Question 1: part i) : How much Julie Miller would have after 5 years if she deposited $20,000 today at a compound annual interest rate of 5%? Q: part ii): a) What is interest and what are the main types? b) Express your opinion about Time value of Money and why time matter in transaction why do we charge for time?

Q: hich formula would you use for each of the following problems? A.I= Prt B. F- P(1 +1)" C. P= F(1+0)*…

A: Since you have posted a question with multiple sub-parts, we will solve the first three subparts for…

Q: A person takes a loan of 200 at 5 % simple interest. He returns 100 at the end of 1 year. In order…

A: Simple interest does not consider the compounding effect.

Q: A man invested P1,000 per month on a bank that offers 6% interest compounded annually. How much can…

A: The Concept is of Annuity. Annuity is a series of fixed payments/receipts made at regular interval…

Q: If you need to pay $12,000 after 7 years for the money you borrowed from a friend, how much will you…

A: To calculate the loan amount we will use the below formula   Borrowed amount = MV/[1+(r/m)]t*m Where…

Q: You deposit $200 each month into an account earning 5% interest compounded monthly. a) How much will…

A: Using Excel

Q: 3. To buy a computer, Tom borrowed P30,000 at 9% simple interest calculated yearly. If he will be…

A: Interest rate charged on the loan is a function of the demand of the funds and the supply of the…

Q: (a) Heather borrowed $5000 from her grandmother as a down payment on her first car. She promised to…

A: Part-A Borrowed Amount is $5000 Time period is 2 years Interest rate is 7% Per annum To Find:…

Q: Using the situations provided in Exercise 1, compute the annual interest, total interest and amount…

A: Under Compound interest, interest is computed on principal as well as interest earned during the…

Q: A merchant is offered a 5% discount for immediate payment of a bill which is due in 90 days. What is…

A: 1. Merchant was given 5% cash discount for immediate payment, otherwise he can pay the bill amount…

Q: Ms. Althea Jordao purchases a home worth Php 1,200,000 with a down payment of 15%. Then she loan the…

A: Home worth = Php 1200000 Down payment  = 15% of 1200000 = Php 180000 r = 7.5% = 0.625% per month n =…

Q: de to invest $7,500 into an account that pays 1.1% annual compound interest. Write an equation for…

A: Given information : Investment amount = $7500 Interest rate = 1.1% The given question is asking for…

Q: If Laura invests $1,230,00 in an account earning 2.95% simple interest, how much money will be her…

A: The fund or money in the account would be Principal invested and interest of a certain period at the…

Q: Using Time line Method and Equation, calculate FV or PV for the following questions and put all in…

A: The worth of a present asset at some point in the future based on a projected growth rate is…

Q: Grace and Donna deposited PHP 8,000 in a saving account at 5 3/4%. if interest is compounded…

A: a. The interest rate in the problem is 5 3/4% or 5.75%. b. Php 8000 is the amount of deposit…

Q: Suppose you want to have $800,000 for retirement in 25 years. Your account earns 7% interest. a)…

A: Future value of annuity  = P * [ (1+r)^n  - 1 ] /r  Where, r = rate of interest per period i.e.…

Q: Suppose Nicole deposits $50,000 in an account that pays 9% compounded annually. How long does it…

A: Given data; Present value = $50,000 interest rate =9% future value = $ 125,000

Q: A bank offers an investment account with an annual interest rate of 1.49% compounded quarterly.…

A: Using excel FV function

Q: Question Help ▼ You plan to deposit $800 in a bank account now and $500 at the end of the year, If…

A: given, rate =3% year cashflow 0 $800 1 $500 future value formula: future value =present…

Q: 1. George bought a new car with a 4.1% interest rate for 5 years. The loan is $35,000. What is the…

A:

Q: John Mojico invested her USD 20,000 in a BPI Time Deposit Account earning 2.8% simple interest for 2…

A: Simple interest is referred as the quick as well as easy method for the calculation of the interest…

Q: executive is going to purchase a vacation property for investment purposes. She needs to borrow…

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

Q: Question 1 Mrs. Martin has $250 000 that she can deposit in any of three savings account for a three…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Compute the annual interest, total interest and the amount to be received or paid at the end of the…

A: Simple interest is computed by multiplying principal with rate of interest and no. of years. SI = A…

Q: 3. An individual makes 6 annual deposits of P2,000 in a savings account that pays interest rate of…

A: Future Value is used to determine the bank account balance after certain period in which deposited…

Q: Directions: Identify if the problem involves simple interest or compound interest. Then, solve the…

A: The simple interest implies the interest levied on the principal amount only. The formula of the…

Q: A saver places £7,000 in an account. The account pays interest at the rate of 5% per year. She…

A: Using the equation  M = P (1 + i)n M= 7000(1+5%)^4 = 8508.54

Q: A woman deposits an annual bonus into a savings account that pays 6% interest compounded monthly.…

A: This is a growing annuity and hence can be solved using the formula for growing annuity.

Q: 1. Mr. Jones borrowed P 20,000 from a lending firm and an additional P 5,000 after 2 months.  He…

A: Time value of money (TVM) refers to the method used to measure the amount of money at different…

Q: [2] Directions: Identify if the problem involves simple interest or compound interest. Then, solve…

A: Deposit amount (PV) = P6,500 Interest rate = 8% Monthly interest rate (r) = 8%/12 =…

Q: The timeline shown below best describes the cash flow of which of the following people? why? Date…

A:

Q: A bank loaned John Smith 53,000 for three years compounded annually at table or the future value and…

A: Future value = Principal(1+Rate)t Interest = Future value - Principal

Q: Laura wants to accumulate RM150, 000 in her bank account by depositing RM1000 at the beginning of…

A: The Future value of annuity due is the total future value of each cash flow which is made at the…

Q: Question 3: B-    An Entrepreneur assumes he will need $50,000 in 8 years to develop his business.…

A: Formula to calculate the present value is: P = A/(1+i)^n Where P is the present value, A is the…

Q: How much would Dave have in his account at the end of 20 years if he deposits $2,000 into the…

A: future value with continous compounding: FV=PV×ertwhere,r=interest ratet=time

Q: Directions: Identify if the problem involves simple interest or compound interest. Then, solve the…

A: If the problem involves simple interest:- Deposited amount = P 400.00 Rate of interest      = 3%…

Q: (a) A bank account pays 5.5% annual interest, compounded monthly. How long will it take the money to…

A: a) monthly rate = 5.5%/12 2 = 1*(1 + 5.5%/12)n where n is the number of months number of months =…

Q: 4. Jasmine bought a laptop amounting P 45,00 in an installment basis with 1.5% annual interest. She…

A: According to the general rules, the present value of a future cash flow is equal to its discounted…

Q: You lend a friend ​$10,000. for which your friend will repay you ​$27,027 at the end of 5 years.…

A: FV or Future value = PV or Present value * (1+interest rate)^no. of years Interest rate = ((FV or…

Q: How much money would you need to deposit today at 9% annual interest compounded monthly to have…

A: Let the amount to be deposited now = X The problem involves compound interest. r = 9% per annum =…

Q: How much money should I deposit today into an account earning 7 3/8% annually compounded interest in…

A: The present value for an investment account is the sum total amount of money that needs to be…

Q: 1. A car costs Php 1,400,000. Suppose a man gives a down payment of Php 400,000 for the car, and…

A: Loan amount (L) = Php 1400000 - Php 400000 = Php 1000000 r = 5% per annum = 0.4167% per month n = 10…