1. Lynn deposits $683.09 at the beginning of each quarter for three years in order to accumulate $9,500.60. Lynn would like to know what nominal rate of interest compounded quarterly she must earn to accumulate $9,500.60. Answer the following question:

1. Lynn deposits $683.09 at the beginning of each quarter for three years in order to accumulate $9,500.60. Lynn would like to know what nominal rate of interest compounded quarterly she must earn to accumulate $9,500.60. Answer the following question:

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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Similar questions

Sara deposits $13,900 into an account. For the first two years, money in the account earns 5.5% annual interest. After that. the interest rate jumps to 5.8% annual interest. How much would be in the account at the end of 4 years
It asks how much Monica balance from Account 1 will be over 5.7 years. Round to two decimal places.
Monica invests $1600 into an account the beginning of each quarter for 9 years, starting from today. Interest is to be paid at an interest rate of 1.4% per month, compounded quarterly. Peter, would like to invest two lump sums at the beginning of the 2nd year and 4th year, with the lump sum payment 2 times greater at the 4th year than the 2nd year. Peter's account receives the same interest rate as Monica. Determine the effective interest rate per quarter under this investment. Round your answer to the nearest 0.01% Determine the future value of Monica's investment at the end of the 9 years. Round your answer to the nearest $100 Determine what lump sum Peter must invest at the beginning of the 2nd year that would yield the same yield value as Monica by the end of the 7 years. Round your answer to the nearest $100.
You deposited $150 the first year in an account that earns 12% annual interest. You also deposited $300 and $350 the second and fourth year respectively in that account with the same interest rate. All the deposits happened at the beginning of the years. How much money do get in that account at the end of the fourth year? Check your answer with interest table.
Appa deposits $2500 in an account earning 4.9% interest compounded monthly. How much will Appa have in the account in 1 year? $ Bash deposits $2500 in an account earning 4.9% interest compounded daily. How much will Bash have in the account in 1 year? How much more does Bash make than Appa? (to the nearest cent)
To attend school, Arianna deposits $160 at the end of every month for three and one-half years. What is the accumulated value of the deposits if interest is 9% compounded quarterly? The accumulated value is S (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
Reese contributed $250.00 every month into an RRSP for 5 years. What nominal annual rate of interest will the RRSP earn if the balance in Reese's account just after she made her last contribution was $16,750.00? The nominal annual rate of interest is % compounded monthly. (Round to two decimal places as needed.) C
Mr. Peabody drove to his bank and deposited $500 at the end of every three months for 15.6 years. What is the accumulated value of Mr. Peabody's annuity at 4.95% compounded semi-annually?
Jane has a 90-day bank Certificate of Deposit that pays 8% compounded quarterly. She is starting with $2,000 and adding $100 at the beginning of each quarter, starting now. How much will Jane have in her account in five years? $5,241,20 $5,450.23 $5,671.02 $5,401.63
Interest Earned. Lisa is depositing $3,500 in a six-month CD that pays 3.73% interest. How much interest will she accrue if she holds the CD until maturity? If she holds the CD until maturity, the amount of interest she will accrue is $_______
1 ) Suppose that Smith is currently age 16. Smith’s parents pay $25,000 for the right to provide Smith with payments of $K every two months, beginning two months after his 18th birthday and continuing indefinitely. Assume that the nominal annual interest rate is i (6) = 9% until Smith turns age 21, at which point the rate changes to i (6) = 24% thereafter. Find $K.
Julia deposited $900 at the end of every month into an RRSP for 7 years. The interest rate earned was 4.50% compounded semi-annually for the first 3 years and changed to 4.75% compounded monthly for the next 4 years. What was the accumulated value of the RRSP at the end of 7 years? (Round to the nearest cent).

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