A friend asks to borrow $51 from you and in return will pay you $54 in one year. If your bank is offering a 6.3% interest rate on deposits and loans: How much would you have in one year if you deposited the $51 instead? How much money could you borrow today if you pay the bank $54 in one year?
Q: You want to buy a $200000 home. You plan to pay $20000 as a down payment, and take out a 20 year…
A: Here, Value of Home is $200,000 Down payment is $20,000 Time Period of Loan is 20 years Interest…
Q: f you deposit OMR 20555 in your account in a bank. Suppose the bank pays 8% compound interest half…
A: Deposit amount (PV) = OMR 20,555 Annual interest rate = 8% Semi annual interest rate (r) = 8%/2 = 4%…
Q: A friend asks to borrow $47 from you and in return will pay you $50 in one year. If your bank is…
A: The present value of money is the discounted value of future cash flows. The future value is the…
Q: A friend asks to borrow 455 form you and in return will pay you $58 in one year. If your bank is…
A: Present value = $55 Interest rate =6% Time =1 year So, Future value = Present value*(1+ interest…
Q: Your brother lends you $1000 and you promise to repay $1,500. If he wants at least a 5% return on…
A: Future value is the future worth of a cash flow at a certain rate and period of time. Future…
Q: You borrow P3500 for one year from a friend at an interest rate of 1.5% per month instead of taking…
A: Answer 1: Calculation of the amount of money to be less by borrowing the money from the bank: Step…
Q: How much will you have after 5 years? How much will you have after 5 years if you make the deposits…
A: Each year Deposit RM 2500 Interest Rate 4%
Q: A friend asks to borrow $50 from you and in return will pay you $53 in one year. If your bank is…
A: Given:
Q: 2. A local bank is offering a promotional deal where if you open a bank account for at least $1000,…
A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: You borrow $ 3500 for one year from a friend at an interest rate of 1.5 % per month instead of…
A: The term loan refers to a type of credit vehicle in which a sum of money is lent to another party in…
Q: If you deposit in a bank $200 today, $250 a year from now, $150 in the second year and $300 in the…
A: Future value is the expected value of current sum in a future date at given interest rate.
Q: bu want to lend $10,000 as a bank deposit in a private bank with an interest rate 4 % compound…
A: In this we need to find out future value and than find out interest on that.
Q: you want to buy a $360,000 home. You pay 108,000 as a down payment and take out a 15 year loan at…
A: Outstanding balance is calculated by present value of annual payments left to be paid, so PV formula…
Q: You can borrow 5,000 pesos from a friend or from a bank. Your bank will charge you 20% each year,…
A: Here, Borrowed Amount is 5,ooo pesos Interest Rate charged by Bank is 20% Interest Rate charged by…
Q: You need a home loan of $95,000 after your down payment. How much will your monthly house payment be…
A: Loan amount (PV) = $95000 Interest rate = 6.25% Monthly interest rate (r) = 6.25%/12 =…
Q: You have $300 and a bank is offering 5.5% interest on deposits. If you deposit the money in the…
A: FV = PV * (1 + r)^nWhere FV = Future ValuePV = Present Value = $300r = rate of interest = 5.5%n =…
Q: Suppose you put $200 into a bank account at the annual interest rate of 7%. *Round your answer to…
A: In this we have to find the future value of given value.
Q: You decide to deposit $5000 in a bank account paying 3.5% interest. What is the value of your…
A: Value of saving in 1 year can be calculated using following formula FV = PV* (1 + r / n)nt Where,…
Q: A trustworthy friend asks to borrow money from you today. She promises to pay you exactly $3750 in 2…
A: In order to find how much to lend her today one needs to calculate the present value of the amount…
Q: If you deposit OMR 16830 in your account in a bank. Suppose the bank pays 8% compound interest half…
A: Amount of Deposit = OMR 16830 Interest Rate = 8% Years =5 Interest Rate half yearly (r)=8%/2 =4%…
Q: how much money should you deposit now into a bank account paying 6% compounded quarterly?
A: The amount currently deposited in order to accumulate a specified future total is represented by the…
Q: You want to be able to withdraw $50,000 each year for 20 years. Your account earns 8% interest. a)…
A: a) Hence, the amount in the account at the beginning is $490,907.37 b) Hence, the total money pull…
Q: A friend asks to borrow $45 from you and in return will pay you $48 in one year. If your bank is…
A: If you deposit amount in a bank, you will reccive interest on such depoisit. Hence your money after…
Q: Your cousin has asked for your advice on whether or not to buy a bond for $995, which will make one…
A: Here, Buying Price of Bond is $995 One Time Payment after 5 years is $1,200 Time Period is 5 years
Q: Your friend has offered to lend you some money. You decide to borrow $1,800 and agree to pay back…
A: The borrowing options can be compared by making a comparison between deferred repayment amount…
Q: You want to take out a mortgage on a house worth $50,000 and pay it back in 10 years. Since your…
A: Here, Mortgage Amount is $50,000 Simple Interest Rate is 2% per month Time Period of loan is 10…
Q: You are in desperate need of cash and turn to your uncle, who has offered to lend you some money.…
A: Loan options are analyzed based on the repayment amount where loan option with lower repayment…
Q: A friend asks to borrow $55 from you and in return will pay you $58 in one year. If your bank is…
A: a) Future value = Present value * (1+rate)^year
Q: You deposit $5,000 in a savings account that earns 6% simple interest per year.How many years will…
A: We can use excel spreadsheet to solve this problem.
Q: Assume that you plan to buy a condo 5 years from now, and you need to save for adown payment. You…
A: Annuities are a fixed series of constant payments. These can be of two types: Ordinary – Payment is…
Q: You want to buy a $280000 home. You plan to pay $56000 as a down payment, and take out a 15 year…
A: Dear student we need to use excel to solve this problem. The formulas that you need to understand to…
Q: (a) A bank account pays 5.5% annual interest, compounded monthly. How long will it take the money to…
A: a) Let the initial amount = P Final amount = Double of the initial amount = 2P r = 5.5% per annum =…
Q: A customer of your bank comes for a car loan 10000 OMR. He is charged with an interest rate of 5%…
A: Formulas:
Q: You decide to borrow $250,000 to build a new home. The bank charges an interest rate of 8%…
A: Monthly payments to be paid on the loan amount are calculated using the interest rate, loan amount…
Q: You plan to borrow P10,000 from your bank, which offers to lend you the money at a 7.5% nominal rate…
A: Borrowed amount is P10,000 Nominal interest rate is 7.5% To Find: Effective interest rate on a…
Q: A friend asks to borrow $55 from you and in return will pay you $58 in one year. If your bank is…
A: In this question rate of interest earned if money is lend to a friend should be find out so that one…
Q: A trustworthy friend asks to borrow money from you today. She promises to pay you exactly $3750 in 2…
A: A concept that implies the future worth of the money is lower than its current value due to several…
Q: you are a lender. suppose you have savings. your friends approached you and asked if you can lend…
A: Maturity Amount = Principal Amount x (1+i)n where, i= Interest Rate n= number of period
Q: A credit card company wants your business. If you accept their offer and use their card, they will…
A: Deposit amount into a savings account= 1% of your monetary transactions Return= 5% per year Annual…
Q: You have a choice to borrow Php5000 from a friend or from a bank. The bank charges 20% per year…
A: Amount to be borrowed is::Php5000... Interest payable is borrowed from friend is::1.6% per month*12…
Q: A friend asks to borrow $55 from you and in return will pay you $58 in one year. Ifyour bank is…
A: Loan is an agreement between two persons as borrower and lender in which borrower promises lender to…
Q: Say you barrowed $10,000 from a bank at 12% interest rate per year for a period of 10 years. How…
A: Borrowed amount is $10,000 Interest rate is 12% Time period is 10 years To Find: Amount after 10…
Q: (a) A bank account pays 5.5% annual interest, compounded monthly. How long will it take the money to…
A: a) monthly rate = 5.5%/12 2 = 1*(1 + 5.5%/12)n where n is the number of months number of months =…
Q: A friend wants to borrow a sum of money from you today and will repay R20 000 in 3 years' time. How…
A: Present Value refers to the value of cash flows today which is to be received at some future time…
Q: Assume you just deposited $1,000 into a bank account. The current real interest rate is 2% and…
A: Given data; Deposit amount = $1000 real interest rate = 2% inflation rate = 6%
Q: You are planning to take a car, its cash price is Rs.800,000. Bank is offering seven year monthly…
A: GIVEN, loan (P) = $800,000 rate (r) = 18% n= 7 m =12 annuity due
Q: You deposited PHP1,500 in a bank with an interest rate of 5% for 1 year. What is the future value of…
A: The future value is the amount that will be received at the end of a certain period. In simple…
- A friend asks to borrow $51 from you and in return will pay you $54 in one year. If your bank is offering a 6.3% interest rate on deposits and loans:
- How much would you have in one year if you deposited the $51 instead?
- How much money could you borrow today if you pay the bank $54 in one year?
Trending now
This is a popular solution!
Step by step
Solved in 5 steps with 4 images
- Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $2,500 over the next 4 years when the interest rate is 15%, how much do you need to deposit in the account? B. If you place $6,200 in a savings account, how much will you have at the end of 7 years with a 12% interest rate? C. You invest $8,000 per year for 10 years at 12% interest, how much will you have at the end of 10 years? D. You win the lottery and can either receive $750,000 as a lump sum or $50,000 per year for 20 years. Assuming you can earn 8% interest, which do you recommend and why?Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $4,200 over the next 6 years when the interest rate is 8%, how much do you need to deposit in the account? B. If you place $8,700 in a savings account, how much will you have at the end of 12 years with an interest rate of 8%? C. You invest $2,000 per year, at the end of the year, for 20 years at 10% interest. How much will you have at the end of 20 years? D. You win the lottery and can either receive $500,000 as a lump sum or $60,000 per year for 20 years. Assuming you can earn 3% interest, which do you recommend and why?You put $250 in the bank for S years at 12%. A. If interest is added at the end of the year, how much will you have in the bank after one year? Calculate the amount you will have in the bank at the end of year two and continue to calculate all the way to the end of the fifth year. B. Use the future value of $1 table in Appendix B and verity that your answer is correct.
- You put $600 in the bank for 3 years at 15%. A. If Interest Is added at the end of the year, how much will you have in the bank after one year? Calculate the amount you will have in the bank at the end of year two and continue to calculate all the way to the end of the third year. B. Use the future value of $1 table In Appendix B and verify that your answer is correct.A friend asks to borrow $53.00 from you and in return will pay you $56.00 in one year. If your bank is offering a 5.7% interest rate on deposits and loans: a. How much would you have in one year if you deposited the $53.00 instead? b. How much money could you borrow today if you pay the bank $56.00 in one year? c. Should you loan the money to your friend or deposit it in the bank? a. How much would you have in one year if you deposited the $53.00 instead? If you deposit the $53.00 in the bank today, you will have $ in one year. (Round to the nearest cent.)A friend asks to borrow $53 from you and in return will pay you $56 in one year. If your bank is offering a 6.5% interest rate on deposits and loans: a. How much would you have in one year if you deposited the $53 instead? b. How much money could you borrow today if you pay the bank $56 in one year? c. Should you loan the money to your friend or deposit it in the bank?
- A friend asks to borrow $54 from you and in return will pay you $57 in one year. If your bank is offering a 5.7% interest rate on deposits and loans: a. How much would you have in one year if you deposited the $54 instead? b. How much money could you borrow today if you pay the bank $57 in one year? c. Should you loan the money to your friend or deposit it in the bank? a. How much would you have in one year if you deposited the $54 instead? If you deposit the money in the bank today you will have $ in one year. (Round to the nearest cent.)A friend asks to borrow $55 from you and in return will pay you $58 in one year. If your bank is offering a 5.5% interest rate on deposits and loans: How much would you have in one year if you deposited the $55 instead? How much money could you borrow today if you pay the bank $58 in one year? Should you loan the money to your friend or deposit it in the bank?A friend asks to borrow $45 from you and in return will pay you $48 in one year. If your bank is offering a 5.7% interest rate on deposits and loans: a. How much would you have in one year if you deposited the $45 instead? b. How much money could you borrow today if you pay the bank $48 in one year? c. Should you loan the money to your friend or deposit it in the bank? a. How much would you have in one year if you deposited the $45 instead? If you deposit the money in the bank today you will have in one year. (Round to the nearest cent.) b. How much money could you borrow today if you pay the bank $48 in one year? You will be able to borrow $ today. (Round to the nearest cent.) c. Should you loan the money to your friend or deposit it in the bank? (Select from the drop-down menu.) From a financial perspective, you should as it will result in more money for you at the end of the year.
- A friend asks to borrow $55 from you and in return will pay you $58 in one year. Ifyour bank is offering a 6% interest rate on deposits and loans: How much would you have in one year if you deposited the $55 instead? How much money could you borrow today if you pay the bank $58 in one year? Should you loan the money to your friend or deposit it in the bank?A friend asks to borrow 455 form you and in return will pay you $58 in one year. If your bank is offering a 6% interest rate on deposits and loans: a) how much would you have in one year if you depostied the $55 instead? b) how much money could you borrow today if you pay the bank $58 in one year?A bank will pay you $100 a year for your lifetime if you deposit $2,500 in the bank today. If you plan to live forever, what interest rate is the bank paying?