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I am looking at a 1 bedroom house for $200,000. The mortgage is 6% over 30 years. My payments would be annual. How would I make a schedule that shows my 30 payments.

John is saving for his retirement.

Tuesday, 09 September 2014 by

John is saving for his retirement. Today is his 40th birthday. John first started saving when he was 25 years old/ on his 25th birthday; John made the first contribution to his retirement account; he deposited $2,000 into an account which paid 9 percent interest, compounded monthly. Each year on his birthday, John contributes another

1. Alexis Mantle recently won a lottery and has the option of receiving one of the following three prizes: (1) $64,000 cash immediately, (2) $20,000 cash immediately and six-period annuity of $8,000 beginning one year from today, or (3) a six-period annuity of $13,000 beginning one year from today. Assuming an interest rate of 6%,

Write down the formula for determining how much money was borrowed and how to calculate it. If I have the following example : monthly payment is 821.69 for 30 years at 6.5%.

I need some help on computing rate of return. If I had 400.00 in a 12 year annuity. The rate of return I require is 9%. What annual cash flow from the annuity will provide the required return. I need to understand the formula and how you come to answer.

If I was going to withdraw 5000.00 at the end of each year for the next four years from an account that pays an interest at a rate of 9% compounded annually. How much must there be in the account today in order for the account to reduce to a balance of zero after the

Upon retirement, you are offered a choice between a $250,000 lump sum payment or a lifetime annuity of $51,200. If you expect to live for 15 years after retirement, at what required rate of return would you be indifferent between the two alternatives?

Problems: a. If you borrow $1,000 and agree to repay the loan in five equal annual payments at an interest rate of 12 percent, what will your payment be? b. What if you make the first payment on the loan immediately instead of at the end of the first year?

Funding your retirement.

Tuesday, 09 September 2014 by

Funding your retirement. You plan to retire in exactly 20 years. Your goal is to create a fund that will allow you to receive $20,000 at the end of each year for the 30 years between retirement and death (a psychic told you would die exactly 30 years after you retire). You know that you

1.What’s the future value of $2,000 after 3 years if the appropriate interest rate is 8%, compounded monthly? 2.Suppose you borrowed $25,000 at a rate of 8% and must repay it in 4 equal installments at the end of each of the next 4 years. How large would your payments be? 3. You are buying