Q: Find the nominal interest compounded quarterly equivalent to 12.00% effective interest?
A: Effective annual interest rate is rate that is regarded as the real return on a loan or savings for…
Q: 43. Find the equivalent rate of interest of 9% compounded quarterly to an interest rate compounded…
A: Given interest rate = 9 % compounded quarterly Effective annual rate = (1 + rate)^time - 1 = (1 +…
Q: How long will it take for $5,000 to double when invested at 8% compounded quarterly?
A: Formula for compound interest is A = P(1=r/n)^(tn) Where n is the compounding frequency P is the…
Q: Hunan bought a car priced at $15,800 for 15% down and equal monthly payments for four years. If…
A: Monthly payments refers to a borrower pays down some of the outstanding balance with interest and…
Q: Interest can be computed more frequently than one time a year Select one: O True O False
A: Interest is the price of money that is borrowed.
Q: annuity makes six annual payments of 1,300 with the first payment coming today. What is the future…
A: Given six payments = 1300 First payment today = 1300 Interest rate = 8 % Future worth = Where P is…
Q: How long will it take for a money to quadruple itself if invested at 12% simple interest rate.
A: The future value in the case of simple interest is calculated by the following formula. A = P ( 1 +…
Q: For a nominal interest rate of 6%, what is the effective interest rate if interest is (a.)…
A: The effective rate of interest is the return on a savings account or an investment, whose interest…
Q: Find FV: You have $2,000 in a savings account that earns 1.5% interest per year. What will be the…
A: Future value is the value of an asset present at a future date based on an expected growth rate…
Q: What will be the required monthly payment torepay a loan of $72,000 in eight years if the…
A: Interest is the cost of capital. There are primarily two ways to calculate the rate of interest.-…
Q: Find the effective interest rate per payment period for an interest rate of 8%compounded monthly for…
A: The effective rate of interest is the return on a savings account or an investment, whose interest…
Q: Assuming an interest rate of 8% compounded annually, how much money will be required in four years…
A: A = P(1+r)n where P is principal amountr is interest rate n is time period
Q: How many years will it take an investment to triple if the interest rate is 8%compounded(a)…
A:
Q: How long will it take money to quadruple itself if invested at 13% compounded annually?
A: Money quadruples meaning current value becomes four time in n years.
Q: How many years will it take an investment to triple if the interest rate is 8%compounded?
A: The rule of 115 can be used to calculate the number of years that take an investment to triple.
Q: A series fequal quarterly payments of $5,000 for 10 ears is equivalent to what present amount t an…
A: here we calculate the given by following method as follow;
Q: Find the equivalent rate of interest of 9% compounded quarterly to an interest rate compounded…
A: Given interest rate = 9 % compounded quarterly quarterly rate = 9/4 = 2.25 % effective interest rate…
Q: A department store has offered you a credit card that charges interest at 1.53% per month,…
A: Nominal interest rate and the effective annual rate are calculated as follows:-
Q: What effective interest rate per quarter is equivalent to 10% per year compounded monthly
A: Meaning of Effective Interest Rate: The term effective interest rate is the payback…
Q: A series of equal quarterly payments of $5,000 for 10 years is equivalent to what present amount at…
A: Payment made quaterly = $5000 The time period for which the payment was made = 10 years Interest…
Q: At 10% compounded annually, how long will it take for money to double itself?
A: Given: Interest rate = 10% (in percentage) To find out how long will it take for money to double…
Q: Find the interest on the loan if Tim borrows $10,000 for years at a simple interest of 10%.
A: The investors as well as consumers borrow or take loans funds from banks for investment or for…
Q: Accumulate P3, 000 for 9 years at 6% compounded quarterly? What is the compound interest earned?
A: P = P3,000 n= 4 (because it is compounded quarterly) t = 9 r = 6% = 0.06 A = P(1+r/n)nt = 3000 x…
Q: Find the nominal rate compounded monthly which is equivalent 14% compounded quarterly.
A: The compounded quarterly rate can be first converted to a yearly rate and then can be divided…
Q: company borrowed $100000 from a bank at an interest rate of 10% compounded monthly. The loan will be…
A: This annuity problem where equal payment will be made across the 36 periods to payoff the loan…
Q: Accumulate $ 300 for nine years at 6% compounded quarterly. What is the compound interest earned?
A: Given information: Principal amount (P): $300 Interest rate (r): 6% Time period (t): 9 Compounding…
Q: Find the present value of a perpetuity payments of P 600 every months with 6% compounded quarterly.
A: A perpetuity is a progression of equivalent yearly incomes that goes for the boundless timeframe.…
Q: Determine the principal that would have to be invested to provide $200 of simple interest income at…
A: Simple Interest refers to the money that is paid only on principal, or the money which is invested…
Q: You invested $10,000 at 12% interest rate compounded monthly, what is your accumulated amount at the…
A: Present value, P= 10000 n= number of times in a year it is compounded = 12 months t= number of years…
Q: Suppose you take out a car loan of $15,000 with an interest rate of 15% compounded monthly. You will…
A: Hello, thanks for the question. Since there are multiple subpart questions posted here, as per the…
Q: What is the effective annual interest rate?
A: The effective annual interest rate is the rate that takes the compounding period in the account. It…
Q: How many quarters will it take to triple an initial investment at an interest rate of 14% compounded…
A: The interest rate is the amount a lender charges a borrower and is a percentage of the…
Q: What annual nominal rate compounded semiannually has the same annual percentage yield as 13%…
A: Let r be the annual nominal rate of interest compounded annually. Therefore, APY=1+rnn-1 And APY of…
Q: How much should Jane return at the end of 60 days if she loaned P10,000 from a friend at a simple…
A: The simple interest rate refers to a percentage figure which indicates the proportion of the…
Q: What effective annual interest rate corresponds to the following situations? a. nominal interest…
A: a) Given data: Nominal interest rate i=5% Compounded semi annually.
Q: Calculate interest on a 90-day $5,000
A: Given, Time = 90 days (consider 360 days in a year) Interest = 11% Principal = $5000
Q: Without using excel: What is the present equivalent of a uniform series of quarterly payments of…
A: Given Interest rate = 8 % compounded bimonthly Bimonthly rate = 8 / 6 = 1.33 % Quarterly rate = (1 +…
Q: Jesse wanted to double his money at 3% annual interest compounded monthly. How long will it take to…
A:
Q: What is the effective annual interest rate if the nominal interest rate is 6%, compounded monthly?
A: To calculate the effective annual interest rate if the nominal interest rate is given as 6%…
Q: A series of equal quarterly payments of $6,000 for IO years is equivalent to what present amount at…
A: A compound interest rate is the rate on a deposit or a loan amount and used to measure the…
Q: An advertisement of an investment firm states that if you invest ₱500 in their firm today you will…
A: The investment curve refers to the indirect relationship between interest rate and investment. The…
Q: How long would it take an investment to triple if the interest rate is 6% compounded annually?
A: Answer Given in the question - Interest rate = 6% = 0.06 Need to find - Time for investment to…
Q: A series of 10 annual payments of $7,500 is equivalent to three equal payments at the end of years…
A:
Q: How long will an account invested at 11.5% compounded yearly be tripled?
A:
Q: 35. Find the effective rate of interest equivalent to 12% compounded continuously.
A: since you have posted multiple questions, asper the guidelines we can solve only one question per…
Q: A series of equal quarterly payments of $5,000 for 10 years is equivalent to what present amount at…
A: Given values in the questions: Payment made quaterly = $5000 The time period for which the payment…
Q: What interest compounded monthly is equivalent to an interest rate of 78.9% compounded. quarterly?
A: Compound interest, also known as Interest on Interest, is interest that is added to the interest…
Q: What interest compounded 10 times a year is equivalent to an interest rate of 5% compounded…
A: Compounding Interest rate = 5% quaterly
Does the compounding increases the amount of interest paid over a year at
the same nominal interest rate?
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- The price of a Universal Testing Machine doubles in 15 years. What is the compounded yearly interest rate? What do you think is the equivalent compounded monthly rate?How many years will it take an investment to triple if the interest rate is 8% compounded continuously?Explain the true effect of more frequent compounding on annual interest amounts?
- For a nominal interest rate of 6%, what is the effective interest rate if interest is (a.) compounded quarterly? (b.) compounded monthly? (c.) compounded continuously?COMPUTE THE EQUIVALENT RATE OF 6% INTEREST COMPOUNDED SEMI- ANNUALLY TO A RATE COMPOUNDED QUARTERLY?A series of equal quarterly payments of $2,000 for 10 years is equivalent to what future lump-sum amount at the end of 20 years at an interest rate of 6% compounded continuously?
- A series of equal quarterly payments of $5,000 for 10 years is equivalent to what present amount at an interest rate of 9% compounded monthly.Compared the interest earned by $13,000 for seven years at 8% simple interest with interest earned by the same amount for seven years at 8% compounded annually. Why does difference occur? The simple interest earned is $? The compound interest earned is $?What equal monthly payments will repay an original loan of $10,000 in six months at a rate of 6% compounded monthly?
- Steve promises to pay Amanda $2,000 in four years and another $3,000 four years later for a loan of $2,000 from Sandy today. What is the interest rate that Sandy is getting? Assume interest is compounded monthly.Lia wishes to have $3000 after 3 years in an account that draws 6% nominal interest compounded monthly. How much must he deposit each month, starting in 1 month?Compare the interest earned by $9,000 for six years at 7% simple interest with interest earned by the same amount for six years at 7% compounded annually. Why does a difference occur? The simple interest earned is $ ?