A bank is currently offering a savings account paying an interest rate of 6.0 percent compounded quarterly. It would like to offer another account ,with the same effective annual rate ,but compounded monthly. What is the equivalent rate of compound monthly.?

You are paying an effective annual rate of 8.974 percent on your credit card. The interest is compounded monthly. What is the annual percentage rate on this account?

Find the amount accumulated FV in the given annuity account. HINT [See Quick Example 1 and Example 1.] (Assume end-of-period deposits and compounding at the same intervals as deposits. Round your answer to the nearest cent.) $150 is deposited monthly for 15 years at 6% per year

One bank offers to loan you money at an interest rate of 12% compounded quarterly, and another bank offers to loan you money at 11.8% compounded continuously. Which loan would you prefer, and why?

Today, you borrowed $5,400 on a credit card that charges an interest rate of 14.2 percent, compounded monthly. How long will it take you to pay off this debt assuming that you do not charge anything else and make regular monthly payments of $110?

Your credit card carries an annual rate of 21.6% APR with a minimum payment due monthly. If you don’t pay the monthly minimum amount for a year, what is its EAR?

Suppose that $2500 is placed in a savings account at an annual rate of 4.2%, compounded monthly. Assuming that no withdrawals are made, how long will it take for the account to grow to $4000? Do not round any intermediate computations, and round your answer to the nearest hundredth. I necessary, refer to the list.of finandial formulas O ears

You deposit $ 7,812 in your account today. You make another deposit at t = 1 of $ 6,946 . How much will there be in your account at the end of year 1 if the interest rate is 11.9 percent p.a.? (Record your answer without a dollar sign, without commas and round your answer to 2 decimal places; that is, record $3,245.847 as 3245.85).   Your Answer:

Suppose you run up a debt of $300 on a credit cardthat charges an annual rate of 12 percent, compounded annually. How much will you owe at theend of two years? Assume no additional chargesor payments are made

a. Use the appropriate formula to determine the periodic deposit. b. How much of the financial goal comes from deposits and how much comes from interest? Periodic Deposit Rate $? at the end of each month 3.5% compounded monthly Click the icon to view some finance formulas. a. The periodic deposit is $. (Do not round until the final answer. Then round up to the nearest dollar as needed.) Formulas b. S of the $220,000 comes from deposits and S comes from interest. (Use the answer from part (a) to find these answers. Round to the nearest dollar as needed.) A= In the provided formulas, P is the deposit made at the end of each compounding period, r is the annual interest rate of the annuity in decimal form, n is the number of compounding periods per year, and A is the value of the annuity after t years. P[(1+r)²-1] T Time 10 years A= nt P= Financial Goal $220,000 响 nt [(¹-3) - X SEX