Variable Annuity Comparison

I get a $5,000.00 anuity semi-annually and my daughters think they should have it, and leave me broke. The teeth and glasses cost about $2,250.00. Heck I should get some of the dollars I worked for, don`t you think.
Richard

this money will be used for retirment which is about 15 years away,some things i like about an annuity is that it is tax deffered,but i dont know much about investing all i know is that i dont want to risk losing it. An annuity also has a higher brokage fee (about 1.5%)which is high I need help there are way to many options.

Payments of 2,500 made at the beginning of each semiannual period for 15 years at 10%

Answers
163,597.12
153,306.78
87,374.32
174,401.97

Question # 1 Marks 1

By law, 1/11th of Basic Salary per month is contributed only by the company to the …………..Fund to the account of the employee.

a)Utilities allowance
b)Conveyance allowance
c)Gratuity
d)None of these

Question # 2 Marks 2

A chartered bank is lowering the interest rate on its loans from 8.5% to 7.25%. What will be the percent decrease in the interest rate on a given balance?

a)12.5%
b)13.75%
c)14.71%
d)15.25%

Question # 3 Marks 2

A Company signed a three year collective agreement that provided for wage increases of 5%, 3%, and 2% in successive years. An employee is currently earning 6500 rupees per month. What will be the salary per month at the end of the term of the contract?

a)Rs 7150.25
b)Rs 7170.35
c)Rs 7180.45
d)Rs 7190.55

Question # 4 Marks 2

A retailer buys goods at 10% discount on its market price & sells them at 20% higher than the marked price. What is his profit percent?
a)20%
b)25%
c)30%
d)33.33%

Question # 5 Marks 2

A person returns Rs.1331 after 3 years from the date of borrowing. If the rate of interest is 10% per Annam and interest compounded annually, find the amount borrowed

a)Rs.900
b)Rs.1000
c)Rs.1100
d)Rs.1200

Question # 6 Marks 1

400 is what percent of 40?

a)100
b)1000
c)400
d)40

Question # 7 Marks 2
You borrow Rs. 10,000 for 60 days at 5% simple interest per year (assume a 365 day year). What will be total interest after 60 days?
a)70.5
b)82.2
c)93.1
d)110.7
Question # 8 Marks 2

How much a company would have earning per share if the company has Rs. 250 million in earnings and have 20 million shares?

a)Rs. 12.5
b)Rs. 125
c)Rs. 1250
d)Rs. 12500

Question # 9 Marks 2

If you plan to accumulate Rs. 30, 0000 after 10 years from now, what will you need to invest this year if you earn 8% interest compounded semi annually?

a) 30, 0000(1 + 0.08)10
b) 30, 0000(1 + 0.08)20
c) 30, 0000 [1/(1+0.04)20]
d) 30, 0000 [(1 + 0.08)20 -1]/0.08

Question # 10 Marks 2

You want to buy an ordinary annuity that will pay you Rs. 4,000 a year for the next 20 years. You expect annual interest rates will be 8 percent over that time period. The maximum price you would be willing to pay for the annuity is closest to

a)Rs. 32,000.
b)Rs. 39,272
c)Rs. 40,000
d)Rs. 80,000

Question # 11 Marks 1

To increase a given present value, the discount rate should be adjusted

a)Upward
b)Downward
c)True
d)Fred

Question # 12 Marks 2

Compound interest on Rs 10000 for 2 years at the rate of 8% per annum when the interest is compounded half yearly is

a)1098.25
b)1154.59
c)1257.8
d)1698.58

Question # 13 Marks 2

Suppose you make a saving of Rs. 50,000 at the end of each month, assume an interest of 7% compounded monthly, how much will you have accumulated at the end of 4 years?

a) 50000[(1 + 0.07)48 -1]/ (0.07)
b) 50000[(1 – (1 + 0.07)-4]/ 0.07
c) 50000[(1 + 0.07/12)48 -1]/ (0.07/12)
d) 50000(1+0.07)4

Question # 14 Marks 2
If you want to withdraw Rs 45,000 at the end of each quarter for the next 6 years then what amount must you invest today at 6% compounded quarterly?

a)45,000 [(1 - (1/ (1 + .06/4)24)) / (.06/4)]
b)45,000(1 + .06/4)24)
c)45,000 [(1 + ((1 + .06/4)24)) / (.06/4)]
d)45,000 [(1 - (1/ (1 + .06)6)) / (.06)]

Find the monthly payment (pymt) that will yield ordinary annuity $100,000 at interest 9.25% for 30 years. (Round the answer to the nearest cent.)

Find the monthly payment (pymt) that will yield ordinary annuity $260,000 at interest 10.5% for 43 years. (Round the answer to the nearest cent.)

I’m having troubles. Thanks.

Upon graduation from college, Susana Lopez signed an agreement to buy a used car. Her annual payments, which are due at the end of each year for two years, are $1,480. The car dealer used a 12% rate compounded annually to determine the amount of the payments.

What should Susana consider the value of the car to be? (Round to two decimal places). Provided here are some time value of money factors.
The present value of an annuity factor for n=8, i=3% is 7.020
The present value of an annuity factor for n=2, i=12% is 1.690

If she had wanted to make quarterly payments, what would her payments have been based on the value of the car as determined in (1)?

I am single, 53 year old, retired because of a disability at the VA. I have back surgury. I currently pay $60.00 a month in withholdings.

I was told I will get all this back when I file my taxes for 2009.
I live in Tennessee and there is no state income tax. I looking to understand my liability to the fed tax?

The first airing I believe was 8/9/08, and the re-run just aired 11/1/08. I haven’t been able to find the 3rd and 4th items anywhere online. Do her show transcripts exist anywhere, or does anyone have the info? Thanks in advance.

What’s the lowest amount of money you can buy for annuities?Just what do they do? Are they helpful with saving for retirement? What is thier purpose and use for people?

My friend had no living relatives. Atty calls & offers to file claim on my behalf. Sounds suspicious, should a beneficiary have to pay to receive the proceeds?

Suppose you have to establish a new company. Suggest in which item or items company should deal. How much sale of the item is required in order to reach at break even point depending on the suggested price of item, production capacity, fixed and variable cost associated with the item? Businesses have to plan for the future. Since equipment breaks down or wears out, business owners have to have the money to replace the equipment. In addition, money might be set aside for retirement benefits for their employees. Suggest if the company need to set aside the lump sum of money that will collect interest or company should purchase annuities. Support your suggestion with argument.