What effective annual interest rate corresponds to the following situations? a. nominal interest rate of 10% compounded semi-annually b. nominal interest rate of 6% compounded
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- Determine the periodic deposit. Round up to the nearest dollar. How much of the financial goal comes from deposits and how much comes from interest?Periodic Deposit: $? at the end of each yearRate: 8% compounded annuallyTime: 12 yearsFinancial Goal: $20,0002. A loan of $25,000 was repaid at the end of 9 months with $28,500. What annual rate of interest wascharged?3. If an investment company pays 16% compounded quarterly, how much should you deposit to have $5,000two years from now?Ashton purchased a house for $580,000; she paid $87000 as a down payment and financed the balance amount at 5.7% compounded monthly for 20 years. a) What is the size of payment made at the end of every month to settle the loan? $ b) What was the amount of interest charged for the entire loan? $ c) If Ashton pays an additional $250 per month, how many periods will it take to payoff the load? $ d) If Ashton pays an additional $250 per month, how much interest will be saved? TVM SOLVER
- Given the situation , choose the correct formula to solve the problem: What present value amounts to $70,000 if it is invested for 8 years at 5% compounded continuously?Show complete solution (please write eligibly) 1. Find the uniform annual amount that is equivalent to a uniform gradient series in which the first year’s payment is $500, the second year’s payment is $600, the third year’s payment is $700, and so on, and there are a total of 22 payments. The annual interest rate is 11%. Round answer to 2 decimal places.Suppose that $4000 is placed in a bank account at the end of each quarter over the next 10 years. What is the future worth at the end of 10 years when the interest rate is 9% compounded at the given intervals? a. Quarterly b. Monthly c. Continuously There are a couple solutions out there but they are either not complete or wrong. Please take you time to complete a-c and explain what every aspect is please. Thanks!!
- Compute the effective annual interest rate in each of the following situations. Solve, a. 5.75% nominal interest, compounded quarterly. b. 5.75% nominal interest, compounded daily.NEED HELP ASAP! THANK YOU SO MUCH ! Problem 1: What is the future equivalent of $1,000 invested at 8% simple interest per year of 2.5 years?Problem 2: An investment earns 20% compounded semiannually. After how many years will it triple?Problem 3: A man is required to pay P57,500 at the endof 15 days and for P60,000 at the end of 60 days. Determine the rate of interest. Problem 4: How much should you deposit in an account 5% interest semi-annually if you want to have $25,000 after 10 years?Problem 5: How much should Jane return at the end of 60 days if she loaned P10,000 from a friend at a simple interest of 10%?3. What is the Uniform Series Present Worth factor for an interest rate of 5.5% over 20 years?
- A woman deposits $9000 at the end of each year for 10 years in an account paying 3% interest compounded annually. (a) Find the final amount she will have on deposit. (b) Her brother-in-law works in a bank that pays 2% compounded annually. If she deposits money in this bank instead of the other one, how much will she have in her account? (c) How much would she lose over 10 years by using her brother-in-law's bank?Please do not handwirte on paper. Please type! Thanks Bob and Billy each invest $1,000,000 and $1200, respectively, in their own account with the same interest. a) Who will double their money first? b). If Bob wants to buy a $45,000 car. He is approved by her bank for $38,000 at 3.99% compounded monthly for 72 months. If He buys the car with a loan from her bank, how much does she actually pay for the car at the end of the loan? Excluded taxes and other feesOn January 1, 2005, a person’s savings account was worth $200,000. Every month thereafter, this person makes a cash contribution of $676 to the account. If the fund was expected to be worth $400,000 on January 1, 2010, a) what monthly rate of interest was being earned on this fund? Answer is Blank 1 b) what is the nominal rate compounded monthly? Answer is Blank 2 c) What is the equivalent effective interest rate per year? Answer is Blank 3