1.Find the present value of $20800 in 4 months at 12% simple interest. a)$200 b)$200,000 c)$2000 d)$20000

Q: Use the amortization table below to find the monthly mortgage payment for a $196,000 loan at 6.25%…

A: Mortgage installments includes the principal and interest payment. It is usually a a fixed payment…

Q: QUESTION 2   a)                    Assume that you borrow $30,000 to purchase a new automobile and…

A: Given; Amount borrowed= $30000 Interest rate; r= 4% Time period; n= 4 years

Q: A sum of money invested at 12% interest, compounded quarterly, will triple in amount in…

A: Present value is the value of investment in today's dollar. Future value is the value of investment…

Q: Choose the equation below that can be used to determine the value of "P" for a known interest rate,…

A: Present value refers to the value right now of some amount of money in the future. For instance, if…

Q: 2. A savings bank offered you 6% nominal interest compounded every 2 months You deposited $4,000. a)…

A: here we calculate the future value and the effective interest rate of the following , so by using…

Q: Show the steps of your calculation O For example, question: a person deposits $500 to bank now, if…

A: The objective of this question is to calculate the future value of a deposit made today, given the…

Q: 1 You deposit $17,000 in a retirement account on your 25th birthday, and you plan to retire on your…

A: Here we calculate the following by using the given information , and conclude the answer so the…

Q: 1. Find the interest paid on a loan of $2000 for 1 year at a simple interest rate of 7% per year.

A: Simple interest is a straightforward method of calculating how much you owe on a loan. The concept…

Q: Compute the interest rate if future value (FV) = $11461, present value (FV) = $3959,  and number of…

A: Compound interest is the interest computed on the principal and the interest accumulated over the…

Q: If you deposit $2,042 today in a savings account that pays 8% interest annually, how much would you…

A: Given: Principal (P) = $2042 Interest rate (R) = 8% annually Time (T) = 5 years

Q: A friend of yours bought a new sports car with a ​$5,000 down payment plus a ​$26,000 car loan that…

A: EMI = [P x R x (1+r)n ]÷[(1+r)n-1] P = principal = $26000 R = interest rate per month = 0.25% n =…

Q: If a bank says that it has a 5% nominal interest rate, but money is compounded monthly in that bank,…

A: An effective annual interest rate is basically the actual return on a savings account or on any…

Q: Suppose a certain manufacturer deposits $3, 000 at the beginning of each 3 month period for 8 years…

A: Given:Deposit at the beginning of each 3 months: $3,000Interest rate: 8% compounded…

Q: Calculate the future value for the following 3 problems Present Value Interest Rate Time (Years)…

A: Future Value takes into account the time value of money. It calculates the value of an asset at a…

Q: 1. An investment company advertises accounts that actually yields 13% interest per year when…

A: Given the information: Actual interest rate = 13% Use the below formula: Nominal interest rate = m ×…

Q: Given an effective interest per annum of 20%, compare the compound amount at the end of 10 years of…

A: An effective interest per annum of 20%, which is =(1+ i/n)^n −1 where: i=Nominal interest rate…

Q: The present value of $20,000 each year for 4 years at a 5% interest rate is approximately The…

A: Present value is the value of investment in today's dollar.  Future value is the value of investment…

Q: Note the cash flow series in the graph. The amounts of 5,000 at years 2 and 4 and X are inflows to…

A: Cash inflow at year 2=$5000Cash inflow at year 4=$5000Cash inflow at year 6=XX=$6000Year=6 yearsr=2%

Q: Question 94 (a) Find the amount of money a company could afford to spend now instead of spending…

A: Compounding refers to the process of earning interest on the the principal amount as well as the…

Q: Which of the following compounding rates is equivalent to an effective interest rate of 2.75% per…

A: The effective annual rate (EAR) is the real percent interest that a borrower or investor pays on a…

Q: Solve the problem. The average cost of a 4-year college education is projected to be $120,000 in 17…

A: Future Value (FV) = $120,000Annual Interest Rate (r) = 9% or 0.09Compounding Frequency (n) = 4 times…

Q: A department store has offered you a credit card that charges interest at 1.53% per month,…

A: Nominal interest rate and the effective annual rate are calculated as follows:-

Q: A company showed equivalent annual cash flows of $400,000 for the first 7 years. If the cash flow in…

A: Equivalent annual cash flow (A) = $400,000Cash flow im year 1 (A1) =$320,000Uniform gradient (G) =…

Q: (i)  If $10,000 is needed in 12 years, how much should be deposited at the end of each year into an…

A: Given future value = 10000 $ Time = 12 years Interest rate = 5 % compounded annually

Q: CALCULATOR) Marianne wants to accumulate $140 000.00 in an RRSP by making annual contributions of…

A: Time required to pay back a borrowing is obtained using the formula: Future worth=P[(1+r)n-1](1+r)r,…

Q: You purchased a car using some cash and borrowing $19,000 (the present value) for 53 months at 12%…

A: Present value of the car=$19000Time=53 monthInterest rate=12% pa

Q: Given the cash flow below: Revenue,S 2,500 2,500 2,500 2,500 year 1 3 4 Calculate the present value…

A: Cash flow is the movement of money in and out of a company. Cash received signifies inflows, and…