A trader invests 100k for a customer in a certain K. Ratio 5% bank invest 2 years and 4 months. 1.Simple interest to acquired capital 2.Conpound interest calculate interest.
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- Exercises By working from year to year as in the worked example above, calculate the amount accumulated after three years at compound interest in the following cases. 1. £500 deposited at 10% p.a. £1000 borrowed at 15% p.a. £150 deposited at 6% p.a. 4. £1200 borrowed at 8.5% p.a. 5. £25 000 borrowed at 13.75% pa. 2. 3.I. Simple Interest Solve the following Problem 1. A man borrowed P45,000 from a lending institution at 8.5% simple interest. Find the interest and amount if the obligation is to be settled in: a. 1.5 years b. 30 months c. 2 years and 9 months 2. At what rate should P75,000 be invested in order to earn P5,100 interest in: a. 2.5 years b. 3.25 years c. 180 days 3. How long should P100,000 be invested at 8% simple interest in order to earn: a. P12,000 b. P16,000 c. P32,000Simon Company's year-end balance sheets follow. At December 31 Current Yr 1 Yr Ago 2 Yrs Ago Assets $ 25,494 29,800 $ 52,676 69,608 7,901 216,273 Cash $ Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net 73,888 91,962 8,459 236,656 30,737 40,577 42,778 3,348 189,960 Total assets $ 436,459 $ 376, 258 $ 307,400 Liabilities and Equity $ 106,505 64, 223 $ 40,577 Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings $ 83,695 68,615 162,500 35,708 $ 376, 258 $ 307,400 89,136 162,500 162,500 83,759 60,399 Total liabilities and equity $ 436,459 (1-a) Compute the current ratio for each of the three years. (1-b) Did the current ratio improve or worsen over the three year period? (2-a) Compute the acid-test ratio for each of the three years. (2-b) Did the acid-test ratio improve or worsen over the three year period?
- Written Work No.3: SIMPLE INTERESTS etions: Complate the tuhla bolow. Show your solution on a saparate sheet. Maturity Value (P) Principal (P) Rate Time Interest (P) 1 year & 5 months 1. 1,000 3.50% 2. 0.85% 2.25 years 1,250 3. 50,000 0.005% 2,750 4. 36,700 690 5. 10.20% 25.000 950,000 6. 25.000 19.000Problem 3 (a) If Daniella opens a mutual fund account with a deposit of $15,000 and it promises to pay an annual interest rate of r%, compounded on a monthly basis. (i) Derive a function B, which shows the balance on Daniella's account the end of 6 years. (ii) Make a comparison of the rates of change in B with resect to the interest rate when r is 8% , 10% and 12%.Question 1 Q1(a) Create simple examples to illustrate the following concepts. i. Time value of money ii. Effective interest Sinking Fund 111. iv. Amortized loan Q1(b) Assuming you will be able to deposit GHC6000 at the end of each of the next four years in a bank account paying 9% interest. You currently have GHC6000 in the account. How much will you have in four years? Q1(c) After carefully going over your budget, you have determined you can afford to pay GHC854 per month toward a new car. You call up your local bank and find out that the going rate is 1% per month for 48 months. How much can you borrow? Q1(d) Suppose, a business takes out a GHC7000, 7-year loan at 9%. If the loan agreement calls for the borrower to pay the interest on the loan balance each year and to reduce the loan balance each year by GHC 1000. How would the loan repayment be? Illustrate with the aid of a table.
- Q4: Suppose that a capital of £2700 earns £400 of interest in a bank account over 4 years. Given that interest remains the same for 4 years, what is simple interest rate 3.673 7 3.703 7 3.573 7 3.773 NQUESTION 1 On 17 June 2020, RM7,000 was saved in a bank that offered 6.6% simple interest per annum. Find the amount of interest earned on 28 September 2020 by using approximate time and exact simple interest.18.How much amount should an investor deposit in an account earning a continuously compounded interest rate of 8% for a period of 5 years so as to earn $2,238?A. $1500.B. $1523. C. $1541. Use excel.
- Consider the following balance sheet Expected Balance Sheet for XYZ Bank Assets Yield Liabilities Cost Rate sensitive $ 800 7.0% 500 3.0% Fixed rate $ 400 9.0% 300 5.0% Non earning $ 200 200 $ 1,000 Equity 400 Total $ 1,400 $ 1,400 What is the Net Interest Margin (NIM) Select one: O a. 4.5% O b. 6.2% O c. 5.17% O d. 7.12% %24 %24 %24K t 1 ences Using Exhibit 1-B, complete the following table. (Round FVA factors to 3 decimal places and final answers to the nearest whole dollar.) Annual Deposit Rate of Return $ $ $ $ 1,200 1,200 1,200 1,200 4% 7% 6% 9% Number of Years 10 10 30 30 Investment Value at the End of Time Period Total Amount of Investment Total Amount of Earnings3. A man deposited P5,000 in a bank at a rate of 10% per annum for 8months and 25days. Find the ordinary simple interest. Group of answer choices P368.05 P358.05 P348.05 P338.05