1. On August 1 you opened a new savings account with a deposit of $1,400. The interest rate paid by the bank is 2.85 percent. On August 13 you withdrew $350. On the last day of the month, August 31, the bank calculated the daily interest. a) How much simple interest did you earn on your money in the month of August? b) c) How much was in your account the account after the bank calculated the daily interest on August 31? If you did not make any deposits or withdrawals in September, how much money was in your account after the bank calculated the daily interest on September 30?

1. On August 1 you opened a new savings account with a deposit of $1,400. The interest rate paid by the bank is 2.85 percent. On August 13 you withdrew $350. On the last day of the month, August 31, the bank calculated the daily interest. a) How much simple interest did you earn on your money in the month of August? b) c) How much was in your account the account after the bank calculated the daily interest on August 31? If you did not make any deposits or withdrawals in September, how much money was in your account after the bank calculated the daily interest on September 30?

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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7. On April 1, Michael Reeves deposited a refund check for $240.85 in a savings account at Northern Savings and Loan Association. At the end of December the interest was computed at an annual rate of 6,%. How much simple interest did Michael's money earn? On April 1 you opened a savings account at Main Street Savings Bank with a Simple interest did your money earn? what waS VOur ew balange?
On May 1, Cleveland Livingston opened a savings account thatpaid 3.5% interest at Fulton Savings Bank with a deposit of $5,000.Ten days later, he deposited $2,000. Fourteen days later, he deposited$8,000. No other deposits or withdrawals were made. Six days later,the bank calculated the daily interest.a. How much simple interest did his money earn?
8. On April 1, you opened a savings account at Main Street Savings Bank with a deposit of $817.25. At the end of October the interest was computed at an annual rate of 6% and added to the balance in your account.. a. How much simple interest did your money earn? b. What was your new balance?
6. Jasper Brown deposited $743.20 in a savings account at the Suburban Trust Com- pany on May 1. At the end of July his interest was computed at an annual rate of 7%. How much simple interest did Jasper's money earn? 7 On April 1 Michael Reeves deposited a refund check for $240.85 in a savings Ccount mbenthe smple interest did Michael Sount at Main Street Savings Bank with a waran ann ual rate of 69% and addedote
3. On February 1, the balance in your account is $516.81. On July 1, you deposit $310.90. Your bank pays 6.25% interest. a. How much interest have you earned on July 1? b. What is the amount in your account on July 1? c. How much interest have you earned on November 1? d. What is the amount in your account on November 1? Some banks calculate interest on a daily basis. The daily interest is added to the account at the end of the month.
On may 1 Cleveland livingston opened a savings account that paid 3.5 percent exact interest at fulton savings bank with a deposit of 5,000. Ten days later he deposited 2,000. Fourteen days later he deposited 8,000. No other deposits or withdrawals were made. Six days later the bank calculated the daily interest.
Ted Eisenstadt borrowed $5,600 from his bank for 4 months with interest at 9%. Ted paid the note in full on it's due date. How much was the check he gave to the bank for payment?
Suppose that you opened a savings account on January 1st, 2010, and made a deposit of $1000. On January 1st, 2011, you began depositing $100 into the account at the end of each month. If the bank pays 2% interest compounded monthly, how much money will be in the account on January 1st, 2022? Round to two decimal places.
a) You have a bank account that earns 6.8% interest rate. How much must you deposit (prinicipal) in order to have $4279 in your bank in 11 months? b) What is the interest rate?
Suppose that you opened a savings account on January 1st, 2010, and made a deposit of $1000. On January 1st, 2011, you began depositing $100 into the account at the end of each month. If the bank pays 2% interest compounded monthly, how much money will be in the account on January 1st, 2022?
Can you please help me work out this problem in detail? Minnie Rose deposited $15,000 in Street Bank at 4% interest compounded quarterly. What was the balance on Minnie’s account at the end of year 1? What was the interest earned on this account? What was the effective rate (APY)? Round your answer to the nearest hundredth of a percent.
11. Paul Koski deposited $21,000 in a savings account on April 1 and then deposited an additional $3500 in the account on May 7. Find the balance on June 30 assuming an interest rate of 3-% compounded daily.

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