nterest rate is 2%. When I make a deposit of 10,000 yen with the maturity of 3 years, I plan to receive an interest every year. In this case, I can receive 200 yen as an interest after 1 year, and 200 yen as an interest after 2 years. At the end of the 3r year, I can receive 10,200 yen including principal and interest. In other situation, if I make a deposit of 10,000 yen with the maturity of 3 years, I can receive 250 yen after 1 year, and 250 yen after 2 years. At the end of the 3rd year, I can receive 10,250 yen. How much is the interest rate of this opportunity? Write an answer like the example. 2.1 (%) DO NOT put % in your answer

nterest rate is 2%. When I make a deposit of 10,000 yen with the maturity of 3 years, I plan to receive an interest every year. In this case, I can receive 200 yen as an interest after 1 year, and 200 yen as an interest after 2 years. At the end of the 3r year, I can receive 10,200 yen including principal and interest. In other situation, if I make a deposit of 10,000 yen with the maturity of 3 years, I can receive 250 yen after 1 year, and 250 yen after 2 years. At the end of the 3rd year, I can receive 10,250 yen. How much is the interest rate of this opportunity? Write an answer like the example. 2.1 (%) DO NOT put % in your answer

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 3PA: Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate...

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Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $4,200 over the next 6 years when the interest rate is 8%, how much do you need to deposit in the account? B. If you place $8,700 in a savings account, how much will you have at the end of 12 years with an interest rate of 8%? C. You invest $2,000 per year, at the end of the year, for 20 years at 10% interest. How much will you have at the end of 20 years? D. You win the lottery and can either receive $500,000 as a lump sum or $60,000 per year for 20 years. Assuming you can earn 3% interest, which do you recommend and why?
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