Q: Find the amount at the end of two years and seven months if P1000 is invested at 8% compounded…
A: Interest is the amount paid in excess of the principal amount by the borrower to the lender. There…
Q: The monthly rent on an apartment is $950 per month payable at the beginning of each month. If the…
A: Interest rate: i=0.1212=0.01
Q: Find the future value of an annuity consisting of payments of $270 per quarter for four years at the…
A: Payments of $270 per quarter for four years at the rate of 8% compounded quarterly. Total number of…
Q: How much money will be in your account three years after the previous deposit? If you make six…
A: Total number of years = 6 years Annual deposits = $6000 Interest rate = 15% Half yearly deposits =…
Q: You were entitled to receive $5,000 at the end of six months for the rest of your life. If the…
A: Given: The future value is = $5,000 Years = At the end of 6 months The rate of interest is = 10%…
Q: If you buy a computer directly from the manufacturer for $2,923 and agree to repay it in 36 equal…
A: here we calculate the given by following method as follow;
Q: If I loaned 167,569 today and promised to pay it back after 5 years to the bank with monthly…
A:
Q: What are the present worth and the accumulated amount of a 10-year annuity paying $10,000 at the end…
A: here we calculate the present worth by using the given information which are as follow-
Q: You borrow $700,000 at 3% interest for 30 years on a mortgage. How much total will you pay back on…
A: Compound interest is also referred to as "interest that is not simple." Compound interest does not…
Q: Find the time required for a sum of money to triple itself at 5% per annum compounded continuously?
A: Meaning of Sum of Money: The term sum of money in the form of simple interest refers to the…
Q: What is the difference between the present worth of annuity due and ordinary annuity having the…
A: Ordinary annuities are those that require or make a payment at the conclusion of each period.…
Q: 200,000 was deposited at an interest rate of 24% compounded semi-annually. After how many years will…
A: Compound interest is the addition of interest which is being made to the principal sum of a deposit…
Q: What is the smallest integer-valued annual compound interest that will result in an investment…
A: smallest integer-valued annual compound interest that will result in an investmeñt tripling in value…
Q: If you obtain a loan of ₱1,000,000 at the rate of 12% compounded annually In order to build a house,…
A: Loan Amount = 1000000 Interest Rate= 12% N=10 Years Equal Payment Series =?
Q: What is the total payment required to pay off a promissory note issued for $450.00 at 12% ordinary…
A: A Promissory Note is a document provided by Party A (Promissory) to Party B (receiver), a sum of…
Q: What is the equal-payment series for 10 years that is equivalent to a payment series starting with…
A: The first step is to compute the total present value of cashflows for 10 years which is decreasing…
Q: If I loaned an amount of 27,292 with an interest rate of 10% for the three and half years compounded…
A: Present value = 27292 r = 10% Time = 3.5 years
Q: Find the equivalent rate of interest of 9% compounded quarterly to an interest rate compounded…
A: Given interest rate = 9 % compounded quarterly quarterly rate = 9/4 = 2.25 % effective interest rate…
Q: The amount of P150,000 was invested at 12% interest compounded quarterly 10yrs years ago. What is…
A: The formula used is: A=P1+R100twhen compounded quaterlyA=P1+R4004twhere P is the PrincipalR is the…
Q: What is the nominal interest rate in continuous compounding that is equivalent to an effective…
A: Considering the period of compounding and also the base (nominal) rate of interest, it is possible…
Q: Find the effective interest rate per payment period for an interest rate of 8%compounded monthly for…
A: The effective interest rate refers to the rate of interest that is paid on an investment or loan or…
Q: What payment X 10 years from now is equivalent to a payment of P 1,000 6 years from now, if interest…
A: Given information, Present value: P1,000 (6 years from now) Interest rate: 15% Time period: 4 years…
Q: What single payment at the end of year 5 is equivalent to an equal annual series of payments of 600$…
A: Present value: It means the current value of the future sum of money for a specific rate of return.
Q: A large bank has increased its annual percentage rate (APR) on credit cards to 30%. This move was…
A: Meaning of Annual Percentage Rate (APR): The term annual percentage rate refers to that rate that…
Q: A series of equal quarterly payments of $5,000 for 10 years is equivalent to what present amount at…
A: Payment made quaterly = $5000 The time period for which the payment was made = 10 years Interest…
Q: What is the accumulated amount of a 10-year annuity paying ₱ 1,744 at the end of each year, with…
A: Given information: Time, n = 10 years Annuity = 1744 Interest amount, r = 4%
Q: If you invest $150,000 at an interest rate of 10% compounded annually, what is your total balance…
A: The interest rate is the income earned by the investment in the economy. When the money is invested…
Q: unt that compounds interest at 1% per semiannual, the value of n in the F/A factor that will…
A: Compound interest is the addition of interest being made to the principal sum of a deposit or loan.
Q: Find the present value of a perpetuity payments of P 600 every 3 months with 6% compounded…
A: here we calculate the present value of perpetuity payment y using the present worth formula and…
Q: At certain interest rate compounded quarterly, an amount worth P8000 will be P20000 after 5 yrs. How…
A: Given Present value P=8000 Value after 5 years =20,000 Compounded period = quarterly. First we will…
Q: If the difference between Simple Interest and Compound Interest on a certain sum of money in 2 years…
A: Using simple interest formula, interest is calculated as interest =PrtWhere P is principle amount or…
Q: You invested $10,000 at 12% interest rate compounded monthly, what is your accumulated amount at the…
A: Present value, P= 10000 n= number of times in a year it is compounded = 12 months t= number of years…
Q: Suppose you take out a car loan of $15,000 with an interest rate of 15% compounded monthly. You will…
A: Hello, thanks for the question. Since there are multiple subpart questions posted here, as per the…
Q: WHAT ARE THE PRESENT WORTH AND THE ACCUMULATED AMOUNT OF A 10-YEAR ANNUITY PAYING $10,000 AT THE END…
A: There is an annuity payment of $10,000 at the end of each year for the next 10 years. The interest…
Q: How much should Jane return at the end of 60 days if she loaned P10,000 from a friend at a simple…
A: The simple interest rate refers to a percentage figure which indicates the proportion of the…
Q: If the interest rate is 7% compounded continuously, what is the required quarterly payment to repay…
A: Interest is the cost of capital. We can use interest in the context of either borrowed funds,…
Q: Suppose you put $20,000 in an investment account today that earns 3% per year (compounded annually),…
A: a. Principle P = $20,000 Interest i = 3% per year Time t = 10 Years Amount A = ?…
Q: Find the present value of 10% interest of the series of payment starting at year 1 of $100 and…
A: According to the question, Interest rate = 10%, number of years = 10 Cashflows series Year 1…
Q: A series of equal quarterly payments of $6,000 for IO years is equivalent to what present amount at…
A: A compound interest rate is the rate on a deposit or a loan amount and used to measure the…
Q: If compounded monthly, a loan will be amounting to ₱132,400 if invested at 11.5%interest for 1.75…
A: given that, amounting = ₱132,400 11.5%interest for 1.75 years, time(n) = 12
Q: Money borrowed today is to be paid in 6 equal payments at the end of 6 quarters. If the interest is…
A: Given, A = ₱ 2,000.00 Rate (r) = 12% Number of periods (n) = 6
Q: find the equivalent rate of 6% compounded semi-anually in a compounded quarterly
A: To find the equivalent rate of 6% compounded semi-manually in the compounded quarterly, we used the…
Q: A series of equal quarterly payments of $5,000 for 10 years is equivalent to what present amount at…
A: Given values in the questions: Payment made quaterly = $5000 The time period for which the payment…
Q: What interest compounded 10 times a year is equivalent to an interest rate of 5% compounded…
A: Compounding Interest rate = 5% quaterly
Q: the nominal rate compounded monthly which is equivalent to 18% compounded bimonthly. What is the…
A: Answer is given below
Q: What is the present equivalent of $18,000 to be received in 15 years when the interest rate is a.…
A:
If you borrow $ 30,000 at 6% simple interest per year for seven years, how much will you have to repay at the end of seven years?
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- If you borrowed $24,000 at 12% annual interest. You agreed to repay the loan with five equal annual payments. How much of the total amount repaid is interest? How much of the third annual payment is interest, and how much principal is there? If you decided to pay off your loan after the third payment, how much will you pay?Today you deposited $10,000 in a savings account paying 7% annual interest. How much should you have at the end of five years?How much should you put into 6% saving account in order to have 100,000 in five years?
- One person bought a DVD player for $399.00. You paid a down payment of $99.00 and agreed to pay the balance plus an amount of $10.00 at the end of three months as interest. What annual simple interest rate would you be paying?Does the compounding increases the amount of interest paid over a year atthe same nominal interest rate?You borrow $500 from a family member and agree to pay it back in six months. Because you are part of the family, you are only being charged simple interest at the rate of 0.5% per month. How much will you owe after six months? How much is the interest?
- At what rate of interest will an investment double itself in 10 years?Dan is considering borrowing $500,000 to purchase a new condo. Based on that information, answer the following questions. Show all work. Calculate the monthly payment needed to amortize an 8% fixed-rate 30-year mortgage loan. Calculate the monthly amortization payment if the loan in (a.) was for 15 years instead.Maria takes out a 30-year mortgage for $235,136 at an annual interest rate of 4.2%. How much does she still owe when there is 1 year left on the loan? Round your answer to the nearest dollar.
- You want to save the down payment required to purchase a vacation home at the end of five years. If the required down payment is $25,000 and you can earn 5% a year on your savings account, how much do you need to set aside at the end of each year for the next four years?You borrow $800 from a family member and agree to pay it back in nine months. Because you are part of the family, you are only being charged simple interest at the rate of 0.6% per month. How much will you owe after nine months? How much is the interest?Explain the true effect of more frequent compounding on annual interest amounts?