A 6% compounded monthly has an equivalent rate of 1.2042%, how many times does it pay every year? Group of answer choices 5 2 3 4 11. How long in years will a certain sum of money to doubles its amount when deposited at a rate of 1% compounded bi-monthly? Group of answer choices 69.37 yrs 68.37 yrs 70.37 yrs 71.37 yrs

Q: You place $4000 into an account paying 8% compounded annually. Inflation is 2.5% during each of the…

A: The real rate of return is the actual rate of return after taking inflation into account. The…

Q: An amount of $29,200 will provide 9 years of payments of $2,518.50 at the end of every 6 months.…

A: Present Value  $                 29,200.00 Time Period 9 Semi Annual Payment(P/Y)  $…

Q: A payment of $15,000 is due in 1 year and $11,000 is due in 2 years. What two equal payments, one in…

A: Compounding is a technique which is used to compute the future value (FV) of the present amount by…

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A: Mortgage/ Borrowings:  Borrowings are the loan which is taken by the individual to meet its…

Q: You put $1, 000 into a savings account today that offers a 5% APR with semi-annual compounding…

A: Number of period is 4 (2 x 2).

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A: Amount of Deposit = RM 25,000 Interest Rate = 16% per annum Quartery interest Rate(r) = 16%/4 = 4%…

Q: You deposit $66000 into an account which pays 5% compounded quarterly. How much can you withdraw at…

A: Perpetuity means infinite no. of payments which are same in size and made in equal intervals. Person…

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A: A study that proves that the future worth of the money is lower than its current value due to…

Q: What is the present value of a simple ordinary annuity if payments are made quarterly of Php 18,000…

A: An annuity is a series of regular and equal cash flows at periodic intervals. The Present Value of…

Q: A 6% compounded monthly has an equivalent rate of 2.0151%, how many times does it pay every year? 3…

A: Compounding means interest on interest.

Q: You deposit $57000 into an account which pays 7% compounded annually. How much can you withdraw at…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: What is the present value of ₽5,000 payable semi-annually for 10 years if money is worth 9%…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: A bank deposit of P10,000 earns 3.5% pa compounded quarterly. If inflation is at 5% per year, what…

A: Future value can be referred to as the value of an underlying asset or security at a future date.…

Q: What single payment two years from now would be equivalent to these original payments? Assume that…

A: In this Type of Questions, We Use Equivalent Amount Concept which is basically use of Time Value of…

Q: What is the present value of P2,500 semiannual payments received at the beginning of each period for…

A: Please refer to the image below

Q: Find the present value of a perpetuity of P15,000 payable semi-annually if money is worth 8%…

A: A perpetuity is a series of continuous payments made at regular intervals. It can also be understood…

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A: Present value of money would give the required money today that is equivalent to future payment to…

Q: A payment of $12,000 is due in 1 year and $10,200 is due in 2 years. What two equal payments, one in…

A: Compounding is a process that uses an appropriate rate or CVF to calculate the future value (FV) of…

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A: Installment is equal periodic payments a borrower pays in order to pay back his loan over a period…

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A: The regular or lump-sum amount that is received or paid after a specific time period rather than…

Q: a.) Present Value of all payments. (Answer: 108,138.03) b.) Equivalent semi-annual payments.…

A: Information Provided: Discount rate = 12.15% First year = 11,085 Second year = 23,819 Third year =…

Q: How long will it take $700 to double if it earns the following rates? Compounding occurs once a…

A:

Q: If money is worth 8% compounded quarterly, find the present value of 12 quarterly payments of P1,…

A: The rate of interest is 8% compounded quarterly. The payment made for 12 quarters. the each payment…

Q: An amount of R30 0000 is deposited into an account now, at a rate of 3,9% pa. Three years from now…

A: Given: Deposit amount = 300000 Interest rate = 3.9% Additional amount = 170000 New interest rate =…

Q: How long in years will a certain sum of money to triples its amount when deposited at a rate of 5%…

A: Interest rate = 5% Monthly interest rate (r) = 5%/12 = 0.416666666666667% Period = Y Years Number of…

Q: A payment of $13,735 is due in 1 year, $19,500 is due in 4 years, and $8,900 is due in 7 years. What…

A: Payment due in year 1 (P1) = $13735 P4 = $19500 P7 = $8900 Interest rate = 5.5% monthly compounded

Q: w much would you have in 7 years if you purchased a $1,000 7-year savings certificate that paid 3%…

A: Using excel future value function

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A: Given That: P.V=$23000 Payment is done in 3 equal payment Rate of interest= 4.25% Duration= 6 years…

Q: A payment of $1,750 is due in 2 years, and $5,800 is due in 5 years. What single payment made today…

A: To calculate the single payment of the payment due $ 1750 and $ 5800 in year 2 and year 5…

Q: How long in years will a certain sum of money to doubles its amount when deposited at a rate of 6%…

A: The amount of money invested over a period of time with the assumption of investment growth at a…

Q: How long (in years) will it take to repay a $100,000 loạn taken out today at 7% compounded monthly,…

A: The time value of money is the one widely used by companies and individuals to determine the current…

Q: You wish to save $51000 in an account which pays 4% compounded monthly by making semiannual deposits…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: How long in years will a certain sum of money to doubles its amount when deposited at a rate of 8%…

A: In finance, The Rule of 78 is a method used by some lenders to calculate interest charges on a loan.…

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A: The given problem can be solved using PV function in excel. PV function computes present amount for…

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Q: A payment of $2,690 was due two years ago, and a payment of $1,650 is due today. What single payment…

A: This question can be solved in light of time value of money and future value. The formula to…

Q: A payment of $12,000 is due in 1 year and $11,500 is due in 2 years. What two equal payments, one in…

A: The present value method uses the discount rate to find the present values of the cash flows.

Q: The accumulated amount that you will receive after 52 months if you deposit R7 300 into an amount…

A: Interest is a value which is received on deposited amount for the period. It increases the value of…

Q: If money earns 3.9% compounded monthly, what two equal payments, one in 1 year and the other in 2…

A: Here, Interest Rate is 3.9% Compounding Period is Monthly i.e. 12 One Payment is made in Year1…

Q: A 20% compounded quarterly has an equivalent rate of 10.25%, how many times does it pay every year?…

A: Effective Annual Rate = 1+Nominal RateNumber of PeriodsNumber of Periods-1

Q: Payments of $1300 due today and $1800 due in 1_34 years are to be replaced by a single payment four…

A: given, rate = 2% m=4 let cashflow at year 4 = A year cashflow 0 1300 1 1800 3 1800 4 1800…

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A: Here the present value of two payments to be made at the end of 7 years and 9 years should be equal…

Q: If $82,000 is invested in an annuity that earns 5.3%, compounded quarterly, what payments will it…

A: The question gives the following information: Present value=$82,000Rate=5.3%Time period=4.5 years