Tom and Sandy have set up a sinking fund in order to have $105,000.00 in 10 years for their child's college education. How much should be paid semiannually into an ordinary annuity earning 6.44% compounded semiannually so that they reach their goal? (Note: Your answer is a dollar amount and should include a dollar sign)
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00. Using the formula for compound interest: FV = PV * (1 + r/n)^(nt) where FV is the future value, PV is the present value (initial amount), r is the annual interest rate, n is the number of compounding periods per year, and t is the number of years. FV = Show more…
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Tom and Sandy have set up a sinking fund in order to have $15,000.00 in 44 years for their child's college education. How much should be paid monthly into an ordinary annuity earning 5.43% compounded monthly so that they reach their goal? (Note: Your answer is a dollar amount and should include a dollar sign)
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Parents have set up a sinking fund in order to have $150,000 in 12 years for their children's college education. How much should be paid semiannually into an account paying 8.6% compounded semiannually? m = 150, 000 m = 1 m = 0.086 m = 12 m = 24 There would be no m value used. m = 8.6 m = 2
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