What is the Future Value?

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 8EB: You put $600 in the bank for 3 years at 15%. A. If Interest Is added at the end of the year, how...
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You deposit $12,000 at 6% (SA) for 18 months and you roll the entire amount into second investment for 9 months at 2% (Q). What is the Future Value?
X
Round each calculation to the nearest penny (round normally), NO dollar ($) signs, Use commas where and when needed
Selected Answer: 18,064.13
estion 2
You borrow $9,000 for 16 months at 8% (Q). Interest is charged for Part of a Period. What do you owe at the maturity date?
Round each calculation to the nearest penny (round normally), NO dollar ($) signs, Use commas (.) when and where needed
Selected Answer: 1002.54
estion 3
You owe $3,000 in 1 year and $4,200 in 3 years. You will make one cash payment at 2 years to settle BOTH debts. You and your creditor have agreed upon 6% (SA).
Round each answer to the nearest penny (round normally) before calculating the cash payment, NO dollar ($) signs, Use commas (.) when and where needed
Selected Answer:
7142.26
Transcribed Image Text:You deposit $12,000 at 6% (SA) for 18 months and you roll the entire amount into second investment for 9 months at 2% (Q). What is the Future Value? X Round each calculation to the nearest penny (round normally), NO dollar ($) signs, Use commas where and when needed Selected Answer: 18,064.13 estion 2 You borrow $9,000 for 16 months at 8% (Q). Interest is charged for Part of a Period. What do you owe at the maturity date? Round each calculation to the nearest penny (round normally), NO dollar ($) signs, Use commas (.) when and where needed Selected Answer: 1002.54 estion 3 You owe $3,000 in 1 year and $4,200 in 3 years. You will make one cash payment at 2 years to settle BOTH debts. You and your creditor have agreed upon 6% (SA). Round each answer to the nearest penny (round normally) before calculating the cash payment, NO dollar ($) signs, Use commas (.) when and where needed Selected Answer: 7142.26
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ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College