Questions LLC
Login
or
Sign Up
Ask a New Question
Finance
Investments
Annuities
Alphonse Inc. is thinking about investing in an annuity contract that will return $100,000 annually at the end of each year for 15 years. What amount should Alphonse pay for this investment if it earns an 6% return?
1 answer
378448
You can
ask a new question
or
answer this question
.
Similar Questions
would you purchase a $100,000 20 year annuity today for $15,000 given a required rate of return of 14.5%? Why, what is the value
Top answer:
To determine whether you should purchase a $100,000 20-year annuity today for $15,000, we need to
Read more.
Farah has $600,000 in her RRSP and wishes to retire. She is thinking of using the funds to purchase an annuity that earns 5%
Top answer:
The standard formulas can only be used if the compounding period and the payment period are the
Read more.
Your brother just won the Power Ball lottery. He has the choice of $10,000,000 today or 30-year annuity of $500,000, with the
Top answer:
Let the built-in interest rate be constant and equal to i. The future value of the lump sum, S,
Read more.
Please how do i calculate this problem.
Your girlfriend just won the Power Ball lottery. She has the choice of $10,000,000 today
Top answer:
first payment today: $10,000,000 - $500,000 = $9,500,000 -$9,500,000= PV $500,000= PMT 29=N CPT R=
Read more.
Here are two ways of investing $30,000 for 20 years.
Lump sum Deposit 30,000 Rate 5% compounded annually Time 20 years After 20
Top answer:
To calculate the amount you will have after 20 years from the lump sum investment, you can use the
Read more.
Suppose an annuity will pay $18,000 at the beginning of each year for the next 8 years. How much money is needed to start this
Top answer:
Do annuity payments stop at death? Or is lump sum payment made to a beneficiary? If either case, age
Read more.
You are thinking about investing $100,000 in a new product.
Sales expections are $95,000. If R & D will cost another $3,000,
Top answer:
To determine whether you should invest in the product, you need to evaluate the profitability of the
Read more.
What is the future value of an annuity that has the following characteristics: (a) you pay $1,000.00 per year into the annuity,
Top answer:
To calculate the future value of an annuity with the given characteristics, you can use the formula
Read more.
Use the ordinary annuity formula to determine the accumulated amount in the annuity. Round to the nearest cent.
$1000 invested
Top answer:
We can use the formula for the future value of an ordinary annuity: FV = PMT * [((1+r)^n - 1) / r]
Read more.
An investment will provide Nicholas with $100 at the end of each year for the next 10 years. What is the present value of that
Top answer:
To calculate the present value of an annuity, you can use the formula: PV = p * (1 - (1 + r)^(-n)) /
Read more.
Related Questions
Ty received a separation payment of $25 000 from his former employer when he was 35-years old. He invested that sum of money at
Rick deposits $1,000 into an investment account which earns 4% annually. Sally loans $1,000 to a friend, and the friend agrees
Alice wants to know how much she'll have to invest today to receive an annuity of $10,000 for six years if interest is earned at
Tasha invests $5,000 annually at 6% and $5,000 annually at 8%. Thomas invests $10,000 annually at 7%. Which statement accurately
Juan has an annuity that pays him $9400 at the beginning of each year. Assume the economy will grow at a rate of 3.4% annually.
Helen has just retired with $500 000 in her account and wishes to start an annuity. She intends to withdraw $M at the end of
Would 72,060,964,765 look like the following in it's expanded form?
7X 10,000,000,000 + 2X 1,000,000,000 + 0X 100,000,000 + 6X
A deferred annuity it purchased that will pay and 10000 per quarter for 15 years after being deferred for 5 years .if money is
Our topic is about Annuity.An investment firm offers a 10-year,simply annuity with a guaranted rate of 6.85% compounded
Niles is making an investment with an expected return of 12 percent. If the standard deviation of the return is 4.5 percent, and