Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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If you deposit in a bank $200 today, $250 a year from now, $150 in the second year and $300 in the third year, how much you find in your banj account in the 3rd year if the interest is 10%?
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- Explain well both question with paper answer.arrow_forwardYou are going to buy an apartment, and are borrowing 5 000 000 from a bank for 10 years. The interest rate is 3% (APR), the payments are monthly. How much is the EAR that the bank will earn from the loan?arrow_forwardA friend asks to borrow $53 from you and in return will pay you $56 in one year. If your bank is offering a 6.5% interest rate on deposits and loans: a. How much would you have in one year if you deposited the $53 instead? b. How much money could you borrow today if you pay the bank $56 in one year? c. Should you loan the money to your friend or deposit it in the bank?arrow_forward
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- < A friend asks to borrow $51 from you and in return will pay you $54 in one year. If your bank is offering a 6.2% interest rate on deposits and loans: a. How much would you have in one year if you deposited the $51 instead? b. How much money could you borrow today if you pay the bank $54 in one year? c. Should you loan the money to your friend or deposit it in the bank?arrow_forwardHow much money do you have to put in the bank today to have $80,000, six years from now if your bank pays 8% interest on savings?arrow_forwardA friend asks to borrow $48 from you and return will pay you $51 in one year. If your bank is offering a 6.5% interest rate on deposits and loans: a. How much would you have in one year if you deposited the $48 instead? b. How much money could you borrow today if you pay the bank $51 in one year? c. Should you loan the money to your friend or deposit it in the bank? Darrow_forward
- You are going to make the following contributions into a savings account: Year 1: $0 (1 year from today) Year 2: $1000 Year 3: $1000 Year 4: $2000 Year 5: $0 Year 6: $0 The account will earn 7.23% in interest per year. How much will be in the account exactly 6 years from today? To nearest $0.01arrow_forwardYou wish to deposit $500 dollars per year. The first deposit will be on April 1, 2017, and your last deposit will be on April 1, 2026. How much will be in the account on April 1, 2050 if the bank pays 4% annually?arrow_forward
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