Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Can somebody help with this, I need to show all work Use the following to answer questions 1-4 Use the following 8% interest factors for

Can somebody help with this, I need to show all work image text in transcribed
Use the following to answer questions 1-4 Use the following 8% interest factors for the question(s) below. Present Value of Future Value of 7 periods 8 periods 9 periods 5.2064 5.7466 6.2469 8.92280 10.63663 12.48756 1. What will be the balance on September 1, 2020 in a fund which is accumulated by making $20,000 annual deposits each September I beginning in 2013, with the last deposit being made on September 1, 2020? The fund pays interest at 8% compounded annually 2. If $9,000 is deposited annually starting on January 1, 2014 and it earns 8%, what will the balance be on December 31, 2021? 3. Korman Company wishes to accumulate $500,000 by May 1, 2022 by making 8 equal annual deposits beginning May 1, 2014 to a fund paying 8% interest compounded annually. What is the required amount of each deposit? 4. What amount should be recorded as the cost of a machine purchased December 31, 2014, which is to be financed by making 8 annual payments of $9,000 each beginning December 31, 2015? The applicable interest rate is 8%. Page 1

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

More Books

Students also viewed these Accounting questions