smarter with the SolutionInn App