Assignment task:
The Pirerras are planning to go to Europe 3 years from now and have agreed to set aside $170/month for their trip. If they deposit this money at the end of each month into a savings account paying interest at the rate of 7.5%/year compounded monthly, how much money will be in their travel fund at the end of the third year? (Round your answer to the nearest cent.)
Lauren plans to deposit $5000 into a bank account at the beginning of next month and $175/month into the same account at the end of that month and at the end of each subsequent month for the next 6 years. If her bank pays interest at a rate of 6%/year compounded monthly, how much will Lauren have in her account at the end of 6 years? (Assume she makes no withdrawals during the 6-year period. Round your answer to the nearest cent.)
Find the amount needed to deposit into an account today that will yield pension payments of $50,000 at the end of each of the next 15 years if the account earns interest at a rate of 7.9%/yr compounded annually. (Round your answer to the nearest cent.)
A local moving service recently purchased a van by securing a loan with semiannual payments of $3300 per semiannual period for 8 years at 13% per year compounded semiannually. What was the purchase price of this van? (Round your answer to the nearest cent.)