What equal payments in 3 years and 5 years would replace payments of $47,500 and $72,500 in 6 years and 8 years, respectively? Assume money can earn 4.98% compounded quarterly. $0.00 Round to the nearest cent
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- 4. What equal payments in 3 years and 5 years would replace payments of $42,500 and $92,500 in 7 years and 8 years, respectively? Assume money can earn 4.92% compounded monthly. Round to the nearest centWhat equal payments in 2 years and 5 years would replace payments of $35,000 and $87,500 in 7 years and 9 years, respectively? Assume money can earn 4.68% compounded semi-annually. Round to the nearest centWhat equal payments in 2 years and 4 years would replace payments of $32, 500 and $72, 500 in 7 years and 8 years, respectively? Assume money can earn 3.96% compounded quarterly. Use 8 years as the focal date.
- 9. A 6% compounded monthly has an equivalent rate of 1.2042%, how many times does it pay every year?Group of answer choices 5 2 3 4 11. How long in years will a certain sum of money to doubles its amount when deposited at a rate of 1% compounded bi-monthly?Group of answer choices 69.37 yrs 68.37 yrs 70.37 yrs 71.37 yrsIf money earns 8.10% compounded quarterly, what single payment in three years would be equivalent to a payment of $3,500 due three years ago, but not paid, and $600 today? Round to the nearest centWhat single payment today would replace a payment of $2,850 in 2 years and a payment of $3,900 in 5 years if the interest rate is 4.05% compounded monthly? $5,823.57
- What amount 1.5 years from now is equivalent to $ 7000 due in 8 years, if money can earn 6.2% compounded semi-annually?2. You are comparing two annuities which offer monthly payments of $1,000 for five years and pay 1.0 percent interest per month. Annuity A will pay you on the first of each month while annuity B will pay you on the last day of each month. Which one of the following statements is correct concerning these two annuities?A. Both annuities have the same future value as of ten years from today.B. Both annuities are of equal value today.C. Annuity B has a higher present value than annuity AD. Annuity B is an annuity due.E.Annuity A has a higher future value than annuity B.Two payments of $5,000 are to be received four and eight months from now. a. What is the combined equivalent value of the two payments today if money can earn 6%? b.if the rate of interest money can earn is 4%, what is the payments' combined equivalent value today?
- What amount of money is equivalent to receiving $10,000 three years from today, if interest is compounded quarterly at the rate of 3.5% per quarter?A perpetuity pays $250 per year and interest rates are 7.0 percent. How much would its value change if interest rates increased to 8.5 percent? (Round your answer to 2 decimal places.) Change in value Did the value increase or decrease? decrease O increasea. What is the present value of 15 annual payments of $100, with the first payment one year from now, if the discount rate is 0.05? b. What is the present value of 15 annual payments of $100, with the first payment right now, if the discount rate is 0.05? c. What is the present value of 15 annual payments of $100, with the first payment five years from now, if the discount rate is 0.05? d. At what discount rate would the present value of 15 annual payments of $100, with the first payment right now, be 0? e. How many annual payments of $100, with the first payment right now, would it take to be worth more than $1,000, if the discount rate is 0.05? f. What is the value of 15 annual payments which begin at $100 one year from now and increase at 2% per year thereafter, if the discount rate is 0.05?