If $6000 is invested in an account that pays 3% annual compounded interest, compare the amount in the account after 10 years if the interest is compounded a) semiannually (twice a year) b) quarterly (four times a year) c) monthly (twelve times a year) d) continuously

Q: Rounded to the nearest cent, find the amount of money accumulated in 5 years if $14000 is invested…

A: Given information: Present value amount is $14,000 Number of years is 5 years Interest rate is 10%

Q: Suppose a certain manufacturer deposits 3000 at the beginning of each 3 month period for 8 years in…

A: Deposit at the beginning of 3 months = 3000 Year = 8 Terms(n) = 8*3 = 24 Interest Rate(r)  =8% per…

Q: How much must be deposited at the beginning of each year in an account that pays 3% compounded…

A: Time value tells that amount received today is of more value than that of receiving the exact value…

Q: A person lends ₱2,000 for five years at 10% per annum simple interest; then the  entire proceeds are…

A: Simple and Compound are two different ways by which interest cost on loan and return on investments…

Q: Deposits of $1000 are made semiannually into an account which earns 8% semiannually. If the deposits…

A: given data $1000 deposit are made semiannually for 9 years  it earns 8%  compounding interest…

Q: If $450 is deposited at the end of each quarter into an account paying 10% compounded quarterly, how…

A: The question is based on the concept of Annuity.

Q: What is the amount of 15 equal annual deposits that can provide five annual withdrawals when a first…

A: The flow of payments which are made at regular interval of time are termed as annuity when amount is…

Q: Suppose that $80,000 is invested at 7% interest. Find the amount money in the account after 5 years…

A: The given problem can be solved using FV function in excel. FV function computes amount value in…

Q: a) $15,000 is invested in an account at time 0. At the end of 4 years, an additional $15,000 is…

A: Investment at time 0 15000 investment at the end of 4 years 15000 Rate of Interest for 10 years…

Q: 18,000$ is deposited for 9 years in an account earning 5% interest. Round answers to two decimal…

A: The future value of an amount deposited in the account is the value of the amount deposited on a…

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: A debt of $36,000 is repaid over 10 years with payments occurring quarterly. Interest is 8%…

A: The periodic payment would occur on each quarter then, first of all, we have to calculate the…

Q: An investment of $1,050 is made in an account compounded semi-annually at 6.8%. How much will the…

A: It can be calculated using FV function in excel. FV (rate, nper, pmt, [Pv], [type]) Rate The…

Q: What is the accumulated value of deposits of $1020.00 made at the end of every six months for three…

A: Accumulated deposits include the amount deposited and compounding interest accumulated over the…

Q: Deposit of ₱1,000 is made at the end of the first year and increases by ₱ 500 for the next following…

A: So in the question asked, We will first list down the important details provided 1) Deposit Amount =…

Q: A sum of P1,000 is invested now and left for eight years at which time the principal is withdrawn.…

A: We will use the concept of time value of money here. The concept says that money earns interest and…

Q: unt pays interest at a continuously compounded rate of .05 per year. Continuous deposits are made to…

A: Future value of compounding continuously can be calculated using exponential form of interest rate.

Q: Find the amount at the end of 5 years and 4 months if P8,000 is invested at 93% compounded…

A: Invested amount is P8,000 Interest rate is 93% compounded quarterly Time period is 5year and 4…

Q: A sum of P10,000 was invested now and left for 6 years, at which this time the principal is…

A: Invested amount (P) = P 10,000 Interest rate (R) = 15.8% Period till first withdrawal (N1) = 6 Years…

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: If a sum of $3000 is borrowed for six months at 9 percent simple interest per year, what is the…

A: A method of computing interest amounts in which the compounding effect was not considered by the…

Q: -A debt requires payments of $750 at the end of every three months for 8 years. Calculate the…

A: Interest charged on Debt: Interest is applied to practically all debts, and additional costs are…

Q: Assume that 1500 Php is deposited in an account in which interest is compounded annually at a rate…

A: Deposit amount = 1500 Php Interest rate = 6% Period = 5 Years Compounding = Annually

Q: If $6000 is invested in an account. After three years, the account has $7500 in it. If money is…

A: Question is based on the concept of Time value

Q: Suppose that $1,000 is invested for 4 years at an interest rate of 12%, compounded quarterly. How…

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

Q: A loan of $16,000 with interest at 10% compounded semi-annually is repaid in 9 years by equal…

A: A loan is a financial arrangement between two parties in which one party borrows funds at a…

Q: If $19,000 is deposited in an account earning interest compounded weekly at 5.87% for 13 years, what…

A: Effective Rate of Interest: It is the annual rate on a loan or investment considering the effects…

Q: A sum of P1,000.00 is invested now and left for eight years, at which time the principal is…

A: The amount of withdrawal at the end of the 16th year will include the interest plus the…

Q: A sum of P1,000 is invested now and left for eight years, at which time the principal is withdrawn.…

A: Invested amount or principal amount is P1,000 Effective Annual interest rate is 5% Principal is…

Q: what is the balance in an account at the end of 10 years if 5,000 is deposited today at the account…

A: The  following formula is to be used in order to find out the balance in  account A =P[1+r/n]nt…

Q: $39,000 is deposited for 2 years in an account earning 6% interest. (Round your answers to two…

A: Present value (PV) is $39,000. The semi-annual rate (r) is 3% (6% / 2). The number of compounding…

Q: What is the balance in an account at the end of 10 years if $2,500 is deposited today and the…

A: In the given question we are required to calculate the future value from the following details:…

Q: How much will be in an account at the end of five years the amount deposited today is $10,000 and…

A: The given problem can be solved using FV function in exceL. FV function computes amount BALANCE in…

Q: 18,000$ is deposited for 9 years in an account earning 5% interest. Round answers to two decimal…

A: Future Value  The future value is the worth of any asset or any sum of money at a future date when…

Q: If $20,000.00 is invested in an account for 15 years. Find the value of the investment at the end of…

A: Amount Invested = $20,000.00 Years = 15 years For Simple Interest Rate = 8% per annum For Compound…

Q: How much interest was earned by an investment that earns at a rate of 9% compounded semiannually for…

A: The present value is that amount without which we cannot obtain the future value. The future value,…

Q: How much must be deposited at the beginning of every six months in an account that pays 4%…

A: The amount which is deposited at the beginning of each period is called as annuity due. The period…

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: Calculate if $10,000 is invested at interest rate of 12% per annum, what is the amount after 3 years…

A: The provided information are: Present value (PV) = $10,000 Interest rate (r) = 12% = 0.12 Number of…

Q: If 2,000 is invested at an interest rate at 8% compounded annually for 3 years, find the compound…

A: Interest means the extra amount which we received because of investment made and will be paid in…

Q: Suppose that $30,000 is invested at 9% interest. Find the amount of money in the account after 7…

A: Future value of money is amount being deposited and amount of compounded interest accumulated over…

Q: For total yearly payments of $10000 for 10 years, compare the compound amount accumulated at the end…

A: An ordinary annuity is a series of equal payments made over a period of time.  It has been…

Q: What interest will be earned if 4,000 dollars is invested for 4 years at an annual rate of 7%…

A: The interest will be the future value of the investment less the amount invested.

Q: $1,000 is invested for 5 years in an account earning 8% annual interest, compounded semiannually.…

A: Details given are : Present value of investment = $1000 Interest rate = 8% p.a. Time period = 5…

Q: A loan of $14,000 with interest at 12% compounded quarterly is repaid in 8 years by equal payments…

A: Loan Amount = $14,000 Interest compounded quarterly = 12% Calculating interest for semi-annual…

Q: A certain sum of money is invested at 2 years at 12% compounded quarterly. If the sum is P43,000,…

A: Present value is equivalent value of money that is today of the future money to be received based on…

Stock Market Indices

Stock indexes are used to compare the price fluctuations of a group of stocks of similar companies, which are combined based on a similar industry or a particular market capitalization limit or type of market. The price comparison is based on a pre-determined standard method or indicators. These stock indexes are usually considered a base for comparison of a particular stock, and the performance of that particular company can be easily determined.