Rose deposits P20,000 into a fund that earns 7.5% interest payable quarterly while Jack deposits at the same time P22,000 into a fund that earns a constant force of interest of r. After 2 years and 6 months, the value of their deposits are the same. Determine the constant force of interest rate r. O 3.22% 3.32% O 3.42% 3.52% 3.62%

Rose deposits P20,000 into a fund that earns 7.5% interest payable quarterly while Jack deposits at the same time P22,000 into a fund that earns a constant force of interest of r. After 2 years and 6 months, the value of their deposits are the same. Determine the constant force of interest rate r. O 3.22% 3.32% O 3.42% 3.52% 3.62%

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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plz solve the question III with explanation and get upvotes
Task 3. Compute the future value of the following annuity investments: s beonemme 1. P6,000 quarterly investment at 8% interest compounded quarterly for 8 years moT 2. P4,000 monthly investment at 6% interest compounded monthly for 4 years 3. P8,000 semi-annual investment at 9% interest compounded semi-annually for 10 year
An insurer needs to make the following annuity payments to an individual: £744 paid at the beginning of each year for the first 5 years and then £654 paid at the beginning of each month for the next 5 years and then £798 paid at the beginning of each quarter for the following 8 years. Assuming a nominal rate of interest of 2.7% pa convertible quarterly throughout the entire period, how much total fund the insurer needs to hold today in order to meet these payments? Express your answer in £s to 2 decimal places.
When Zane deposits $20,000 cash in his checkable deposit at the Citicorp and the Citicorp's required reserves increase by $5,000, the required reserve ratio is O $5,000. O 25 percent. O 75 percent. O 5 percent. O 20 percent.
Bill would like advice on investing in a $70,000 2-year ‘snowball’ fixed deposit providing an interest rate of 5% p.a. with interest paid half-yearly. The interest paid is reinvested back into the fixed deposit which is the basis for the ‘snowball’ description. On maturity, the investment provides a bonus interest amount of $500 for all investments that have a balance at maturity that exceeds their initial investment by more than 10%. Bill is subject to a 40% effective tax rate for interest income derived in the first year and 30% for the second year. Bill has sought your assistance in determining whether he would be eligible for the interest bonus and also to calculate his total after-tax net income from the investment.
An insurer needs to make the following annuity payments to an individual: £744 paid at the beginning of each year for the first 5 years and then £654 paid at the beginning of each month for the next 5 years and then £798 paid at the beginning of each quarter for the following 8 years. Assuming a nominal rate of interest of 2.7% pa convertible quarterly throughout the entire period, how much total fund the insurer needs to hold today in order to meet these payments? Express your answer in £s to 2 decimal places. (correct answer: 53269.67) (need working out)
Fint the periodic payments PAT necessary to accumulate the given amount in an annity account. (Assume end-of-period deposita and compounding at the same intervals as depovits. Round your answer to the nearest cent.) $65,000 in a fund paying 3% per year, whth quarterty payments for 20 years PHT-1
ts e-Services - Academic Departments ÉTC - CIMS A. Mahm Mustafa purchases an annuity due paying 6% quarterly. If his payment is $6142, how much will its value be in 7 years? O $214962.02 O $108092.53 O $802713.01 O $54648.25 O $642418.17 Khalil purchased five $990 bonds at a closing rate of 109.62%. If the brokerage is $5 per bond, the purchase price will be: O $6531.43 O $5446.19 O $5451.19 O $2738.10 O $4094.64
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Pls help on this question ASAP. Pls do the whole question pls pls pls pls pls i beg.
Please please correct answer both a and b Thanks
A man borrows S195,500 from a bank with interest at 7% compounded annually. He agrees to pay his obligations by paying 8 equal annual payments, the first being due at the end of 10 yearh. Find the annual payments. S60,203 b. S60,354 4. $60,487 d. S60,589 e. $60,758

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