Question: On your birthday, when you turned 7 , $ 4 2 3 0 0 was deposited in an account which earns 1 0 . 2

On your birthday, when you turned 7, $42300 was deposited in an account which earns 10.25% compounded annually. a. How much can you withdraw annually for 12 years if the first withdrawal is made on the day you become 32? $ b. State the total amount of interest earned on this account.

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!

Q:

Mary Coleman manufactures and distributes high-tech biking gadgets. She has decided to streamline some of her operations to be more productive and efficient. Because of this decision she has entered...

Q:

1. You deposit $85.00 into your savings account on January 1st. What will that deposit be worth given the following conditions? a. If the interest rate is 2%, and you keep it deposited for 3 years,...

Q:

4. (25 points) In the Persky-Haydar paper, the authors claim that even though the Federal government spends more on cities than on suburbs, the expenditures in the suburbs are more geared to...

Q:

Hi! can someone help me answer these questions? Use Future Value and Present Value Tables 1. Cathy Lumbattis inherited $140,000 from an aunt. If Cathy decides not to spend her inheritance but to...

Q:

1. Cathy Lumbattis inherited $140,000 from an aunt. If Cathy decides not to spend her inheritance but to leave the money in her saving account until she retires in 15 years, how much money will she...

Q:

Use Future Value and Present Value Tables 1.Cathy Lumbattis inherited $140,000 from an aunt. If Cathy decides not to spend her inheritance but to leave the money in her saving account until she...

Q:

On your birthday, when you turned 7, $6100 was deposited in an account which earns 9.5% compounded annually. a. How much can you withdraw annually for 16 years if the first withdrawal is made on the...

Q:

On your birthday, when you turned 7 , $ 5 0 0 0 was deposited in an account which earns 9 % compounded annually. a . How much can you withdraw annually for 1 8 years if the first withdrawal is made...

Q:

1. Suppose you have $1350 in your savings account at the end of a certain period of time. You invested $1100 at a 4.42% simple annual interest rate. How long, in years, your money invested? 2. Find...

Q:

1 . Suppose you have $ 1 3 5 0 in your savings account at the end of a certain period of time. You invested $ 1 1 0 0 at a 4 . 4 2 % simple annual interest rate. How long, in years, your money...

Q:

1) 2) 3) If $2000 is deposited at the end of each half year in an account that earns 6.4% compounded semiannually, after how many half years will the account contain $160,000? (Round your answer UP...

Q:

A company has decided to buy a new machine. Two alternatives, A and B, are considered with the following data. Find the incremental rate of return between A and B. Cost new Annual O&M Cost Salvage...

Q:

Brent Bosch is uncertain about the control features of a bank account. Explain the control benefits of (a) a check and (b) a bank statement.

Q:

4. Measuring Float (LO1) Your neighbour goes to the post office once a month and picks up two cheques, one for $13,000 and one for $4,500. The larger cheque takes four days to clear after it is...

Q:

Can you elucidate the role of molecular chaperones and protein quality control systems in maintaining the integrity and homeostasis of the cytoplasm, particularly under conditions of cellular stress...