An investment offer nominal interest rate of 6% compounded monthly. Monthly interest is computed based on the average daily balance. Someone started an account with an initial investment of $1,000 and deposited $ 250 at the end of each month. In addition, she added $ 1,200 and $ 800 at the end of 4th and 7th month. Compute the total interest earned at the end of

An investment offer nominal interest rate of 6% compounded monthly. Monthly interest is computed based on the average daily balance. Someone started an account with an initial investment of $1,000 and deposited $ 250 at the end of each month. In addition, she added $ 1,200 and $ 800 at the end of 4th and 7th month. Compute the total interest earned at the end of

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter5: The Time Value Of Money

Section: Chapter Questions

Problem 26P

See similar textbooks

Similar questions

Suppose that you deposited $1,000 in a savings account at the beginning of a year where the annual interest rate is 18%, for each month the annual effective rate is: Select one: a. $1195,61 b. $11561.5 c. %19.561 d. $19561.5
An investment of $6000 is deposited into an account in which interest is compounded monthly. Complete the table by filling in the amounts to which the investment grows at the indicated times. (Round your answers to the nearest cent.) r = 6% Time (years) Amount 1 2 3 4 5 6
Create the amortization schedule for a loan of $15,000, paid monthly over three years using a 9 percent APR. Enter the data for the first three months. (Round your answers to 2 decimal places.)
Over a period of nine months, $35.67 of simple interest is earned at 1.75% per quarter. Calculate the principal for total amount for this investment. Select one: a. $69.56 b. none c. $77.51 d. $715.10 Check
An investor placed $2,000 per year at the end of each year into an investment account. Immediately after the 15th payment, the value of money in the account was $58,720. What is the average annual rate of return the investor has earned on the account? Group of answer choices 7.0% 9.0% 5.1% 6.3%
Give typing answer with explanation and conclusion Patricia made equal deposits at the beginning of every 3 months into an RRSP. At the end of 10 years, the fund had an accumulated value of $45,000. If the RRSP was earning 4.75% compounded monthly, what was the size of the quarterly deposits?
A loan of $2982 is repaid in three years. Find the amount of interest paid on the loan if it is compounded quarterly at 10%. Select one: a. $4010.46 b. $2217.28 c. $894.60 d. $1028.46
Aaron's student loan of $24,500 at 3.32% compounded quarterly was amortized over 5 years with payments made at the end of every month. What was the principal balance on the loan after 4 years? Round to the nearest cent OD $0.00 ( 0 LA f SUBMIT QUESTION SAVE PROGRESS ↑ SUBM
Suppose you invest $2,300.00 in an account with an annual interest rate 3% compounded monthly. (3% annual rate/ 12 months 0.25% each month). Use this information to complete the table below. Round your answer in each box to the nearest cent as needed. Month 1 2 3 4 5 = Starting Balance $2,300.00 $2,305.75 $2,317.29 0.25% Interest on Starting Balance $5.75 5.81 Ending Balance $2,305.75 $2,317.29
Create the amortization schedule for a loan of $4,000, paid monthly over two years using an APR of 9 percent. Enter the date for the first three months. (Round your answer to 2 decimal places.)
Calculate the accumulated value after 13.5 years of deposits of $470 made at the beginning of every three months and earning interest at 7.2% compounded quarterly. Select one: a. $43074.02 b. $38214.40 C $18294.59 d. $32954.91
A loan of $92,800.00 is repaid by equal payments made at the end of every three months for 3 years. If interest is 8% compounded quarterly, find the size of the quarterly payments and construct an amortization schedule showing the payment number, amount paid, interest paid, principal repaid and outstanding principal balance of each payment. Additionally, include the totals for amount paid, interest paid and principal repaid of the loan.