Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. 1. sandy beach intends to deposit $4,000 into her

1. Sandy Beach intends to deposit $4,000 into her bank account at the end of...

70.2K

Verified Solution

Question

Accounting

image

1. Sandy Beach intends to deposit $4,000 into her bank account at the end of every three months for five years. Assume that Sandy earns 20% interest compounded quarterly on her bank account. Calculate the amount Sandy will have in her account in five years. 2. ABC Company sold the rights to use one of their patented processes that will result in them receiving cash payments of $2,000 at the end of each of the next five years, a $14,000 cash payment at the end of the sixth year, and a $10,000 cash payment at the end of the seventh year. Calculate the total present value of these payments assuming the interest rate is 6% compounded annually

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students