An investment will pay you $86, 000 in three years. Assume the appropriate discount rate is 7.5 percent compounded daily. What is the present value? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. Use 365 days in a year.

(Solving for n with non-annual periods) Approximately how many years would it take for an investment to grow sixfold if it were invested at 9 percent compounded weekly? Assume that you invest $1 today. If you invest $1 at 9 percent compounded weekly, about how many years would it take for your investment to grow sixfold to $6? (Hint: Remember to convert your calculator solution to years.) years (Round to one decimal place.)

Imagine that you have $7,000 to invest for 9 years. How much more interest will you earn if you choose an account that pays 7% compounded annually (j1) instead of an account that pays a simple interest rate of 7% per annum? Round you answer to 2 decimal places. Your Answer: Answer

You are comparing two investments. The first pays 3 percent interest per month, compounded monthly, and the second pays 6 percent interest per six months, compounded every six months. a. What is the effective semiannual interest rate for each investment? b. What is the effective annual interest rate for each investment? c. Based on the interest rates, which investment is preferred? Does the decision depend on whether the comparison is based on an effective six-month rate or an effective one-year rate? a. The effective semiannual interest rate for the first investment is percent. (Type an integer or decimal rounded to two decimal places as needed.)