
Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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Complete the following using compound
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Compounded ______________ ?
Interest _________________ ?
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- What's the present value of $18,500 discounted back 5 years if the appropriate interest rate is 9%, compounded semiannually? Select the correct answer. a. $11,935.86 b. $11,924.26 c. $11,912.66 d. $11,947.46 e. $11,959.06arrow_forwardComplete the following using compound future value. (Use the Table provided.) (Do not round intermediate calculations. Round your final answers to the nearest cent.) Time Principal Rate Compounded Amount Interest 7 years $4 16,600 8% Quarterly cerarrow_forwardManually calculate the compound amount and compound interest for the following investment. Round your answers to the nearest cent. Do not round intermediate calculations. Time Nominal Interest Compound Compound Principal Period (years) Rate (%) Compounded Amount Interest $4,000 2 annuallyarrow_forward
- Solve by using compound table. Find future value Note: Round your answer tot he nearest cent. Principal:2, 000, Rate 8%, Time: 2 yrs, Number of times compounded per year: Quarterly, Future Valuearrow_forwardGive typing answer with explanation and conclusion Compute the future value of $1,000 compounded annually for A-10 years at 5 percent B-10 years at 7 percent C-20 years at 5 percent D why is the interest earned in part c not twice the amount earned in part a?arrow_forwardCalculate the present value of the following single amounts. (FV of $1, PV of $1, FVA of $1, and PVA a financial calculator. Round your answers to 2 decimal places.) 1. 2. 3. Future Value $ 8,900 5,900 4,900 Interest Compounded 4% Annually 10% Semiannually 8% Quarterly Annual Rate Period Invested 3 years 6 years 2 years Present Valuearrow_forward
- Complete the following using compound future value. (Use the Table provided.) Note: Do not round intermediate calculations. Round your final answers to the nearest cent. Time 5 years Principal $ 17,300 Rate Compounded 6 % Quarterly Amount Interestarrow_forwardSolve the following exercise by using the present value formula. Do not round intermediate calculations. Round your answers to the nearest cent. Compound Amount Term ofInvestment NominalRate (%) InterestCompounded PresentValue CompoundInterest $13,000 7 years 8.5 semiannually $ $arrow_forwardComplete the following using compound future value. (Use the Table provided.) (Round your answers to the nearest cent.) Time Principal Rate Compounded Amount Interest 12 years $15,000 3 1/2 % Annuallyarrow_forward
- How to Find the future value and compound interest on $6,000 at 4% compounded semiannually for two years and how to use the future value or compound amount of $1.00 Table or the future value and compound interest formula. What is the future value?arrow_forward20.Calculate the present value (principal) and the compound interest (in $). Use Table 11-2. Round your answers to the nearest cent. CompoundAmount Term ofInvestment NominalRate (%) InterestCompounded PresentValue CompoundInterest $36,000 6 years 4 semiannually $ $arrow_forwardFind the future value and compound interest on $6,000 at 6% compounded semiannually for two years. Use the Future Value or Compound Amount of $1.00 Table or the future value and compound interest formula. Future Value or Compound Amount of $1.00. .... Future value = $(Round to the nearest cent as needed.) Compound interest = $ (Round to the nearest cent as needed.)arrow_forward
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