Q: In simple interest, the interest for the current period is computed based on the amount (principal…
A: When some amount is deposited in the bank as a principal, the bank pays interest to the savers…
Q: In preparation for Sandara’s college education, her parents want to save ₱400,000 after 12 years.…
A: Given information, Future value (F)= ₱400,000 Interest rate (r)= 2% Compounding period (m)= 4…
Q: Write the formula developed for calculating compound interest?
A: Compound interest refers to the interest calculated on the principle amount, thus increasing the…
Q: The Balance of Payment account is important, however, there are some aspects of the account which is…
A: The balance of trade is an important part of a country's balance of payments. The difference between…
Q: Your friend Tim wants to open a checking account, but he's not sure how to do it. List the steps.
A: A checking account is a sort of bank account that enables you to deposit and receive money for…
Q: A bank gives a loan to a company to purchase an equipment worth 10,00,000 dollars at an interest…
A: Loan amount to purchase the equipment = $1000000 Interest rate = 18% Time period for the the…
Q: A Bank offers you a 250,000 pesos, 3 years and 6 months term loan at 4. 78 percent annual interest.…
A: PV = 250,000 N = 42 Months r = 0.0478/12 = 0.0039833
Q: Illustrate how the Cash Balances change over time?
A: Cash Flow: When the cash goes out of business or cash comes into the business is termed as cash…
Q: If you make a late payment on a 0% interest credit card, you're responsible for paying the entire…
A: The statement is false If we make late payment on a 0% interest card , then the bank may charge…
Q: Distinguish between the present worth of cash and future worth of cash?
A: Present worth of cash : Meaning : It is defined as the current value of future or future value.…
Q: Effect of Covid-19 on Balance of Payment
A: Example of Ghana COVID-19 pandemic has lowered the world demand due to prolonged lockdowns. On…
Q: How much money do you need to deposit in a bank each month if you are planning to have $5000 in four…
A:
Q: Abigail sets aside $1,000 per month for here retirement years. This function of money is called: O…
A: Money is an economic entity that serves as a universally accepted medium of exchange in a…
Q: Bank A charges 12% compounded monthly on its business loan. Bank B charges 11.8% compounded daily.…
A: The best bank to borrow money can be selected based on the following method.
Q: 7. Represents share in the ownership of the capital corporation. a. Bond b. Mutual fund c. Stock d.…
A: “Stock” represents share in the ownership of the capital corporation Bond is a type of debt…
Q: A credit plan charges interest rate of 30% compounded monthly. Find its effective rate.
A: Given information, Interest rate: 30% Compounded period: 12 (monthly) To find: effective rate
Q: How much money will you have in seven yearsif you deposit $7,000 in the bank at 8.5%…
A: Compound interest rate is addition to the interest of interest. It can be applicable both loan and…
Q: Definition of the initial cash reserve
A: Cash reserves are funds held on hand by a company or a person to meet short-term and emergency…
Q: Discuss the components of Balance of Payment.
A: In an economy, balance of payment refers to the special account that records all the international…
Q: What are the two types of interest rates used in equivalence calculations?
A: Equivalence calculation is the calculation of interest rate received for an investment at the end of…
Q: . If you borrowed $24,000 at 12% annual interest. You agreed to repay the loan with five equal…
A: Here we calculate the following by using the given information and conclude the answer so the…
Q: Mr. Edwards borrowed P 200,000 and agrees to pay P X annually for 5 years at the rate of 6%…
A: Amount Borrowed = 200000 Annual Payment = x n = 5 r = 6%
Q: What is the price of a consol that pays $250 annually if the next payment occurs one year from…
A: Present value is the value that states that the current value of money is more than that same amount…
Q: Describe the Financial Functions to determine a Loan's Principal andInterest Payments between two…
A: The financial function that determine loan’s principal amount is PPMT. This function is used to…
Q: That money can be used to repay loans relates to money's function as a A) Standard of deferred…
A: The money is anything which is widely accepted as a medium of exchange for goods and services in the…
Q: How can we calculating effective Interest Rates based on Payment Periods?
A: The effective annual interest rate is the interest rate on investment or return on a savings account…
Q: Calculate M2 if :- M1 = $7500 million Saving deposit with post office Savings bank = $3300 million
A: The data presented in the question above is:- M1 = $7500 million Savings deposit with post office…
Q: Differentiate between Simple interest and Compound interest?
A: In economics, interests are the costs of borrowing money. The economic agent who is borrowing the…
Q: What is Compound interest?
A: Simple Interest: The simple interest is the interest that is paid on the principal amount. For…
Q: Suppose you want to have $600,000 for retirement in 25 years. Your account earns 10% interest. How…
A: Given: Amount at retirement=$600,000Time=25 yearsRate of interest=0.10
Q: Measures to correct balance of payment disequilibrium
A: Balance of payment disequilibrium: The deficit or surplus in the country indicates the imbalance in…
Q: You have three choices in placing your Money in a bank account. V Bank A pays 7.25% compounded…
A: Let's calculate the interest on the $1000 and check which bank has offered greater interest. Thus, a…
Q: differences between islamic and conventional wealth management instruments
A: Ans in step 2
Q: Which is the most desirable form of a lump-sum settlement?
A: A lump sum settlement implies that the person who claims will receive the whole amount in a single…
Q: What is the maturity date of a loan taken out on September 9, 1998 for 125 days?
A: The loan is taken out on September 9, 1998, for 125 days So maturity date of this loan will be 125…
Q: Sarah Maddox wants to buy a new car that will cost $15,000. She will make a down payment in the…
A: (a) The individual wants to purchase the new car and the cost of the car is given to be $15,000 and…
Q: If Tiffany redeemed a bond that earned 5% interest over the past 10 years, which function of money…
A: Money is any record being verifiable or an item which is generally being accepted as payment for…
Q: True or False: If you purchase a gift card electronically through a site such as Plastic Jungle, you…
A: A market is a place where the exchange of goods and services takes place between the buyers and…
Q: What are the different types of deposit accounts and loans offered to customers by any one…
A: * ANSWER :-
Q: Balance of Payment account is important, however, there are some aspects of the account which is…
A: Balance Of Payment (BOP) is an explanation which records every one of the money related exchanges…
Q: You deposit $ 9,030 in an account that pays 3 % simple interest. How much do you have after 4…
A: Simple interest: Interest is a quick and easy technique of calculating the interest charge on a…
Q: EXPLAIN THE CONCEPT TRANSFER PAYMENT IN DETAIL
A: Transfer payments are one sided payments and such payments are not part of GDP calculation.
Q: Bank A pays 8% compounded continuously, while bank B pays 8.159% compounded daily. Which bank pays…
A: Given that, Bank A pays 8% compounded continuously, while bank B pays 8.159% compounded daily.
Q: What is balance of payment?
A: Economics is a social science that discusses economic behavior regarding their unlimited wants in…
Q: My son is saving his allowance and chore money to buy a new bicycle. Which function of money is he…
A:
Q: How can trade credit help businesses to manage theircash flow?
A: Trade credit allows the buyers to make payment on a later date for the goods purchased. It is a…
Q: Explain the "Standard of deferred payment" function of money
A: Money plays a very important role in one's personal life and for the economy as a whole. We can't…
Q: Steve decides to place his money into an account that compounds interest quarterly at the rate of…
A: By formula, amount that would be received by Steve after 5 years is given by- Amount(A) =…
Balance of payment.
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