A debt of $5250.56 is repaid by payments of $1085.37 in 4 months, $1063.35 in 13 months, and a final payment in 32 months. If interest was 5% compounded annually, what was the amount of the final payment? The final payment is S (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
A debt of $5250.56 is repaid by payments of $1085.37 in 4 months, $1063.35 in 13 months, and a final payment in 32 months. If interest was 5% compounded annually, what was the amount of the final payment? The final payment is S (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 7P
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Transcribed Image Text:A debt of $5250.56 is repaid by payments of $1085.37 in 4 months, $1063.35
in 13 months, and a final payment in 32 months. If interest was 5%
compounded annually, what was the amount of the final payment?
The final payment is $
(Round the final answer to the nearest cent as needed. Round all
intermediate values to six decimal places as needed.)
Transcribed Image Text:An investment of $3435.82 earns interest at 2.8% per annum compounded
semi-annually for 3 years. At that time the interest rate is changed to 7.1%
compounded quarterly. How much will the accumulated value be 4.5 years
after the change?
The accumulated value is $
(Round the final answer to the nearest cent as needed. Round all
intermediate values to six decimal places as needed.)
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