The stated interest rate on your account is 7.2% interest paid quarterly your effective rate of interest API will be? Keep 4 decimal places

Q: What monthly compounded nominal rate would put you in the same financial position as 7.0% compounded…

A: Let the monthly compounded nominal rate of interest = iIt is given that the effective rate of the…

Q: f your credit card calculates interest based on 17.35​% ​APR, compounded quarterly ​: a) What are…

A: The effective annual rate of interest is the real return on the savings account when the effects of…

Q: What is the number of months required for a deposit of $1320 to earn $16.50 interest at 3.75%?

A: Deposited amount or principal balance is $1320 Interest earned is $16.50 Interest rate is 3.75% To…

Q: What is the nominal annual rate of interest compounded monthly at which ​$1663.00 will accumulate to…

A: Number of monthly periods = Number of years×12 =3.25×12=39 Monthly interest rate is calculated using…

Q: How long would it take for your money to double if it's invested in an account with quarterly…

A: Here,ParticularsValuesPresent value (PV) $ 100.00Future value (FV) $ 200.00Interest rate9.50%Number…

Q: Find the future value of an account if the present value is $172.39 at 6% interest for 700 days.

A: Future value of investment is the value received after putting some efforts and time in the…

Q: Manually calculate the compound amount and compound interest for the following investment. Round…

A: Future value: Amount = Principal * (1+ rate)^periods

Q: An investment of $837.00 earned interest quarterly. If the balance after 7 years was $1251.24, what…

A: Initial investment = $ 837Future value = $ 1251.24No of years = 7Number of quarters = 7*4= 28Find…

Q: You are told the effective interest rate on an account is 3.9%, if the interest is compounded…

A: Effective interest rate takes into consideration the compounding frequency. Annual percentage rate…

Q: An amount of $29,200 will provide 9 years of payments of $2,518.50 at the end of every 6 months.…

A: Present Value  $                 29,200.00 Time Period 9 Semi Annual Payment(P/Y)  $…

Q: Find the loan principal. Rate Time (Days) Interest Principal 12% 140 $11.40 ? The loan principal is…

A: Principal is a value which is deposited for a period and interest is computed on this value. It is…

Q: 4. What account should you invest your money in? (Hint. Calculate the APY of each account)  Account…

A: 1. APR= 3%, annual compounding 2. APR =2.75% monthly compounding

Q: You're prepared to make monthly payments of $360, beginning at the end of this month, into an…

A: Given:FV = $25,390P = $360r (monthly interest rate)n=12 (compounded monthly)

Q: If your credit card calculates interest based on 16.75% APR, compounded quarterly: (a) What are your…

A: The yearly rate that incorporates the magnifying effect of many compounding periods each year of…

Q: )If your credit card calculates interest based on 17.35​% ​APR, compounded quarterly ​: a) What are…

A: The effective annual rate is the actual rate of interest a loan will charge in a year after taking…

Q: If i= 14.8% per year, compounded monthly, What is the effective interest rate per semiannual? (ABET…

A: Lets understand the basics For calculating semi annual interest rate from monthly compounded…

Q: If you’re average daily balance on your credit card in June is $1,200 and your APR is 18%, how much…

A: Here,AverageDaily Balance of Credit Card is $1,200APR is 18%Late Charges is $29

Q: An account today is credited with monthly interest thereby bringing the account balance to $6,660.…

A: The future value of money refers to the amount that an invested sum of money will grow to over a…

Q: What rate (in %) compounded monthly is equivalent to simple interest rate of 6.3% for 6 years? Round…

A: Simple interest rate p.a. = 6.3% So for 6 years, effective interest rate = 6.3%*6 = 37.8% No. Of…

Q: Suppose you make quarterly deposits of $1,500.00 into an account that pays an interest at a rate of…

A: Answer: Calculation of the balance in the account at the end of year 2: Formula, we will use here,…

Q: Compute the annual interest, total interest, and amount to be received or paid at the end of the…

A: A method of computing interest amounts in which the compounding effect was not considered by the…

Q: You're prepared to make monthly payments of $310, beginning at the end of this month, into an…

A: The objective of this question is to find out the number of payments required to reach a certain…

Q: How long will it take to $200 of interest if $1000 has been deposited into an account with an…

A: Time value of money tries to impart the concept and importance of monies worth today as compared…

Q: 4. What is the effective annual interest rate a. A savings account with 4% annual interest rate…

A: In this question we need to compute the effective annual interest rate.

Q: The stated interest rate on your account is 12.5%, interest paid monthly. Your effective rate of…

A: Nominal interest rate is 12.5% paid monthly Compounding frequency "n" is 12  To Find: Effective…

Q: On January 1, you deposit K100 in an account that pays a nominal interest rate of 11.33463%, with…

A: Computation:

Q: ts, which amounts to monthly compounding. What is the effective annual rate?   a. 24.23%

A: Investors and consumers can compare interest rates across a range of financial products with…

Q: If $27895 is borrowed for 5 months and P688 is paid, then the annual simple interest rate is…

A: Simple interest is one of the form of interest in which interest is charged on original investment…

Q: Payments are made to an account at a continuous rate of 100e0.5t from time t = 1 to time t = 3. The…

A: To calculate the value of the account at time t = 4 without using Python, we'll perform the…

Q: Suppose you deposit $ 1296 today and your account will accumulate to $ 5637 in 9 years. What is the…

A: Maturity Amount, A  = $ 5637Principal deposited, P = $ 1,296Time period, T = 9 years

Q: Find the size of the monthly bank payment: P=$75,000 interest= 7 3/4% time= 4 months

A: Using excel PMT function

Q: Suppose you invest $1,000.00 in an account with an annual interest rate of 6% compounded monthly…

A: To complete this table we have add simple interest on ending balance and then add deposit balance to…

Q: What rate of interest (in %) compounded quarterly will yield an effective interest rate of 8.6%?…

A: Effective Annual Rate: The effective annual rate of interest is the actual or the real rate of…

Q: An amount of $124 is paid at the end of every month into an account. If the nominal interest rate is…

A: Here, Monthly Amount is $124 Interest Rate is 3.02% Compounding Period is Semi Annual Payment Period…

Q: ery month. What is the APR?

A: APR is annual percentage rate of credit card which is charged based on monthly basis interest rate.

Q: From this partial advertisement: $86.83 per month for 60 months $3,700 used car cash price $50 down…

A: Car or any vehicle is purchased on loan and these loans are paid by equal monthly installments that…

Q: Calculating Interest Using 360 days as the denominator, calculate interest for the following notes…

A: SIMPLE INTEREST FORMULA :  = PRINCIPLE X RATE X TIME

Q: effective interest rate

A: Formula: effective interest rate= [1+ interest rate/period)^ period]-1 *100

Q: An investor is trying to determine the proper interest rate to apply to an account. The account pays…

A: We need to use effective interest rate formula below to calculate quarterly interest rate.r= Annual…

Q: What amount of money will accumulate to $8193.9 in 94 days at an interest rate of 3.5% p.a.?

A: Present Value :— It is the value of future money at present day.   Present Value = Future…

Q: Calculating Interest Using 360 days as the denominator, calculate interest for the following notes…

A: Interest is calculated on the original principal amount. interest is the cost of money which…

Q: Suppose that you deposited $5,999 at the end of each year in a Roth IRA account earning an annual…

A: A Roth IRA (Individual Retirement Account) is a tax-advantaged retirement savings account that…

Q: Using the daily balance method of calculating interest, how much interest will you owe on a $500…

A: Given,  Credit card balance = $500 interest  = 20% = 20/100 = 0.2 time = 3 weeks  = 21/365

Q: Find the tripling time with 4 decimal places on a bank account that pays 7.2% APR if interest is…

A: Compounding is referred to the concept in which the interest earned on an investment also earns…

Q: You placed $4,948 in a savings account today that earns an annual interest rate of 16.32 percent,…

A: compound = semiannually = 2 Present value = pv = $4948 Interest rate = r = 16.32 / 2 = 8.16% Time =…

Effective Interest Rate

The term interest rate can be defined as the amount that is charged by the lender as a percentage on the principal amount. Interest rate which is charged annually is known as annual percentage rate.