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: Find the value of $5000 five years ago when the interest rate is at 6.5%, compounded semiannually.
A: Present value is equal to PV = FV(1+rn)nt where PV is present value . FV is future Value , t is…
Q: 3. How much money must be invested in a retirement plan each month to accumulate $500,000 in 20…
A: Answer: Given, Future value FV=$500,000n=20 yearsn1=20×12=240 monthsr=6%r1 interest rate compounded…
Q: What is the future value of $3,000 saved for 6 years at 4% interest
A: FV = PV ( 1 + r )^t FV = Future value PV = present value i = interest rate compounded annually t =…
Q: Annabelle loaned a certain amount from ABC bank. She agrees to pay P5000 at the beginning of each…
A: Pay = 5000 time Period = 6 years. interest rate = 10% compounding quater
Q: Interest can be computed more frequently than one time a year Select one: O True O False
A: Interest is the price of money that is borrowed.
Q: Determine the periodic deposit. Round up to the nearest dollar. How much of the financial goal comes…
A:
Q: Alfred loaned a certain amount of money for his company. He promised the bank that he will pay P…
A: Alfred pays 10000 at end of month for 5 months. That means interest is calculated since the first…
Q: Q4. A man borrowed $85000 at 7% to purchase a flat. The loan is to be repaid in equal monthly…
A: here we calculate the amount paid on first and second payment so here by using the given information…
Q: 3.Suppose that a $100 lump sum amount is invested for 10 years at a nominal interest rate of 6%…
A: Investment is $100. Since the interest rate is compounded quarterly the interest rate per quarter…
Q: A child’s grandparents have opened a ₱586702 savings account for the child on the day of her birth.…
A: It is given in the question that, Principal amount(P)=5,86,702. Interest rate(i)=1.7% or 0.017…
Q: A bank is advertising 9% accounts that yield 9.344% annually. How often is the interest compounded?…
A: Solving with explanation
Q: In simple interest, the interest for the current period is computed based on the amount (principal…
A: When some amount is deposited in the bank as a principal, the bank pays interest to the savers…
Q: 4. Given two cash transactions at i=10%, find the value of C. Cash flow 1 Cash flow 2 $300 $300 $300…
A: Present Worth (PW) of cash flow 1 = 100×PA,0.10,2 + 300×PA,0.10,10.3×PF,0.10,2 Calculate the…
Q: 7. Consider a cash flow series of 40 payments. The first 20 payments are $1,000 per year and the…
A: In the question above, it is given that : A cash flow series of 40 payments The first 20 payments…
Q: 74. Peggy Sue was left $50,000 by She has decided to put it into a savings ac count for the next…
A:
Q: 3. If you deposit $1000 in an account that pays 5% interest, compounded annually, how much will you…
A: Given information: Deposit amount = $1000 Interest rate = 5% Half yearly interest rate = 5%/2 = 2.5%
Q: 8. A farmer bought a tractor costing 25,000 payable in 10 semi-annual payments, each installment…
A: Compound interest is the compound value that is used to calculate the present value and future value…
Q: 1. What is the amount of interest earned on $5,000 for eight years at 10% simple interest per year?
A: Since we only answer one question at a time, we will answer the first question. Please submit a new…
Q: 1. How many years will a deposit triple itself at an interest rate of 7% per annum compounded…
A: Hi! Thank you for the question, but as per the guidelines, we answer only one question at one time.…
Q: carlos invests $6000 in a 24 month CD that has a 4.75 interest rate. use the formula to find how…
A: Certificate of Deposit (CD) The investors and the authorised banking and financial institution sign…
Q: Suppose you take out a $20,000 fixed payment loan to purchase a car. The loan is to be repaid in…
A: The installment payments can be considered as annuities. Annuities are payments made at equal…
Q: 5. For an interest rate of 8% compounded annually, find: How much will be required 5 years hence to…
A: here we calculate the payment value of loan after 5 year by using future value formula which are as…
Q: An accountant is entitled to received 35,000 pesos at the beginning of each year for 18 years. What…
A: The payments that are made at equal intervals of times can be considered as annuites. There are…
Q: 4. At what rate of simple interest will the sum of money double itself in 6 years.
A: Simple interest is determined by multiplying the day to day interest rate by the principal, by the…
Q: 7. Calculate the effective annual interest rate of the following: a. 12% compounded annually b. 12%…
A: Dear student, you have asked multiple sub-part questions in a single post.In such a case, as per the…
Q: 5) You want to have $2 million 40 years from now. How much must you deposit each year (starting at…
A: Each sum is communicated in the worth of the cash at that specific time, alluded to as future…
Q: . What is the current value of a $50 payment to be made at the beginning of each year, for three…
A: In economics, present value refers to the current value of a future stream of cash flow. The future…
Q: You are borrowing $500,000 to buy a house. The interest rate is 4% compounded monthly. What is…
A: The per month payment is calculated by the following formula: PV=PMTi1-11+in where, PV= Amount of…
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: To have a total of $10,000 after 8 years, what principal do you have to deposit in a 4.5 percent…
A:
Q: 3. If $46,000 is borrowed at 10% for 25 years, what equal end-of-year payments would be required to…
A: Economic equivalency uses a mix of interest rates and the time value of money to evaluate the…
Q: 4. A person want to have 500,000 dollars at the end of 12 years. To obtain that aim, this person…
A:
Q: How much do eight ₱ 64,055 quarterly payments amount at present, if the interest rate is 2…
A: Given: Quarterly payments(A)=64055 Interest rate compounded quarterly(i)=2% Number of quarterly…
Q: 1) What is the present value of the following series of payments: $500 made at the end of every year…
A: Given an exact rate of come, gift price (PV) is that the current price of a future add of cash or…
Q: Example 2: EOY NCF ($) 1 100 2 90 3 80 4 70 find the present value at 10% interest of the series of…
A: Given information: Cash flow of first-year = 100 Cash flow of subsequent year decreases by = 10…
Q: How much do eight ₱ 69,058 quarterly payments amount at present, if the interest rate is 3…
A: Eight equal payment of 69058 quarterly for 8quarters. This is case of annuity where constant amount…
Q: What is the accumulated value of a $25 payment to be made at the beginning of each of the next three…
A: PMT = 25 n = 3 r = 9%
Q: 7.Determine the nominal interest rate compounded quarterly if the effective interest rate is 9% per…
A: Compounding quarterly: Compounding interest is the interest on a loan or deposit calculated…
Q: 2) An account earns (12) 2% for the first two years, (12) 3% for the net two years, and (12) -6% for…
A: Given; Interest in first 2 years;i=2%Next 2 years; i=3%Next 1 year; i= 6% Time; n=5 yearsMonthly…
Q: 3. Sarah wants to have $2,000,000 in net worth when he retires. To achieve this goal, she plans to…
A: The time in years is value of N satisfying the equation Future value = Annual deposit x F/A(i%, N),…
Q: An advertisement of an investment firm states that if you invest ₱500 in their firm today you will…
A: The investment curve refers to the indirect relationship between interest rate and investment. The…
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: 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…
Q: what is the present value of a loan when a monthly payment of ₱3,250 is needed to extinguish for 3.5…
A: Present Value gives the value of a series of cash flows when it has been discounted with the current…
Q: What is the accumulated amount of a 7-year annuity paying ₱ 1,520 at the end of each year, with…
A: Given: Annuity=1520 Interest rate=2% Number of years=7 To find: Accumulated amount
Q: 5. A loan of P 25,000 is made for a period of 18 months, at a simple interest rate of 16% what…
A: The formula for the simple interest that is payable after the loan period is I = (P×R×T)100 ×12 as T…
2.If the rate of interest is 8% compounded quarterly, find the nominal rate of interest.
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- You borrowed an amount of $15,000 and paid it $20,223 in 3 years. If the interest rate was compounded monthly, what is the nominal interest rate?Find the nominal interest compounded quarterly equivalent to 12.00% effective interest?Does the compounding increases the amount of interest paid over a year atthe same nominal interest rate?
- 8. What is the nominal rate of interest compounded continuously for 10 years if the compound amount factor is 1.34986?How much money would you need to deposit today at 8% interest compounded quarterly to have $15,000 in the account after 8 semi annuals?How quickly will 500$ will grow to 2000$ pesos if interest is 5% compounded quarterly?
- Accumulate P3, 000 for 9 years at 6% compounded quarterly? What is the compound interest earned?What amount a man deposit each year so that he can withdraw P 50 000 at the end of ten years. If the interest rate is 6% compounded continuously?Mr. Benedito, a grocery store owner, borrows $50,000.00 from a loan shark, handing him a $77,000.00 promissory note with a maturity of 6 months. What is the annual and monthly simple interest rate charged by the loan shark?
- How long it take money to triple if it earns 6% compounded continuouslyMr. 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?14. What is the nominal value of the interest compounded continuously for a period of 3years if the value of the uniform series present worth factor is 2.038?
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