FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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What is the ending account balance to the nearest penny for these financial accounting question?
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- Suppose you deposit $ 1296 today and your account will accumulate to $ 5637 in 9 years. What is the rate of interest? Input your answer in decimals, not percentages. Round your answer to four decimals places.arrow_forwardSuppose you invest $1,200 in an account paying 4% interest per year. a. What is the balance in the account after 2 years? How much of this balance corresponds to "interest on interest"? b. What is the balance in the account after 25 years? How much of this balance corresponds to "interest on interest"?arrow_forwardSuppose you deposit $600 in an account that earns 4% interest. How long will it take for your money to grow to $1,200?arrow_forward
- Suppose you invest $103 nin a bank account, and five years later it has grown to $137.91. a. What APR did you receive, if the interest was compounded semiannually? b. What APR did you receive if the interest was compounded monthly?arrow_forwardHow much should you invest at 2.5% simple interest in order to earn $95 interest in 7 months?arrow_forwardWhat would be the annual percentage yield for a savings account that earned $51 in interest on $750 over the past 365 days? (Enter your answer as a percent rounded to 1 decimal place.)arrow_forward
- A6)arrow_forwardSuppose you deposit $4,000 into a savings account that earns 5.4% APR compounded monthly. Find the APY of the savings account. Round the percent to two decimals.arrow_forwardSuppose you invest $1,250 in an account paying 8% interest per year. a. What is the balance in the account after 3years? How much of this balance corresponds to "interest on interest"? b. What is the balance in the account after 31 years? How much of this balance corresponds to "interest on interest"?arrow_forward
- Exercise (1.77) You deposit an amount X into an account at time 0 and 2X into the same account at time 3. The account balance at time 5 is 5,000. If the account has earned a 4% annual effective rate, what is the value of X? Answer: 1,479.35arrow_forward4. What account should you invest your money in? (Hint. Calculate the APY of each account) Account 1: Compounded annually with APR of 3%Account 2: compounded monthly with APR of 2.75%arrow_forwardWhat amount of money will accumulate to $8193.9 in 94 days at an interest rate of 3.5% p.a.?arrow_forward
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