AV if ō is given$100 is lent for 5 years amd repaid in a single payment at the end of the 5 years. Calculate the amountof the payment if the the force of interest ō is 7%.(use a decimal number rounded to the 100th, in dollar amount without $ sign. For example 123.45)==An account credits interest at a 3% annual constant force of interest. How many years are required foran investment to triple? (use decimal number rounded to the 100th, such as 11.55)===Fund A earns a 7% force of interest.Jack deposited $250 into Fund A. What is Fund A's value at the end of first year from his initial deposit?(use a decimal number rounded to the 100th, in dollar amount without $ sign. For example 123.45)===Fund A earns a 7% force of interest. Fund B earns a 9% force of interest.Jack deposited $250 into Fund A. After one year, he withdrew everything from Fund A and deposited itinto Fund B.What is Fund B's value at the end of four years from his initial deposit?(use a decimal number rounded to the 100th, in dollar amount without $ sign. For example 123.45)The force of interest in the first year is 6%. The effective rate of interest in the second year is 5%. Thenominal rate of discount compounded semiannually in the third year is 4%. Determine the accumulatedvalue of $100 at the end of three years.(use a decimal number rounded to the 100th, in dollar amount without $ sign. For example 123.45)

We are given Present value=100 Rate=7% number of years=5 We have to calculate future worth of that…

Answered: $100 is lent for 5 years amd repaid in…

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

See similar textbooks

Similar questions

Assume that a one-year CD purchased for $1000 pays an APR of 6% that is compounded semi-annually. How much is in the account at the end of each compounding period? (Calculate the interest and compound it each period rather than using the compound interest formula. Round your answers to the nearest cent.) first period $ second period $ How much total interest does it earn? (Round your answer to the nearest cent.)$ What is the APY? %
A $3,000,000 apartment complex loan is to be paid off in 10 years by making 10 equal annual payments. How much is each payment if the interest rate is 7.5% compounded annually? (a) State the type. A. present valueB.sinking fund C.present value of an annuityD.amortizationE.ordinary annuity (b) Answer the question. (Round your answer to the nearest cent.)
How long will it take $700 to double if it earns the following rates? Compounding occurs once a year. Round your answers to two decimal places. a. 8%. year(s) b. 10%. year(s) C. 16%. year(s) d. 100%. year(s)
Find the total amount that must be repaid on the following note described. $8,573 borrowed at 18.5% simple interest What is the total amount to be repaid 3 years, 125 days later? (Round your answer to the nearest cent.)
Compute the amount that can be borrowed under each of the following circumstances: (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round your "Table value" to 4 decimal places.) 1. A promise to repay $99,000 ten years from now at an interest rate of 7%. 2. An agreement to make three separate annual payments of $20,000, with the first payment occurring 1 year from now. The annual interest rate is 5%. Option 1 Loan amount Option 2 payments Table Value Table Value Amount Amount $ Present Value Present Value 0
What is the present value of receiving $2,500 at the end of each year for 5 years, assuming 7% interest compounded annually? Please ideentify which table you used.
Suppose you borrow $14,000. The interest rate is 11%, and it requires 4 equal end-of-year payments. Set up an amortization schedule that shows the annual payments, interest payments, principal repayments, and beginning and ending loan balances. Round your answers to the nearest cent. If your answer is zero, enter "0". Beginning Repayment Ending Year Balance Payment Interest of Principal Balance 1 $ fill in the blank 60 $ fill in the blank 61 $ fill in the blank 62 $ fill in the blank 63 $ fill in the blank 64 2 $ fill in the blank 65 $ fill in the blank 66 $ fill in the blank 67 $ fill in the blank 68 $ fill in the blank 69 3 $ fill in the blank 70 $ fill in the blank 71 $ fill in the blank 72 $ fill in the blank 73 $ fill in the blank 74 4 $ fill in the blank 75 $ fill in the blank 76 $ fill in the blank 77 $ fill in the blank 78 $ fill in the blank 79
How long will it take $200 to double if it earns the following rates? Compounding occurs once a year. Round your answers to two decimal places. 4%. year(s) 13%. year(s) 17%. year(s) 100%. year(s)
Go.4
A loan of £13,000 is repaid by annual payments of £1,600 each at the end of the year. How long does it take to repay the loan on the basis of an interest rate of 7% p.a.? Number years Enter an answer correct to 2 decimal places Suppose the payment at t = 12 is increased to repay the loan (a balloon payment). What is the value of the payment at t = 12? £ Number Enter an answer correct to 2 decimal places Alternatively, the loan may be repaid via a payment at t = 13 (a drop payment). What is the value of the payment at t = 13? £ Number Enter an answer correct to 2 decimal places
vvk.2
David would like to make a single payment of $2000 at the end of year 7 so that it will be equivalent to payments of $100, $1000, and $900 made at the ends of years 1, 12, and X years, respectively. Assuming an effective rate of interest of 5% per annum and the method of equated time, solve for X. Round your answer to 2 decimal places.

SEE MORE QUESTIONS

Recommended textbooks for you

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS

$100 is lent for 5 years amd repaid in a single payment at the end of the 5 years. Calculate the amount of the payment if the the force of interest ō is 7%. (use a decimal number rounded to the 100th, in dollar amount without $ sign. For example 123.45) ==