Question
Answer these 3 questions please 1.You have $45,055.29 in a brokerage account, and you plan to deposit an additional $5,000 at the end of every
Answer these 3 questions please
1.You have $45,055.29 in a brokerage account, and you plan to deposit an additional $5,000 at the end of every future year until your account totals $260,000. You expect to earn 12% annually on the account. How many years will it take to reach your goal? Round your answer to two decimal places at the end of the calculations.
2.An investment will pay $100 at the end of each of the next 3 years, $200 at the end of Year 4, $400 at the end of Year 5, and $550 at the end of Year 6.
If other investments of equal risk earn 10% annually, what is its present value? Round your answer to the nearest cent.
$
If other investments of equal risk earn 10% annually, what is its future value? Round your answer to the nearest cent.
$
3. You want to buy a car, and a local bank will lend you $40,000. The loan will be fully amortized over 5 years (60 months), and the nominal interest rate will be 5% with interest paid monthly.
What will be the monthly loan payment? Do not round intermediate steps. Round your answer to the nearest cent.
$
What will be the loan's EAR? Do not round intermediate steps. Round your answer to two decimal places.
%
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