Hannah places $ 6500 into an account earning 7.75% interest compounded continuously, how much will she have after 7 years? Final amount =

Q: How much should Elizabeth have in a savings account that is earning 4.50% compounded quarterly, if…

A: Given: Particulars Amount Amount(PMT) $1,550 Years 10 Interest rate 4.50%

Q: Priscilla deposits $200 at the end of each month for seven years at 5% interest compounded monthly.…

A: Future Value = R [ (1+i)n - 1]i   where, R = Monthly deposits n = Number of months i = Interest Rate…

Q: Sammi deposits $12000 at the beginning of each 6-month period into a special savings account. This…

A: Future Value The value of a money at a future date based on an assumed rate of growth is known as…

Q: At the end of each quarter, a life insurance client deposits Ph 6,176 for 5 years. If money is worth…

A: Quarterly deposit (P) = Ph 6,176 Interest rate = 5.3% Quarterly interest rate (r) = 5.3%/4 = 1.325%…

Q: Julie deposits $600 at the end of each month into her savings account. If the amount earns 5.25%…

A: In finance, the term annuity depicts a sequence of cash flows over a specific time duration. Each…

Q: Hannah places $ 3500 into an account earning 8.75% interest compounded continuously, how much will…

A: GIVEN, PV = $3500 R=8.75% T=7 YEARS

Q: Belle decided to start a new investment account.  She deposits $1,000 into an account that earns…

A: Using excel FV function

Q: Caroline invest $100 on the last day of each month into an account earning 8% interest, compounded…

A: A theory that helps to compute the present or future value of the cash flows is term as the TVM…

Q: Maria wishes to accumulate $8,000 by the end of 5 years by making equal, annual, end-of-year…

A: Here we will use the concept of time value of money. As per the concept of time value of money the…

Q: Hannah plans to invest $125 at the end of each month into an RRSP for the next 5 years. If she earns…

A: We need to use financial calculator to solve this problem. The following inputs need N=Periods…

Q: Suppose Ted invests $ 6500 in an account that pays 5.8 % interest compounded continously what is the…

A: Normal interest rate (i) is the rate of return stated on a financial agreement that does not count…

Q: Mary puts aside $400 at the end of each three months for five years into a savings account. The…

A: Given information:  Quarterly payment = $400 Time = 5 years Compounding periods = 12 Rate = 9%

Q: How long will it take for the amount in the account to grow to $ 8150?

A: Compound interest can be defined as the amount of interest charged on interest. It is the additional…

Q: Hannah deposits OMR 500 in an account earning 5% compounded half yearly. What will be the interest…

A: Amount deposited = OMR 500 Interest Rate = 55 per annum Interest rate (r) half Yearly = 5%/2 = 2.5%…

Q: To start a new business, Eric invests $765.13 each month in an ordinary annuity paying 12% interest…

A: Computation:

Q: . Leo invested $67 250 into an annuity earning 4.4% compounded semi-annually. How much is he able to…

A: A series of fixed payments that are paid or received at an equal time interval is term as the…

Q: Peter is saving $5,000 monthly deposit into an account that pays 7% compounded monthly. What would…

A: Monthly deposit (P) = $ 5000 Interest rate = 7% Monthly interest rate (r) = 7%/12 =…

Q: Sarah opens an investment account with an initial deposit of $ 900. She then sets up monthly…

A: Given information: Initial deposit amount is $900 Monthly deposit of $80 Interest rate is 3%…

Q: Chris invests $19,000 at 4% simple interest for 7 year. How much is in the account at the end of the…

A: Investment is the practice of exchanging current revenue for an asset that is expected to provide…

Q: Derek will deposit $7,502.00 per year for 23.00 years into an account that earns 8.00%, The first…

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

Q: Mrs. Carter deposits P 100 in the bank at the end of each month. If the bank pays 6 % per year…

A: Monthly deposit (P) = P100 Interest rate = 6% e = 2.7182818284590452353602874713527 Monthly interest…

Q: Anna places $384 each quarter into an account that earns. If the account earns 1.41% interest…

A: Given data; Quarterly payment = $384 interest rate = 1.41% number of years = 7 Compounding frequency…

Q: Mariposa deposits $2500 in a n account with an APR of 5.5% for 10 years. How much interest will she…

A: Given information : Amount deposited = $2,500 Annual percentage rate (APR) = 5.5% Tenure = 10 years…

Q: Cristina invests $140.00 a quarter for 9 years into an account earning 9% compounded quarterly.…

A: Note: Hi! Thank you for the question As per the honor code, We’ll answer the first question since…

Q: Sarah opens an investment account with an initial deposit of $1900. She then sets up monthly…

A: In this question we need to compute how much money will sarah have in account in 5 years i.e. we…

Q: 4) Dottie has decided to set up an account that will pay her granddaughter $5,000 a year…

A: Present Value of perpetuity is sum of all present values discounted at required rate of return.…

Q: Heidi deposits $8,000 in a savings account that earns 4.5% compound interest. What is the estimated…

A: Given data; deposit amount = $8000 rate of interest = 4.5% future value = 2 * deposit amount…

Q: Hannah wants to have $ 6500 to help pay for a new deck in 16 years. If she wants to put her money…

A: Future value required (FV) = $6500 Period of investment (n) = 16 Years Value of e = 2.7182818285…

Q: nd invests P20,000 for 40 years in an account earning 9% interest per year. How much will she…

A: Future value = Present value (1 + rate)^periods Future value = 20,000 (1 + 0.09)^40 Future value =…

Q: Derek will deposit $1,696.00 per year into an account starting today and ending in year 17.00. The…

A: Future value of a deposit refers to the sum total of amount (or deposits) at a certain future period…

Q: Sally has a sum of $19000 that she invests at 7% compounded monthly. What equal monthly payments can…

A: Present value (P0) = $19000 Monthly interest rate (r) = 0.00583333333333333 (i.e. 0.07 / 12) Monthly…

Q: Isabella placed $5,000 in a savings account which earns 5.3% interest, compounded every year. How…

A: The formula used as follows: A=P×1+rn

Q: Lydia deposits $900 at the end of each year for 9 years in a savings account. The account pays 8%…

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

Q: Mr. Ramos savings allow her to withdraw 50,000 semi-annually for 7 years starting at the end of 4…

A: The value of the savings is the present value of the future withdrawals. This is derived by…

Q: Keira wants to invest $4,300 in an account with an interest rate of 7.2% that is compounded MONTHLY.…

A: Information provided: Term = 9 years Interest rate = 7.2% compounded monthly Principal = $4300…

Q: Hannah places $500 into an account earning 6.75% interest compounded continuously, how much will she…

A: Given: Amount = $500 Interest rate = 6.75% Years = 16

Q: Sarah opens an investment account with an initial deposit of $ 900. She then sets up monthly…

A: Future value is the value of the current assets or some amount that is invested today and amount…

Q: Judy was givin $3000 to invest that would last 8 years. $1050 earned exponentially at a rate of 3.2%…

A:

Q: Mrs. Reyes decided to save money for her grandchild. She deposit Php 300 each month into an account…

A: Annuity: It refers to the present and future value of recurring payments at a particular point of…

Q: Sam invests $ 3500 into an account earning 9% interest compounded quarterly. How long will it take…

A: We need to use NPER formula in excel to solve this problem.

Q: Travis invested $8000 in an account that pays 4 percent simple interest. How much more could he have…

A: Investment = 8000 Simple Interest Rate = 4% N = 7

Q: Each month Lara invests $100 in an account earning 4% annual interest compounded monthly. a) Find…

A: PV= $100 r= 4% compounded monthly n= 20 years FV=?   FV= PV(1+r)n FV= $100(1+0.04/12)20*12 FV=…

Q: Each month Lara invests $100 in an account earning 4% annual interest compounded monthly. a)find the…

A: Annuity refers to an investment which involves a series of regular payments for a certain period of…

Q: Hannah wants to have $ 7500 to help pay for a new deck in 13 years. If she wants to put her money…

A: The amount required to invest today can be calculated with the help of future value function

Q: Beatrice deposits $75 at the end of each month into an account earning 4.75% compounded monthly. How…

A: Compound interest refers to the interest accrued not only on principal amount but also on the…

Q: Jane invests $700 at the end of each year for 5 years. If interest is paid at 7%/a compounded…

A: Data given: Investment amount = $ 700 (at the end of each year) n= 5 years Interest = 7% p.a.…

Q: blake purchased an annuity that had an interest rate of 2.50% compounded semi- annually. it provided…

A: Solution- 2.50% interest rate semianually=2.52=1.25%=1.25100=1+r6-1=1+r=1.002072Monthly…

Q: Annette has just inherited $180,000. She invests this money at a rate of return of 6.47% per year…

A: Given: Present value $180,000 Rate 6.47% Another annuity $2,851 Years 20 Compounding…

Q: Rahimah invests RM500 in a saving account paying 12% interest per year compounded monthly. How much…

A: Hi there, Thanks for posting the questions. But per Q&A guidelines, the solution for one…

Cost of Credit

The cost of credit is an extra amount that the borrower has to pay besides the loan amount. These credit charges may vary from loan to loan. The cost of credit includes interest charges, maintenance charges, and arrangement charges. Some of the costs are mandatorily collected by the lender based on the loan amount and tenure of the loan. The cost of credit is also called finance charges of the credit.