Find the lump sum deposited today that will yield the same total
amount as payments of $10,000 at the end of each year for 15 years at a
rate of 4% compounded annually.

  1. 👍 0
  2. 👎 0
  3. 👁 202
  1. Present value
    = 10000 (1 - 1.04^-15)/.04
    = ....

    1. 👍 0
    2. 👎 0

Respond to this Question

First Name

Your Response

Similar Questions

  1. Chemistry

    When 4.0 mol of CCl4 reacts with an excess of HF, 3.0 mol of CCl2F2 (Freon) is obtained. The equation for the reaction is CCl4(l) + 2HF(g) --> CCl2F2(l) + 2HCl9g) State which of the statements are true about the reaction and make

  2. Finance

    . On the day that you were born, your grandfather opened a savings account in your name. At that time, he deposited a certain amount of money into the account, and has deposited the same amount on each of your first 20 birthdays.

  3. Maths

    Manoj deposited a sum of rs 64000 in a post office for 3 years, compounded annually at15/2% per annum. What amount will he get on maturity

  4. Math(simple interest)

    A person borrows two equal sums of money at the time at 5% and 3.75% simple interest respectively & finds that if he repays the former sum a year before the latter the amount paid in each case is the same that is Rs.736. Find the

  1. math help please

    Sue Stitch buys a sewing machine. The price, including tax, is $575.00. She finances the sewing machine over 24 months after making a $25 down payment. The true annual interest rate is 15%. What are Sue's monthly payments

  2. MTH 156

    Southwest Cleaners believes that it will need new equipment in 10 years. The equipment will cost $26,000. What lump sum should be invested today at 8% compounded semi-annually, to yield $26,000?

  3. math

    Manoj deposited a sum of 64000 in a post office for 3yrs,compound annually at 7 1/2per annum.what amount will he get on maturity?

  4. Precalculus

    you borrow $5,000 from your parents to purchase a used car. The arrangements of the loan are such that you make payments of $250 per month toward the balance plus 1% interest on the unpaid balance from the previous month. (a) Find

  1. Finance

    Your trust fund will pay you $100.000 in six years when you turn 25. A shady institute has encourage you to sign over in exchange of cash today. Would you prefer a 8% or 10% discount rate to determine value of lump sum payment ?

  2. Math

    I need help with this I keep putting the numbers in wrong on the formula ! PLEASE HELP Price of article = $315.50 Down payment = $31.55 Monthly payment amount = $16.50 Duration of payments = 20 months True annual interest rate to

  3. mathematics

    Find I. Choose the correct answer. Amount Financed (m) = $1,400 Number of Payments per year (y) = 12 Number of Payments (n) = 24 Total Interest (c) = $200.50

  4. Math

    Suppose you take out a 45​-year ​$100,000 mortgage with an APR of 6​%. You make payments for 2 years ​(24 monthly​ payments) and then consider refinancing the original loan. The new loan would have a term of 20 ​years,

You can view more similar questions or ask a new question.