Calculate the effective annual interest rate for 18% corresponding to each of the following: (a) compounded semi-annually (b) compounded quarterly (c) compounded bi-monthly

Q: Calculate the effective annual interest rate for 15% corresponding to each of the following: (a)…

A: The effective annual interest rate (EAR) is the interest rate that is adjusted for compounding over…

Q: A sum of money invested at 12% interest, compounded quarterly, will triple in amount in…

A: Present value is the value of investment in today's dollar. Future value is the value of investment…

Q: What will be the amount accumulated by each of the given present investments?(a) $6.000 in 12 years…

A:

Q: Simple and Compound Interest . Calculate the amount deposited 1 year ago to have SR1000 now at an…

A: An interest rate is the amount of interest due per period, as a proportion of the amount lent,…

Q: What deposit today is required for it to be worth $150,000 in 25 years if the deposit earns 5%…

A: Interest is the cost of borrowing. Compound interest is calculated on the principal amount as well…

Q: How long in years will money double its amount if invested at 10% simple interest?

A: Given interest r= 10%

Q: b) $4,500 at the end of each year for 15 years at 4.75% compounded annually.

A: The amount invested each year = $4500 Total number of years = 15 years The interest rate earned in…

Q: Q1: A sum of $2000 borrowed at 16% compounded daily for 2 years, state (a) The nominal rate of…

A: Given data: Present value P=$2000 Rate 16% compounding daily. Time t=2 years

Q: Calculate the effective annual interest rate for continuous compounding?

A: The effective annual interest rate , also called effective annual rate (EAR) is the real return on…

Q: 6. Find the future value of RM10,000 which was invested for (a) 3 years at 6% compounded annually.…

A: ITEM 6To find the future value of the investments given the different compounding periods, we can…

Q: value of $ 20000 at the end of 10 years

A: (a) FV ($) = 20000 + (20000 x 7% x 10) = 20000 + 14000 = 34000

Q: Find the amount needed to be invested now to accumulate the following amount if the money is…

A:

Q: David is planning to contribute $8,000 a year into a mutual fund that earns an average of 8% per…

A: In economics, present value refers to the current value of future steam of cash flow. Future value…

Q: Calculate the effective annual interest rate for 15% corresponding to each of the following: (d)…

A: Compounding is the act of accruing interest on both the initial principal and interest accumulated…

Q: At what annual rate of interest, compounded quartile will money double in (3+R) years?

A: We are going to set up the mathematical equation to answer this question.

Q: The present value of $20,000 each year for 4 years at a 5% interest rate is approximately The…

A: Present value is the value of investment in today's dollar.  Future value is the value of investment…

Q: What is the APY for 5.5% compounded semiannually?

A: Given  Nominal rate =5.5 compounded semiannually  Required: APY (annual percentage yield) Formula:…

Q: What is the effective annual interest rate for 10% compounded (a) semi- annually, (b) every four…

A: The effective rate of interest is the return on a savings account or an investment, whose interest…

Q: An account has a nominal interest rate of 12% (annually) and an effective interest rate of…

A: In this question, I determined the most likely compounding period for an account with a nominal…

Q: MARIE PURCHASED A LOT AND AGREED TO PAY $1,600 A MONTH FOR 15 YEARS. IF MONEY IS WORTH 9% COMPOUNDED…

A: According to the given question:- Future value of the amount will be = R[(1+i)^n -1]/1 R = Regular…

Q: Accumulate (or find the future amount of) P45,000 for 15 months at 24% compounded monthly.

A: When the principle of an investment or loan is added to previously earned interest, compound…

Q: If you deposit $10658.1 into an account paying 5% annual interest compounded semi-annually, how much…

A: Deposit Amount =10658.1 Interest rate = 5%   (Compounded Semi- Annually ) Effective Annual  Interest…

Q: hat is the value at the end of 4.25 years of $100,000.00 applied at 4% compound interest per month?

A: The interest charged on a borrowing or deposit is known as compound interest. This is the most often…

Q: Find the effective interest rate per payment period for an interest rate of 8%compounded monthly for…

A: The effective rate of interest is the return on a savings account or an investment, whose interest…

Q: What deposit made at the beginning of each month will accumulate to $120,000 at 5% compounded…

A: In the question above, it is given that : Amount  = $120,000 Rate of Interest = 5% = 0.05 Time = 10…

Q: 8% of the nominal interest rate; Calculate the 3-month effective interest rate for a) compounded…

A: Solution: Effective Interest Rate: It refers to the interest rate on loan or financial products…

Q: Find the compound amount after year if $100 is invested at the rate 6%, payable quarterly. What was…

A: given that, principle(P) is $100 time(t) is one year rate(r) is 6 percent

Q: Which of the following compounding rates is equivalent to an effective interest rate of 2.75% per…

A: The effective annual rate (EAR) is the real percent interest that a borrower or investor pays on a…

Q: In one loan plan, the interest is reported as 36% compound monthly interest. Determine the effective…

A: Given for loan, The compound interest = 36%  To calculate the effective interest rate: effective…

Q: Which of the following compounding rates is equivalent to an effective interest rate of 2.75% per…

A: An effective annual rate of interest refers to the real return on a savings account with the…

Q: A series fequal quarterly payments of $5,000 for 10 ears is equivalent to what present amount t an…

A: here we calculate the given by following method as follow;

Q: How long in years will it take for Priscelle’s investment to fivefold its amount if money is worth…

A: Compound interest implies the interest that is calculated not only on the initial principal amount…

Q: if I loaned 167,795 today and promised to pay it back after 5 years to the bank with monthly…

A: In economics, present value refers to the current value of a future stream of cash flow. Future…

Q: What is the accumulated amount of P 5 000 after 10 years that is at 8% compounded bi monthly?

A:

Q: Ronny borrowed a sum of $5,000 from his uncle Dennis and after three years paid a sum of $5,000 and…

A: Present value is the value of investment in today's dollar.  Future value is the value of investment…

Q: Find the present value of deferred annuity of P 900 every 3 months for 5 years that is deferred 3…

A: Given Information A = 900i = 10% compounded Quarterly = 10/4 = 2.5% or 0.025n = 5*4 = 20 Deferred…

Q: What payment X 10 years from now is equivalent to a payment of P 1,000 6 years from now, if interest…

A: Given information, Present value: P1,000 (6 years from now) Interest rate: 15% Time period: 4 years…

Q: Determine the present value of a perpetuity of 10,000 pesos payable semi-annually if the money is…

A: Semi-Annual Amount = 10,000 number of payment in a year = 2 compounding period = 4 r = 8%

Q: What effective interest rate per quarter is equivalent to 10% per year compounded monthly

A: Meaning of Effective Interest Rate: The term effective interest rate is the payback…

Q: At 8% annual interest compounded monthly, how long will it take to become a millionaire if you…

A: The annual interest rate is 8%, compounded monthly The amount invested is $150,000 We have to find…

Q: How many will it take money to be 3 times itself if invested at 12% compounded semi-annually

A: Let X is the amount deposit, how long will it take to be 3 times itself if invested at 12%…

Q: Which of these gives the highest effective rate of interest? - 16.35% compounded twice every month…

A: