Lala

Solving for r in the above equation we get 14.318% as the effective interest rate.

Poor Dog, Inc. borrowed $135,000 from the bank today. They must repay this money over the next six years by making monthly payments of $2,215.10. What is the interest rate on the loan? Express your answer with annual compounding.

7. Trevor's Tires is offering a set of 4 premium tires on sale for $550. The credit terms are 24 months at $20 per month. What is the interest rate on this offer?

Joshua borrowed $500 for one year and paid $25 in interest. The bank charged him an $8 service charge. What is the

What annual interest rate is needed to produce $200,000 after five years if only $100,000 is invested?

9. What is the present value of an 8-year annuity that makes quarterly payments of $73 if

10. An investment of $1,000 today will grow to $1,100 in one year. What is the continuously compounded rate of return?

Therefore the annual interest rate is 8% and the effective annual rate compounded quarterly is 8.24%

Week 8 DQ 4Is the compound interest formula—such as would be used to calculate a car loan—an

1. If Mrs. Beach wanted to invest a lump sum of money today to have $100,000 when she retired at 65 (she is 40 years old today) how much of a deposit would she have to make if the interest rate on the C.D. was 5%?

After the calculations you end up coming out with a rate of 14.87%. The third and final part of question three asks what rate you will need if the interest is compounded semiannually. All you have to do is double the amount of terms and you will come out with a lower number of 7.177%. Since the interest is compounded semiannually that means that you will need to times that number by two and you come out with your final number of 14.35%.

In the kingdom of Lalalandia, there was a king and a queen. The people of Lalalandia loved their rulers, but they complained about the laws very often. One day the king and queen decided to make a constitution. The constitution stated that people could propose laws to the king and queen, but the king and queen still had the power to veto it. The people of Lalalandia were still not happy with Queen Celestia and King Prince’s choices. They decided to overthrow the monarchy and made a federal government.

Alphonse Mucha, an adept designer from the Art Nouveau movement, heavily inspired my art piece ‘Just Breathe’. Mucha is renowned for his captivating feminine style. His works from Art Nouveau often had a central female figure encircled in intricate design. The surrounding design ranged from nature to themes inspired from cultures such as Moravian folk art.

Joseph is a friend of yours. He has plenty of money but little financial sense. He received a gift of $12,000 for his recent graduation and is looking for a bank in which to deposit the funds. Partners’ Savings Bank offers an account with an annual interest rate of 3% compounded semiannually, while Selwyn’s offers an account with a 2.75% annual interest rate compounded continuously. Calculate the value of the two accounts at the end of one year, and recommend to Joseph which account he should choose.

The company has an agreement with a bank that allows the company to borrow in increments of $1,000 at the beginning of each month. The interest rate on these loans is 1% per month and for