If $1000 becomes $1,811.36 after 5 years when invested at an unknown rate of interest compounded quarterly, determine the unknown nominal rate and the corresponding effective rate.

Q: The annual interest, compounded annually at which $510 must be invested for it to grow to $2,005.82…

A: Present value (P) = $ 510 Future value (F) = $ 2005.82 Period (t) = 11 Years

Q: If the single payment present worth factor for 10 years is 0.30656. Determine the interest rate…

A: The present factor is the present value of $1 that has to be received/paid in the future.

Q: suppose that $47,700 is invested in certificate of deposit for 3 years at 6.2% annual interest to be…

A: The deposit facility provided by commercial banks in which the deposited amount is repaid only at…

Q: d. At the end of three years, how much is an initial $100 deposit worth, assuming a quar- terly…

A: Future Value is the worth of investment in the future period at the given interest rate. Keeping…

Q: At what nominal rate compounded quarterly will payments of P 800 at the beginning of each 3 months…

A: Here, Quarterly Payment is P800 Time Period is 5 years Annuity Type is Annuity Due Borrowed Amount…

Q: A deposit of $11903 earned interest at 8% compounded quarterly. After 3 years, the interest rate is…

A: Compound interest refers to the amount which is added to the earned interest back into the balance…

Q: 1000 dollars is deposited into an account at the beginning of the year and the value at the end of…

A: Rate of return is the return earned on an investment. It is always expressed in percentages. Rate of…

Q: Find the missing values assuming continuously compounded interest. Initial…

A: Given Information: Initial investment  -  $500 Amount after 10 years -  $1,505.00

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: continuously

A: Interest that is calculated on both the initial principal and interest earned is referred to as…

Q: What is the nominal rate of interest if Php4,000 accumulates to Php10,000 in 8 years with interest…

A: solution given present value    =4000    future value       =10,000 time period        =8 years…

Q: If $900 is invested at 10% compounded quarterly, what is the interest earned after a) 4 years…

A: Time has been precious in all perspectives, however in terms of finance, time has a monetary value.…

Q: What is the present worth of P500 deposited at the end of three months for 6 years interest rate is…

A: The Present value of a future deposit is the present worth of that amount. The future amount can be…

Q: the difference between the future values of a deposit accumulated for 15years at a rate of 9.5%…

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

Q: If 2400 dollars is invested in an account for 10 years. Find the value of the investment at the end…

A: Amount invested is $2400 Time period is 10 years To Find:  4.2% compounded semiannually 4.2%…

Q: use the compound intrest formula for compounding more than once a year to determine the accumulated…

A: Future value = Present value * (1+rate per period )^no. of period

Q: 1. If the sum of P12,000.00 is deposited in an account earning interest rate of 9% compounded…

A: This pertains to compound interest. Compound interest accrues on both the initial principal as well…

Q: at what interest rate will a principal of P9,500 accumulate to P15,000 in 2 years compounded…

A: Future value = Present value*(1+interest rate/k)^(n*k) where n = number of years = 2 k = compounding…

Q: If ​$956.00 accumulates to ​$1250.87 in three years, three months compounded monthly, what is the…

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

Q: At end of three years, how much is an initial deposit of $100 worth, assuming a compound annual rate…

A: FV is the worth of amount that will be paid or received in future. The formula for the computation…

Q: Suppose that $2700 is invested in an account with an APR of 3.9% compounded continuously. Determine…

A: Future value = Present value*e^rate*time

Q: What principal amount is equivalent to a withdrawal of 10,600 on the 2ndyear, 4,000 on the 4thyear,…

A:

Q: What is the effective rate of interest

A: In this case first the quarterly interest rate would be calculated and from quarterly interest rate,…

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: how many years is required for $3,000 to increase by $4,000 if interest at 14% compounded quarterly

A: Investment can be defined as depositing funds in an asset to earn a profit or interest. Interest is…

Q: What is the term if the final amount is P7,321 and the principal is P2,500 at 15% compound interest…

A: Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only one…

Q: At what interest rate will ₱30,750 amount to ₱44,875 in 4 years and 6 months, if interest is…

A: Data given: Description Data FV (P) 44875 PV (P) 30750 r= rate (Compounded semiannually)…

Q: What is the nominal rate of interest if Php12,000 accumulates Php30,000 in 10 years with interest…

A: Solution: Present value (PV)    12,000.00 Future value (FV)    30,000.00 Period (Nper) 40…

Q: A certain amount is invested 5 years and 6 months ago at an interest rate of 8% compounded semi -…

A: Amount invested can be calculated as: = Future value / (1 + rate per period) ^ number of periods

Q: Suppose you deposit $2,000 at the end of eachquarter for ten years at an interest rate of 9%…

A: Annuity refers to series of annual payment which is paid or received at start or ending of specific…

Q: If Php 5,000 becomes Php 9,734 after 12 years, when invested at an unknown rate of interest…

A: Future Value refers to the value of the current asset or investment or of cash flows at a specified…

Q: A deposit of $14625 earned interest at 5% compounded quarterly. After 3 years, the interest rate is…

A: The time value of money appears to be a concept that anybody may apply to compute the value of money…

Q: If the sum of P12,035 is deposited in an account earning interest at the rate of 9% compounded…

A: In this we have to use future value formula to get the future value.

Q: Find the compound interest accumulated on BD 14500 at the end 9 years if it is invested at 4%…

A: Compound interest is the interest earned on the principal as well as on the interest earned…

Q: If P5,000.00 shall accumulate for 10 years at 8% compounded quarterly, find the compounded interest…

A: We need to use compound interest formula given below A=P(1+i)n where A= Final payment P=principal…

Q: Do in excel What uniform annual amount should be deposited each year in order to accumulate…

A: solution future value $2,143.60 Number of period 8 present value  0 annual interest rate…

Q: 1000 dollars is deposited into an account at the beginning of the year and the value at the end of…

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

Q: If you make quarterly deposits for 3 years into an account that compounds interest at 1% per…

A: The formula of future value of an annuity:  FV =A × (1+r)n-1r  where  A = Annuity amount  FV =…

Q: What is the future value of $1,750 in 17 years assuming an interest rate of 6.5 percent compounded…

A:

Q: Suppose that $3000 is deposited in a saving account at the rate of 8% per year. Determine in details…

A: Given data,                 Principal (P)  = $3000             Interest rate (r) = 8% per year…

Q: Consider the following cases: Amount of Compounding Initial Stated Annual Frequency, m Deposit Case…

A: Given information: The four cases are given for computation of future value at the end of the each…

Q: If P250,000 is invested for two years, what is the maturity value (disregard withholding tax for #s…

A: Future Value = Present Value x (1 + r)^n

Q: If $13,376.39 was the interest earned on lending $101,000.00 for 9 years, what was the quarterly…

A: Time value of money (TVM) refers to the method or technique which is used to measure the amount of…

Q: For ethe case shown in the following table, determine the amount of the equal, end of year deposits…

A: Future value (FV) = $ 130,00 Period (n) = 30 Annual interest (r) = 13%