Assume Jed Gerbil invested $ 12,524 into an account exactly two years ago. The account has an interest rate of 13.1 % p.a. How much does Jed have in his account today (that is, exactly two years after the initial deposit)? (Round your answer to the nearest cent and record your answer without a dollar sign and without commas. For example, record $1,356.8382 as 1356.84)

Q: involving investments, mortgages, loans, and so on are based on either a fixed or a variable in used…

A: Simple interest is simple in nature that means no interest on interest is there but in compounded…

Q: 7. Assume that today you made an initial deposit in the amount of $16,000 into a savings account…

A: Future value of an initial deposit paying simple interest is calculated using following equation…

Q: ames deposited $150 at the beginning of each month for two years into his savings account. For the…

A: Annuity means where regular payment is made at the end of regular period and full amount with…

Q: You have invested money in a savings account that pays a fixed monthly interest on the account…

A: A Compound interest where the interest earned on the principal amount earn interest as per the…

Q: Winston deposited $3,294 in a bank account with annual interest rate 2.6%. How much interest was…

A: Data given:P=$3294Interest rate=2.6% (annual compounding)n=5 yearsRequired: Interest earned in 5…

Q: Chandrika deposits $500 in an account paying an effective quarterly interest rate 2.01875%. Muhammad…

A: Present Value:  The present value (PV) is the present sum of the future payments. The future…

Q: You put $9,000 in an account earning 3%. After 2 years, you make another deposit into the same…

A: Deposit now (P1) = $ 9000 Annual interest rate (r) = 3% Deposit after 2 years (P2) = X Balance after…

Q: You have just deposited $3,000 in an unusual bank account that pays interest biannually (ance every…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: "Ten years ago, when Nigel was still a college student, he deposited 10,000 in a bank. The bank's…

A: Deposit amount (P) = 10,000 Period = 10 Years Quarterly period (n) = 10*4 = 40 Interest rate = 2%…

Q: Seven years ago Ruby began depositing $500 at the beginning of each month into an account. The…

A: Step 1 When operating in BGN mode, the PV and FV are as of the first payment's time and the last…

Q: 3) Isaac invested $77.000 in an account paying an interest rate of 4.6% compounded quarterly.…

A: Q3.The initial investment (PV) is $77,000.The interest rate (r) is 4.6% compounding quarterly.The…

Q: Melisandre deposits $508.76 in a bank account paying i(12) = 1.500%. 8 months later, she withdraws…

A: Investors can benefit from the power of compound interest by making early investments and letting…

Q: Your savings account currently has a balance of$32,300. You opened the savings account two yearsago…

A: A theory that helps to compute the present or future value of the cash flows is term as the TVM…

Q: a) Liam deposits $4,500 into his savings account today earning interest of 3% p.a. compounded…

A: We need to use compound interest formula to solve problem a. A =P(1+i)n Where A =Compound amount…

Q: Suppose 10 years ago your father deposited $ 25,000 in an account earning 4.6%. Every year you…

A: First step is to compute the future values of withdrawals staarting 9 yrs ago till today by applying…

Q: Susie opens a simple interest checking account. After 6 months, her account grew from P5,000 to…

A: Solution:- Interest rate means the rate at which the amount invested grows to give high return of…

Q: Suppose Zoe had deposited another $900 into a savings account at a second bank at the same time. The…

A: To calculate the amount of money Zoe will have in her savings account at the second bank in 13…

Q: On May 1, Cleveland Livingston opened a savings account that paid 3.5% interest at Fulton Savings…

A: Saving account: A savings account is an interest-bearing deposit account with a bank or other…

Q: Assume that Louisa carried an average balance of $1,000 from her credit card purchases over the past…

A: Interest charges are the amount of cost and charges paid for the amount borrowed either for personal…

Q: 1. Assuming that you deposited $100 today in a bank at 6 percent annual interest rate. After four…

A: The objective of the question is to calculate the future value of a single sum of money invested…

Q: Chen opened an RRSP deposit account on December​ 1, 2008, with a deposit of ​$2000. He added ​$2000…

A: The future value can be defined as the value of the current asset at a future date assuming the rate…

Q: The principal represents an amount of money deposited in a savings account subject to compound…

A: Compound = Annually = 1 Principal Amount = p = $6000 Interest rate = r = 5% Time = t = 3 years

Q: If James deposits $2,000.00 in a fixed deposit for 1 year, what will be the difference in the…

A: Simple interest is based only on the principal amount. On the other hand, compound interest is based…

Q: You want to withdraw $ 21,769 from your account at the end of one year and $ 34,587 at the end of…

A: As per the given information: Withdrawals at the end of the one year - $21,769 Withdrawals at the…

Q: Four years ago, you opened an account and made three deposits ($400 four years ago; $X three years…

A:

Q: Julia Roberts deposits 4600 dollars in an account paying an effective rate of interest of 5.2…

A: Simple Interest formula is  Amount = Principal + (Principal*rate*time)

Q: Suppose 27 years ago your father deposited $ 27992 in an account earning 9%. Every year you withdrew…

A: Amount in the account, 27 years ago = P = $ 27,992Period, T = 27 yearsAnnuity withdrawn at the end…

Q: You deposited $150 the first year in an account that earns 12% annual interest. You also deposited…

A: Annuity refers to the fund or account in which periodic payments are accumulated for a definite…

Q: James made an initial deposit into an account of $1,000 at time t = 0, followed by five annual…

A: Present Value(PV) refers to current value of amount that is to be paid or received in future. It is…

Q: A person invested two amounts in a bank for a full year at a common interest rate. So the total…

A: Interest is amount paid by borrower and received by lender in exchange of funds. Interest is charged…

Q: you deposit $5,000 in a bank t years ago. Your current account balance is $8,200, and the bank…

A: Given: Particulars Amount Present value(PV) $5,000 Future value(FV) $8,200 Interest rate…

Q: If you withdraw part of your money from a certificate of deposit before the date of maturity, you…

A: Interest is the return earned on the investment. When an amount is withdrawn early, the bank levies…

Q: John and Susan just opened saving accounts at two different banks. They each deposited $1000. John's…

A: In case of simple interest the interest is computed and paid only on the principal amount. In…

Q: In ten years time a person would like to have accumulated $22,109 so they can make a down payment on…

A: Here,Accumulated Amount (Fv) is $22,109Time Period (n) is 10 yearsAnnual Interest Rate (r) is…

Q: You have just deposited X dollars in your bank account that pays interest of 6 percent p.a. You…

A: Present value is an estimate of the present value of future cash values ​​that may be received at a…

Q: Muhammad opens a bank account paying i(4) = 7.250%. 1 year later, he has $5,139.38 in his account.…

A: Present value is the estimation of the current value of future cash value which is likely to be…

Q: The balance in Cari's savings account is currently $45,000. Initially, Cari opened the account by…

A: Time value of money :— According to this concept, value of money in present day is greater than the…

Effective Interest Rate

The term interest rate can be defined as the amount that is charged by the lender as a percentage on the principal amount. Interest rate which is charged annually is known as annual percentage rate.