A bank account pays 3% interest with monthly com- pounding. A series of deposits started with a deposit of $5000 on January 1, 2007. Deposits in the series were to occur each 6 months. Each deposit in the series is for $150 less than the one before it. The last deposit in the series will be due on July 1, 2021. What is the future worth of the account on July 1, 2024, if the balance was zero before the first deposit and no withdrawals are made?

A bank account pays 3% interest with monthly com- pounding. A series of deposits started with a deposit of $5000 on January 1, 2007. Deposits in the series were to occur each 6 months. Each deposit in the series is for $150 less than the one before it. The last deposit in the series will be due on July 1, 2021. What is the future worth of the account on July 1, 2024, if the balance was zero before the first deposit and no withdrawals are made?

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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The Schitt Company borrowed $900 on January 1, 2020 at an annual rate of interest of eight percent. The loan has a three-year term and the company will not make any payments until the end of the term. What amount of interest expense will the company record on December 31, 2022? Round your final answer to the nearest whole dollar and enter as a positive number.
It is the first day of the year and you plan to make a total of 5 deposits of $ 4, 000 each, one every 6 months with the first payment being made today. The bank pays a nominal interest rate of 15% but uses semiannual compounding. How much your account with the bank be if you leave the money in the bank to be withdrawn all in 12 years from today? Round to the nearest $0.01 but do not use the $ sign. DO NOT USE commas to separate thousands. For example if you obtain $1, 432.728 then enter 1433.73; if you obtain $432 then enter 432.00
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