What is the total interest earned

Assignment Help Financial Accounting
Reference no: EM13750359

An ordinary annuity pays 6.48% compounded monthly. A person wants to make equal monthly deposits into the account for 15 years in order to then make equal monthly withdrawals of 1,500 for the next 20 years, reducing the balance to zero. How much should be deposited each month for the first 15 years? What is the total interest earned during this 35-year process? 

If the person makes monthly deposits of 1,000 for the first 15 years, how much can be withdrawn monthly for the next 20 years?

Reference no: EM13750359

Questions Cloud

Most likely vary directly with the level of firm sales : Which of the following accounts would most likely vary directly with the level of firm sales? Here is my best guess Cash - Yes  Notes Payable - Yes
Summarize how the workplace capability enthusiasm : Summarize how the workplace capability enthusiasm can be used to explain payroll tax and the responsibilities of an employer to a client.
Major difference between deferral and accrual adjustments : One major difference between deferral and accrual adjustments is?
Reviewing a process analysis essay : Choose one topic from the list below to explain step by step in paragraph form. This should be at least two paragraphs long. Then, use the questions listed below for Reviewing a Process Analysis Essay to review two of your classmates' posts.
What is the total interest earned : An ordinary annuity pays 6.48% compounded monthly. A person wants to make equal monthly deposits into the account for 15 years in order to then make equal monthly withdrawals of 1,500 for the next 20 years, reducing the balance to zero. How much shou..
Compute the balance of the accumulated depreciation account : Equipment was purchased for $30,000. It has a useful life of 5 years and a residual value of $4,000. Compute the balance of the Accumulated Depreciation account at the end of the second year.
Compute the manufacturing cost for august : Arnold Corporation uses a job order costing system and applies manufacturing overhead using a predetermined overhead rate based on direct labor hours. Compute the manufacturing cost for August :
Performs concerts at large performing art : Montpelier Symphony Orchestra performs concerts at large performing art center in the city. The average concert sells 900 tickets at $60 per ticket. The company runs about 100 concerts per year and each concert requires 95 artists. The company hires ..
Jason argues that oversimplification is a problem : 2. Jason argues that oversimplification is a problem when writing a cause-and-effect paragraph. Sally maintains that confusing cause and effect can be a serious problem in writing this kind of paragraph. Who is correct?

Reviews

Write a Review

Financial Accounting Questions & Answers

  General fund transactions of a revenue or transfer nature

All revenue and inter fund transfers of the City of Fenton are accounted for on the modified accrual basis. Below is shown a list of Fenton's General Fund transactions of a revenue or transfer nature. State which ones should be recognized by the Gene..

  Evaluate cost of goods available for sale

Compute cost of goods available for sale and the number of units available for sale and compute the number of units in ending inventory.

  How many pounds of plastic should be budgeted

The desired ending inventory of plastic is 30 pounds. How many pounds of plastic should be budgeted for purchasing during the coming period?

  How long will it take for the account to be paid off

If the current balance is $14,730, how long will it take for the account to be paid off? (Do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)

  What would the year-end entry

A machine was purchased for $28,000 and had an estimated scrap value of $4,000. What would the year-end entry be if the units of-production method was used, and it had an estimated life of 32,000 hours? In the first year of operation, it used 7,20..

  Compute the target selling price

Compute the markup percentage to achieve a desired ROI of $20 per unit and compute the target selling price

  Georgia would estimate variable cost per unit

Georgia uses the high-low method of estimating costs. Georgia had total costs of $16,100 at its lowest level of activity, when 5,000 units were sold. When, at its highest level of activity, sales equaled 12,800 units, total costs were $86,300. Georgi..

  Fill in the missing amounts in each of eight case situation

Assume that only one product is being sold in each of the four following case situations: (Input all amounts as positive values except losses which should be indicated by a minus sign. Omit the "$" sign in your response.)

  Prepare the cost of merchandise sold section

Prepare the cost of merchandise sold section of the income statement for the year ended June 30, 2008, using the periodic inventory system.

  What is the expected profit at a volume

Consider the following data: fixed costs = $10 million, variable cost per inpatient day = $400, and revenue per inpatient day = $1,200. What is the contribution margin? Assume the following cost and revenue data for General Hospital: fixed costs = $1..

  Revenue recognition based on accrual basisplease provide

revenue recognition based on accrual basis.please provide explanation as to how you derived to your answerssuppose you

  Financial statement analysis and statement of cash flows

Provide recommendations for future business activity based upon your assessment. Cite references from your library research to support your conclusions of the company's performance based upon your analysis and financial ratio evaluations.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd