Answered: If you put 600 in a savings account…

If you put 600 in a savings account that yields an 8% rate of interest compounded weekly, what will the investment be worth in 37 weeks (round to the nearest shilling)?

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter5: The Time Value Of Money

Section: Chapter Questions

Problem 4QTD

See similar textbooks

Related questions

Q: If you put 1,000 in a savings account that yields an 7℅ annual rate of interest that is compounded…

A: Given: Present value = 1,000 Interest rate = 7% Periods = 25 weeks

Q: If $600 is invested in an account with an annual interest rate of 14.5%, compounded continuously,…

A: We need to use the formula of continuous compounding belowA=P(e)rn where A=future valueP=present…

Q: Suppose you owe $600 on your credit card and are paying 14 percent interest. How much will you save…

A: Monthly saving: It is the amount that we have to save monthly to repay its credit card bill fully.…

Q: If $2500 is invested at an interest rate of 6.5% per year, compounded daily, find the value of the…

A: The formula used as follows: A=P1+rnnt

Q: How long will it take for $4,000 to grow to $7,000 if the investment earns an interest rate of 16%…

A: Given information: Future value is $7,000 Present value is $4,000 Interest rate is 16% compounded…

Q: You can invest $ 35,000 today. This investment offers you a fixed annual return, computed monthly…

A: Perpetuity is the series of payments at fixed intervals for an infinite time period. The amount of…

Q: If you have $10,000 today, and save $12,000 per quarter year at the end of the quarter while earning…

A: In the given question we need to compute the number of quarters required to accumulate $100000 if we…

Q: You would like to have $74,000 available in 15 years. There are two options. Account A has a rate of…

A: Compound interest Equation : A = P(1 + r/n)n × t Where: A = Accrued Amount (principal + interest)…

Q: Today you have $100,000 in your investment account, which will grow by 7.5% annually. If you keep…

A: Using excel NPER function

Q: You have an investment that will pay you 1.38 percent per month. How much will you have per dollar…

A: Future Value can be calculated using following formula FV = PV* (1 + r / n)nt Where, PV = Present…

Q: If you want to earn 3% annual simple interest on an investment, how much should you pay for a note…

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

Q: You need 85,000 in 10 years. If you can earn .78 percent per month, how much will you have to…

A: Future value is 85,000 Time period is 10years or 10×12 = 120months Interest rate is 0.78% To Find:…

Q: What is the simple interest on ₱ 30,000 for six months at a simple interest rate of 12% . What is…

A: Simple interest is interest on investment without any compounding. Compound interest is the interest…

Q: mahle would like to save $5,750 at the end of every month for the next 5. ccount earning 5.8%…

A: Future value of annuity includes the amount being deposited and the interest accumulated over the…

Q: One building was priced at $ 125,000 . If you advance $ 25,000 and every month after that If $ 1,000…

Q: How long would it take you to double your money in an investment if it earns 5.75% compounded…

Q: Suppose Stephen has an account that will grow to $455,000.00 in 21 years. It grows at 6.7% annual…

A: The concept of the time value of money states that the current worth of money is more than its value…

Q: If $14,000 is borrowed for 2 months and $82 is paid, then the annual simple interest rate is ____

A: Interest = p * r * t Interest = $82 principal = $14,000 r = rate of interest t = time in years = 2…

Q: With an interest rate of 8%, how long does it take for an investment of $10, 400 to grow to $20,…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: You are considering taking out a loan of $15,000.00 that will be paid back ove payments of $224.20.…

A: In this problem we have to calculate unpaid monthly instalments and calculate present value of that.

Q: A year-end bonus of $23,000 will generate how much money at the beginning of each month for the next…

A: Given data; year end bonus = $23,000 interest rate = 6.33% compounded monthly number of payments =…

Q: If you have $6000 in your savings account with 0.8% APR compounded monthly, how much will you have…

A: Formula

Q: Would you prefer making a $25,000 investment that will earn interest at the rate of 6 percent…

A: Given: Investment amount is $25,000 The rate of 6 percent The calculation is shown below as,

Q: Suppose that you can pay 15,000,000 VND per month for the next 30 years. What is the largest loan…

A: The present value is the value of the sum received at time 0. It is the current value of the sum…

Q: Your client currently has $7,600 in a 401K investment account. They contribute $200 a month into…

A: Current Value in Account = 7600 Monthly Contribution = 200 Monthly Compounding, Annual Return = 5.3%…

Q: you place 50 in a savings account with an interest rate of 7% compounded weekly, what will the…

A: in this you have to find out future value FACTOR and than future value.

Q: Suppose you save $100 per month. How long will it take you to accumulate $10,000 if the annual…

A: Following details are given to us in the question : Monthly saving = $100 Future value = $10000…

Q: Deposits of $850 per month are made into an investment account. The interest rate is 6.5% per annum…

A: Monthly deposit (m) = $850 Monthly interest rate (r) = 0.00541666666666667 (i.e. 0.065 / 12)…

Q: You have $41,000 in an account earning an interest rate of 4%. What are the equal beginning-of-month…

A: The present value of an annuity due formula uses the same formula as an ordinary annuity, except…

Q: If $18,000 is invested at 2.5% for 20 years, find the future value if the interest is compounded the…

A: Computation of future value:Excel spread sheet:

Q: Suppose you deposit $100 today in an account paying 8 percent. In one year, you will deposit another…

A: Given information: Yearly deposit amount $100 Number of years is 1 Interest rate is 8%

Q: If you want to earn 3% annual simple interest on an investment, how much should you pay for a note…

A: Interest = Principal * rate * time Interest =$13500*3%*10/12 Interest = $337.50

Q: Your target is to earn an annualized rate of 5%, what is the most you can pay for a 135-day Treasury…

A: Provided a certain rate of return, present value (PV) is the current value of a potential amount of…

Q: Suppose that you have opened a saving account with an initial deposit of $10,000. The account offers…

A: Initial deposit (P) = $10000 Final amount needed (F) = $15000 n = 10 years Let the annual interest =…

Q: If you have $15,000 today, and save $13,000 per quarter year at the end of the quarter while earning…

A: In this question we need compute the time period (number of quarters) required to accumulate…

Q: An investment of $30,000 is made. How long will it take to grow to $45,000 if the interest is a…

A: The investment is the allocation of money in financial instruments, property, etc. to earn the…

Q: If you want to earn 7% annual simple interest on an investment, how much should you pay for a note…

A: We need to calculate the principle value here

Q: A $2,000 furniture can be financed by paying $50 per month for 4 years. What is the annual nominal…

A: Nominal Interest Rate:It is the rate of interest which calculates before taking inflation. It…

Q: If you want to accumulate $400,000 and you have $17,000 saved now, how many years will it take if…

A: GIVEN, PV = $17000 FV = $400,000 A= $490 R=4% M=12

Q: If you want to accumulate $80,000 and you have $10,000 saved now, how many years will it take if you…

A: Given:

Q: Suppose you wish to borrow $300 for four weeks and the amount of interest you must pay is $10 $ ⁢…

A: Annual percentage rate (APR) is the percentage which helps to calculate the cost of borrowing. It…

Q: A $60,000 loan with interest at 6% compounded quarterly is being paid off with monthly payments of…

A: The notion of the time value of money (TVM) states that an amount of money is worth more now than it…

Q: An investment will give you monthly payments of $890 for 9 years. If your required return is 8.13%,…

A: Monthly payment (M) = $890 n = 9 years = 108 months r = 8.13% per annum = 0.6775% per month

Q: If you want to earn 15% annual simple interest on an investment, how much should you pay for a note…

A: The question specifies that the maturity value of note receivable due in 10 months from now will be…

Q: Suppose you buy a home and finance $265,000 at $2,223.17 per month for 30 years. What is the amount…

A: Cost of home= $265,000 Financing pattern= $2,223.17 per month for 30 years Amount of Interest=?

Q: You have Rs. 9,000 to deposit. ABC Bank offers 12 percent per year compounded monthly, while King…

A: Future Value = Deposit Amount * ( 1 + Peroidic rate )Number of periods

Question

If you put 600 in a savings account that yields an 8% rate of interest compounded weekly, what will the investment be worth in 37 weeks (round to the nearest shilling)?

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

I. Meaning

VIEW

II. Solution

VIEW

III. Conclusion

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.

Similar questions

How much must be invested now to receive $30,000 for 10 years if the first $30.000 is received one year from now and the rate is 8%?
You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years. Which table will help you determine the value of your account at the end of 12 years? A. future value of one dollar ($1) B. present value of one dollar ($1) C. future value of an ordinary annuity D. present value of an ordinary annuity
If you put $6,000 in a savings account that yields an 1% rate of interest compounded daily, what will the investment beworth at the end of one year?
You are considering the purchase of an investment that pays an annual rate of 6.80%, compounded monthly. If you invest $3,500 at the end of each month, how many months will it take for your account to grow to $600,000?
it is desired to save $20,000 by depositing $800 every 3 months in an investment that pays 8% coumpounded quarterly. What would be the approximate value of N in years?
If you deposit $3,500 today into an account earning an annual rate of return of 11 percent, what would your account be worth in 40 years?$__________(Round to the nearest cent.)
You invest $10,000 into a money market account that pays interest on a semi-annual basis (e.g., interest is compounded every six months). If the annual interest rate is R=0.08 (e.g., R=8%), how long will you have to wait for your initial investment to double to $20,000?
If you want to accumulate $80,000 and you have $10,000 saved now, how many years will it take if you pay $100 per quarter and your investment account pays 5.5% compounded quarterly?
If $12,000 per quarter is invested in an account that earns a nominal annual interest rate of 12% compounded monthly, how much money will be in the account at the end of 6 years? The account will have $ ?
If you have $60,000 in a bank account that is paying an interest rate of 4 percent that is being compounded annually, how many years will it take to double your investment if the interest rate stays the same?
Assume that an investment of $9000 earns an APR of 6% compounded monthly for 16 months. How much money is in your account after 16 months? (Round your answer to the nearest cent.) $ How much of the money in your account after 16 months is interest? (Round your answer to the nearest cent.)
Suppose that each week, you deposit $43 into a savings account whose annual rate is 1.8% with weekly compounding. How much will you have in the account after 14 years? Round your answer to the nearest dollar.