A person invested two amounts in a bank for a full year at a common interest rate. So the total interest on the two amounts was $ 320. If you know that the interest of the second amount, which equals $ 3,000 exceeds the interest of the first amount by $ 160 What is the value of the first amount and what is the interest rate?

17. You deposit $8,000 in a bank account today. You make another deposit of $14,000 into the account in year one and you make a third deposit of $10,000 in year two. The bank pays interest at 8 percent compounded annually. How much will you have in your account at the end of year 3? * O a) $37,207 b) $35,207 O c) $39,207 O d) $40,502 e) None of the above

Which of the following statements are most likely to be false? 1. The effective annual interest rate will always be greater than the quoted (or annual percentage) interest rate. II. All else being the same, the present value of a five-year, $10,000 annuity due will be higher than the present value of a five-year, $10,000 ordinary annuity. III. If you were depositing funds at a bank, and the quoted interest rate was 4% p.a., you would be better off if the bank used semi-annual compounding rather than quarterly compounding. I and II only. I and III only. II and III only. I, II and III.

2. On April 1 Kendrick opened a savings account at a bank that paid 3.55 $1,000. On April 20 he withdrew $500. On April 30 the bank calculated the daily percent interest. His initial deposit was $3,200. On April 9 he deposited another interest. a) How much simple interest did his money earn? b) How much was in the account after the bank calculated the daily interest on April 30?