Q: 22. You deposited $15,000 in a savings account five years ago. The account has earned 5.25% interest…
A: here we calculate the money is in the account today by using the formula which are as follow-
Q: .If the rate of interest is 8% compounded quarterly, find the nominal rate of interest.
A: Answer is given below
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A: According to the given question:- Future value of the amount will be = R[(1+i)^n -1]/1 R = Regular…
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A: Hi! Thank you for the question, but as per the guidelines, we answer only one question at one time.…
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A: Effective annual interest rate formula: reff = (1 + r /n)n - 1 Where refff is an effective interest…
Q: The sum of $ 26,000 was deposited in a fund earning interest at 8% per annum compounded quarterly.…
A: Interest is the amount paid in excess of the principal amount by the borrower to the lender. The two…
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A:
Q: Lee wills loaned Audrey $17300 to open her shop after 5 years Audrey will pay back Lee with 16%…
A: The formula for compound interest will be: A=P1+R4004t Where A is the amount received after 4 years…
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A:
Q: Jon’s grandfather was planning to give him $11,000 in 14 years. Jon has convinced him to pay him…
A: Continuous compounding is the concept where the Compound-Interest for a principal is compounded to…
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A: here we calculate the payment value of loan after 5 year by using future value formula which are as…
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Q: б. ( You are given a loan on which interest is charged over a 4-year period, as follows: i. an…
A: The rate of interest is the cost of borrowing money or the return for lending money.
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A: Dear student, you have asked multiple sub-part questions in a single post.In such a case, as per the…
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Q: How long will it take the money to triple itself if invested at 8% compounded annually
A: interest rates are the rates at which the investment will be calculated and returns will be…
Q: 1. Accumulate P 3,000 for 9 years at 6 percent interest compounded quarterly. How much is the…
A: "Since you have asked multiple questions, we will solve first question for you .. If you want any…
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A: In economics, present value refers to the current value of a future stream of cash flow. The future…
Q: 2. How much must be deposited at the end of each 3 months at 8% interest compounded quarterly to…
A: Future value = 90000 $ Time = 7 years Interest rate = 8 % compounded quarterly Quarterly rate = 8 %…
Q: If an investor invests a sum of $1000 in a bank for 1 year with an interest rate of 10% compounded…
A: Given the invested amount = $1000 The investment made for a time period = 1 year Interest rate = 10%…
Q: If you had BD 4,500 now and invested at 13% interest compounded annually, how much would it be worth…
A: Investment Amount = 4500 r = 13% n = 8
Q: Suppose that $1,000 is invested at 7% interest compounded monthly. Use the formula A = (1 +)". (a)…
A: Given: Amount invested=$1000 Interest compounded monthly=7% Formula to be used: A=P(1+r/n)nt
Q: 5. Calculate the effective rate corresponding to each of the following rates: a. 9% compounded…
A: Effective interest rate = (1+im)m -1 where i is nominal interest ratem is number of compounding…
Q: 6. What interest rate compounded monthly is equivalent to 10% effective rate?
A: 6. Monthly (n)= 12 compounding periods i= 0.1
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A: The deposit in year 0 can be calculated by using the following formula.
Q: Compute the effective annual interest rate in each of these situations: a. 10% nominal interest,…
A: A. Effective annual interest rate = 1+inn-1i=Nominal interest raten=Number of calculation in a…
Q: What effective annual interest rate corresponds to the following situations? nominal interest rate…
A: a. Effective annual interest rate = 1+inn-1=1+5%22-1=1+0.0522-1=1.0252-1=1.050625-1=0.050625=5.0625%…
Q: 8. An effective rate of interest, which is 12.75%, is equivalent to what percent if compounded…
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Q: 42. Find the equivalent rate of interest of 9% compounded quarterly to an interest rate compounded…
A: Given interest rate = 9 % compounded quarterly Quarterly rate = 9 % / 4 = 2.25 % Annual effective…
Q: How long would it take an investment to triple if the interest rate is 6% compounded annually?
A: Answer Given in the question - Interest rate = 6% = 0.06 Need to find - Time for investment to…
Q: What value of A makes the two annual cash flows shown in the following diagram equivalent at 12%…
A: Answer: The two annual cash flows will be equivalent if the present values of both are equal at a…
Q: What is the effective interest rate for a. 15% compounded quarterly? b. 18% compounded…
A: Effective Interest rate = (1+rn)n -1where r is interest rate and n is time period.
Q: Once you have defined the words above, draw the following comparisons: 1. How is a fixed interest…
A: “Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: Use interest tables. Suppose that $1,000 is invested for 4 years at an interest rate of 12%,…
A: Following is the given information: Investment amount = $1000 Investment made for time period = 4…
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A: Compound Interest is the Interest that is calculated on the base Principal amount and accumulated…
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A: Compound interest, also known as Interest on Interest, is interest that is added to the interest…
Q: What interest compounded 10 times a year is equivalent to an interest rate of 5% compounded…
A: Compounding Interest rate = 5% quaterly
Q: A series of equal quarterly payments of $5,000 for 10 years is equivalent to what present amount at…
A: Pieces of information given in the question: Annuity = $5000Annuity made = QuarterlyTime = 10…
1. What interest rate compounded monthly is equivalent to 10% effective rate?
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- Mr. Bill deposited 100,000 pesos in bank account earning interest at the rate of 10% compounded quarterly, what will it become at the end of 10 years?What deposit today is required for it to be worth $150,000 in 25 years if the deposit earns 5% annual compound interest?Rafael invested $2,000 in a business that yields an annual interest rate of 10% compounded continuously. How much would he get. approximately at the end of 5 years from his investment?
- If you had $ 1,000 now and invested it at 7% interest compounded annually, how much would it be worth in eight years ( Figure 2.8)?How much do eight ₱ 69,058 quarterly payments amount at present, if the interest rate is 3 compounded quarterly?9. Accumulate $ 300 for nine years at 6% compounded quarterly. What is the compound interest earned?
- 17. What is the effective annual interest rate if the nominal interest rate is 6%, compounded monthly?2. Which of these gives the highest effective rate of interest? 16.35% compounded twice every month 17.45% compounded every 4 months 15.85% compounded monthly 16.95% compounded bi-monthly2.If the rate of interest is 8% compounded quarterly, find the nominal rate of interest.
- f you have only $750 on January 1, 2019, what interest rate, compounded annually for3 years, must you earn to have $1,000 on January 1, 2022?How much money would you need to deposit today at 8% interest compounded quarterly to have $15,000 in the account after 8 semi annuals?To have a total of $10,000 after 8 years, what principal do you have to deposit in a 4.5 percent saving account compounded monthly?