The present worth of a deposit of $1000 now and $1000 every 6 months for 10 years at an interest rate of 10% per year, compounded semiannually is represented by which of the following equations: Select one: a. P = 1000 (P/A,5%,21) b. P = 1000 (P/A,5%,20) c. P = 1000 + 1000(P/A,10.25%,10) d. P = 1000(P/A,5%,21)(F/P,5%,1)

A bank quotes an interest rate of 4.5% per annum with quarterly (four times a year) compounding. What is the equivalent rate with (a) continuous compounding and (b) semi annual compounding?

A certain sum of money will be deposited in a savings account that pays interest at the rate of 6% per year, compounded annually. If all of the money is allowed to accumulate, how much must be deposited initially so that $5,000 will have accumulated after 10 years

Payments of $1000 and $7500 were originally scheduled to be paid five months ago and four months from now, respectively. The first payment was not made. What single payment two months from now is equivalent to the scheduled payments if money can earn 6.25%?

You inherited $12,000 from your Great-Uncle Michael. If you invest it and average an 8% annual rate of return (compounded annually), how much will you have in 20 years?

A person is planning to open a retirement account. He plans is to deposit $1,000 per month for next 45 years. This person visits four local banks and recorded the interest rates: Bank A) 0.08% per month compounded monthly Bank B) 6.2% per year compounded continuously Bank C) 8% per year compounded monthly Bank D) 7% per year compounded semi-annually Determine 1) Which bank should be selected? 2) How much money will be accumulated in 45 years in the selected bank?

You plan to deposit $100 per week into a fund that pays interest of 6% per year, compounded quarterly. Identify the interest period, compounding period, and number of times interest is com-pounded per interest period. Additionally, include the cash flow diagram. Could I please get help with question without the use of excel.

How much would your parents have to deposit each month into an account that grows at a rate of 11% per year compounded quarterly if they want to have $62,000 at the end of year 3 to cover part of your college expenses? Assume no interperiod compounding. Parents have to deposit $ each month.

Solve for the value of X in the Figure below so that cash flow A is equivalent to cash tlow B (i = 12% per year). $5,000 $2,000 Cash flow A 3X Cash flow B 2x