ARAB Bank pays 0.07 percent, compounded weekly (based on 52 weeks), on an 8-month certificate of deposit. If you deposit $15000. what is the effective annual rate what is the amount of interest paid to you in 8 months?

Q: First City Bank pays 6% annual simple interest on its saving account balances, whereas Second City…

A: given, first bank simple interest=6%second bank compound interest =6%p=$7500n=10 years

Q: A bank pays simple interest at the rate of 8% per year for certain deposits. If a customer deposits…

A: Formula: Interest amount = Deposit amount x Time period x Interest rate

Q: person borrows $2,850 on a bank credit card at a nominal rate of 18% per year, which is actually…

A: a.  Annual Percentage Yield      APY =[ (1+r)^n - 1]       APY = [(1+0.015)^12-1]       APY…

Q: If $1,300 is deposited each quarter in an account that earns 2% compounded quarterly, how many full…

A: To calculate the number of payments, future value of annuity formula will be used. where C is…

Q: ARAB Bank pays 0.074 percent, compounded weekly (based on 52 weeks), on an 8-month certificate of…

A: The effective annual rate of interest is the real return on the savings account when the effects of…

Q: One year from today you must make a payment of $4,000. To prepare for this payment,you plan to make…

A: Excel Spreadsheet: Excel Workings:

Q: how much will have tobe deposited to earn 225 pesos of interest

A: Simple Interest: It is the easiest method to compute interest expense/charge on the loan taken.…

Q: You deposit $10,000 in a bank that pays an annual interest rate of 6% compounded quarterly how much…

A: We need to use compound interest formula for calculation of amount after 5 years A=P(1+r)n Where…

Q: You want to lend $12,000 as a bank deposit in a private bank with an interest rate 3 % per month.…

A: The worth of money changes with time. Therefore, the time value of money explains the worth of money…

Q: You plan to make five deposits of $1,000 each, one every 6 months, with the first paymentbeing made…

A:

Q: A bank pays simple interest at the rate of 8% per year for certain deposits. If a customer deposits…

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

Q: If the bank states an effective interest rate of 13.5% per year, and there are 52.15 weeks, how much…

A: Formula for calculating weekly interest rate is:

Q: First National Bank charges 15 percent compounded quarterly on its business loans. First United Bank…

A: The effective annual rate of interest is the actual or the real rate of interest paid or received…

Q: If the bank is paying 8% interest compounded quarterly, how much must you deposit today in your…

A: The formula to calculate the present value of future cash inflow is C/(1+r)n, where C is the cash…

Q: First City Bank pays 6 percent simple interest on its savings account balances, whereas Second City…

A: Simple interest is the additional amount that the bank pays for depositing a sum in the account. In…

Q: a bank charges one and one-half percent per month on the unpaid balance for purchases made its…

A: Present value is the sum of the current value of money of future cash flows. It is also known as a…

Q: Commercial bank pays 12% interest and compounds quarterly. If 1000 are initially, how much shall it…

A: Computation:

Q: It is now January 1. You plan to make a deposit of GHȼ100 each, one every 6 months, with the first…

A: The future value is the amount that will be received at the end of a certain period. In simple…

Q: You make a one-time $3,088 deposit into an account which pays 2.8% compounded weekly. If you don't…

A: using excel fv function

Q: If you borrow $29834 with an annual rate of 12% compounded monthly and make a payment of $403 every…

A: The borrowing is the amount that is borrowed by the person, a company from any of the financials…

Q: On January 1, you deposit K100 in an account that pays a nominal interest rate of 11.33463%, with…

A: Computation:

Q: If you deposit 2500 into an account paying 11% annual interest compounded quarterly, how  long until…

A: The number of years: An initial investment grows to a certain given amount at a specified interest…

Q: A credit card offers an introductory rate of 7% compounded monthly for the first six months,…

A: A credit card is a short-term credit facility provided by the banks to its customers. Interest is…

Q: You owe the bank $1,245 in 9 months.  How much do you need to deposit in an account today, earning…

A: As per the given information: Amount owed to the bank - $1,245 in 9 months Earning - 3.25% APR…

Q: Your local bank offers 4-year certificates of deposit (CD) at a 12 percent annual nominal interest…

A: Future Value: The future value is the value of annuity or the sum lump amount after a certain period…

Q: You agree to make 24 deposits of $500 at the beginning of each month into a bank account. At the end…

A: Data given:: No. of deposits = 24 Amount deposited at the beginning of each month = $500 FV= $12800…

Q: A payday loan company charges a $45 fee for a $550 payday loan that will be repaid in 18 days.…

A: In this question we need to compute the equivalent annual interest rate.

Q: You deposit $3500 in an account earning 2% interest compounded quarterly. How much will you have in…

A: Deposit amount (P) = $3500 Interest rate = 2% Quarterly interest rate (r) = 2%/4 = 0.50% Period = 18…

Q: First City Bank pays 8 percent simple interest on its savings account balances, whereas Second City…

A: a) simple interest on first city bank Simple interest = Amount * rate * time

Q: A bank is offering to sell 6-month certificates of deposit for $12,000. At the end of 6 months, the…

A: Given information: Present value of deposit amount $12,000 After 6 months, it will pay $13,000

Q: An account pays 3.3% interest compounded quarterly. Marson will make a regular deposit at the end…

A: Interest - Interest is a regular payment that is made at a certain rate of interest for a fixed…

Q: Federal Savings Bank is offering a 6-month CD (certificate of deposit) with a rate of 4.5%…

A: The real interest that an investor earns on the investment and a borrower pays on loan after…

Q: Six months from today, you wish to begin making an infinite series of semiannual withdrawals of $600…

A: An infinite series of deposit which will have same deposit is known as perpetuity. The present value…

Q: Suppose that you deposit $750 into a bank account today. If the bank pays 8 percent APR per year,…

A:

Q: Your bank pays 12% interest, compounded quarterly. How much should you deposit now to yield an…

A: Present value is the amount that should be deposited to the given yield at each of the three months.

Q: Your bank account pays a nominal interest rate of 8%, compounded quarterly. You deposit $500 in the…

A: Here, Deposit today is $500 Deposit at the end of first year is $1,000 Interest Rate is 8%…

Q: To buy a Treasury bill (T-bill) that matures to $10,000 in 6 months, you must pay $9720. What annual…

A: future value = $10000 Mature time = 6 months or 6/12 Principal = $9720 interest amount = future…

Q: You purchase a TIP note with an original principal amount of $1,000.000 and a 10 percent annual…

A: TIPS are inflation adjusted securities by the government.

Q: a bank will lend a landlord 10,000 TL. The debt has to be paid back in 24 months with monthly…

A: Loan is contract between lender and borrower where lender provide funds to borrower for definite…

Q: If you deposit $1500 per month into a credit union savings account that pays interest at a rate of…

A: Using Excel FV function

Q: You want to lend $10,000 as a bank deposit in a private bank with an interest rate 3% per month. You…

A: Amount lend as deposit - $10,000 Interest rate - 3% per month Period - 6 months

Q: You have $2,000 invested in a bank account that pays a 4 percent nominal annual interest with daily…

A: Invested amount (P) = $ 2000 Annual interest rate = 4% Daily interest rate (r) = 4%/365 =…

Q: Bank A offers a nominal annual interest rateof 6.5% compounded daily, while Bank B offerscontinuous…

A: The future value of the cash flow is the future worth of a cash flow at a certain rate of interest…