Carol and Amy Glaser recently divorced. As part of the divorce settlement, Carl must pay Amy $1000 at the end of every quarter for 8 years. Find the lump sum he must deposit into an account earning 8% per year compounded quarterly to make the payments.
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- Fred and Wilma were divorced in year 1 (before 2019). Fred is required to pay Wilma 12,000 of alimony each year until their child turns 18. At that time, the payment will be reduced to 10,000 per year. In year 3, in accordance with the divorce agreement, Fred paid 6,000 directly to Wilma and 6,000 directly to the law school Wilma is attending. What amount of the payments received in year 3 is income to Wilma? a. 6,000 b. 10,000 c. 12,000 d. 0Minnie owns a qualified annuity that cost 78,000. The annuity is to pay Minnie 650 per month for life after she reaches age 65. Minnie turns 65 on September 28, 2019, and receives her first payment on November 1, 2019. a. How much gross income does Minnie have from the annuity payments she receives in 2019? b. Shortly after receiving her payment on October 1, 2034, Minnie is killed in an automobile accident. How does the executor of Minnies estate account for the annuity on her return for the year 2034? c. Assume that the accident does not occur until November 1, 2043. How does the executor of Minnies estate account for the annuity on her 2043 return?Patricia and Joe Payne are divorced. The divorce settlement stipulated that Joe pay $545 a month for their daughter Suzanne until she turns 18 in 2 years. Interest is 18% a year. How much must Joe set aside today to meet the settlement?
- Dan and Mary Foster just divorced. The divorce settlement included $650 a month payment to Dan for the 4 years until their son turns 18. Find the amount Mary must set aside today in an account earning 12% per year compounded monthly to satisfy this financial obligation.Roberto and Marivic are legally separated. As part of the separation settlement, Roberto must pay Marivic P50,000 at the end of each quarter for 6 years. If money can be deposited today 9% compounded quarterly, find the lump sum he could deposit today to have enough money, with principal and interest, to make the payments. How much interest will be earned?Jan sold her house on December 31 and took a $50,000 mortgage as part of the payment. The 10-year mortgage has a 10% nominal interest rate, but it calls for semiannual payments beginning next June 30. Next year Jan must report on Schedule B of her IRS Form 1040 the amount of interest that was included in the two payments she received during the year. a. What is the dollar amount of each payment Jan receives? Round your answer to the nearest cent.$ b. How much interest was included in the first payment? Round your answer to the nearest cent.$ How much repayment of principal was included? Do not round intermediate calculations. Round your answer to the nearest cent.$
- Jan sold her house on December 31 and took a $25,000 mortgage as part of the payment. The 10-year mortgage has a 10% nominal interest rate, but it calls for semiannual payments beginning next June 30. Next year Jan must report on Schedule B of her IRS Form 1040 the amount of interest that was included in the two payments she received during the year. a. What is the dollar amount of each payment Jan receives? Round your answer to the nearest cent. $ b. How much interest was included in the first payment? Round your answer to the nearest cent. How much repayment of principal was included? Do not round intermediate calculations. Round your answer to the nearest cent. $ How do these values change for the second payment? I. The portion of the payment that is applied to interest declines, while the portion of the payment that is applied to principal increases. II. The portion of the payment that is applied to interest increases, while the portion of the payment that is applied to principal…During a divorce, one partner must pay $5100 in quarterly alimony to their former spouse for 13 years. As this partner is wealthy, they decide to set up an alimony account with automatic quarterly payments to their former spouse. How much money should the partner deposit into this alimony account now as an investment if the account earns 3.3% interest.Jan sold her house on December 31 and took a $30,000 mortgage as part of the payment. The 10-year mortgage has a 10% nominal interest rate, but it calls for semiannual payments beginning next June 30. Next year Jan must report on Schedule B of her IRS Form 1040 the amount of interest that was included in the two payments she received during the year. a. What is the dollar amount of each payment Jan receives? Round your answer to the nearest cent. $ b. How much interest was included in the first payment? Round your answer to the nearest cent. $ c. How much repayment of principal was included? Do not round intermediate calculations. Round your answer to the nearest cent. $
- Jan sold her house on December 31 and took a $50,000 mortgage as part of the payment. The 10-year mortgage has a 12% nominal interest rate, but it calls for semiannual payments beginning next June 30. Next year Jan must report on Schedule B of her IRS Form 1040 the amount of interest that was included in the two payments she received during the year. a. What is the dollar amount of each payment Jan receives? Round your answer to the nearest cent.$ b. How much interest was included in the first payment? Round your answer to the nearest cent.$ How much repayment of principal was included? Do not round intermediate calculations. Round your answer to the nearest cent.$ How do these values change for the second payment? 1. The portion of the payment that is applied to interest declines, while the portion of the payment that is applied to principal increases. 2. The portion of the payment that is applied to interest increases, while the portion of the payment that is applied to…Jan sold her house on December 31 and took a $30,000 mortgage as part of the payment. The 10-year mortgage has a 10% nominal interest rate, but it calls for semiannual payments beginning next June 30. Next year Jan must report on Schedule B of her IRS Form 1040 the amount of interest that was included in the two payments she received during the year. a. What is the dollar amount of each payment Jan receives? Round your answer to the nearest cent. $ b. How much interest was included in the first payment? Round your answer to the nearest cent. $ b.2 How much repayment of principal was included? Do not round intermediate calculations. Round your answer to the nearest cent. $ c. How much interest must Jan report on Schedule B for the first year? Do not round intermediate calculations. Round your answer to the nearest cent. $3,000.00 (correct according to “Check my work.”)Jan sold her house on December 31 and took a $45,000 mortgage as part of the payment. The 10-year mortgage has a 10% nominal interest rate, but it calls for semiannual payments beginning next June 30. Next year Jan must report on Schedule B of her IRS Form 1040 the amount of interest that was included in the two payments she received during the year. a. What is the dollar amount of each payment Jan receives? Round your answer to the nearest cent. $ b. How much interest was included in the first payment? Round your answer to the nearest cent. $ How much repayment of principal was included? Do not round intermediate calculations. Round your answer to the nearest cent. $ How do these values change for the second payment? I. The portion of the payment that is applied to interest declines, while the portion of the payment that is applied to principal increases. II. The portion of the payment that is applied to interest increases, while the portion of the payment that is applied to principal…
