Effective date of a decreasing annuity: 1/1/01. Date of first payment: 4/1/01. Frequency of payments: Quarterly. Number of payments: 40 Quarterly decrease in payment: $300. Interest rate: 8% per year, compounded quarterly. Present value of remaining payments as of 1/1/06 (after 1/1/06 payment is made): $50,000. In what range is the first quarterly payment: A)11,700 B)5700 C)11,800 D)5800 E)11,900

Effective date of a decreasing annuity: 1/1/01. Date of first payment: 4/1/01. Frequency of payments: Quarterly. Number of payments: 40 Quarterly decrease in payment: $300. Interest rate: 8% per year, compounded quarterly. Present value of remaining payments as of 1/1/06 (after 1/1/06 payment is made): $50,000. In what range is the first quarterly payment: A)11,700 B)5700 C)11,800 D)5800 E)11,900

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

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You Find the present value of the following annuity: An amount of $15,806 is paid quarterly for 3 years at a compound quarter interest of 6.8%. (a) $170,260.47 (6) $170,270.74 (c) $170,200.47 (d) $170,275.47
Find the term of the following ordinary general annuity. State your answer in years and months (from 0 to 11 months). Present Value $16,000 Interest Rate Compounding Period 6.4% quarterly Periodic Payment $1800 et || Payment Interval 1 year The term of the annuity is year(s) and month(s). W X 3 Time Remaining 3°C Partly cloudy ㅅㄹ
find the correct norminal annual rate of interest NOTE -Please don't give image format
(3-4.) The following terms of payment for an annuity are as follows: Periodic payment = 20,000 Payment interval = 1 month Interest rate = 18% compounded monthly Terms = 15 years 3. Find the present worth of all the payments if it is paid at the end of each month. a. 1,367,117.11 b. 1,532,147.20 c. 1,241,911.25 d. 1,478,687.71
11. For each annuity, calculate the future value and the interest earned. Rate of Compound Regular Interest Compounding Payment per Year Period Time a) $2500 per year 7.6% annually 12 years b) $500 every 6 months 7.2% semi-annually 9.5 years c) $2500 per quarter 4.3% quarterly 3 years
Find the future value of the ordinary annuity. PMT= $2500, i = 7.4% interest compounded quarterly for 15 years A. $270,775.36 B. $405,910.50 C. $64,792.52 D. $398,537.55
A perpetuity-due with annual payments consists often level payments of X followed by a series of increasing payments. Beginning with the eleventh payment, each payment is 1.5% larger than the preceding payment. Using an annual effective interest rate of 5%, the present value of the perpetuity is 45,000. Calculate X. B C 1,679 E 1,696 1,737 D 1,763 1,781
Construct one table that includes relative frequencies based on the frequency distributions shown below, then compare the amounts of tar in nonfiltered and filtered cigarettes. Do the cigarette filters appear to be effective? (Hint: The filters reduce the amount of tar ingested by the smoker.) Click the icon to view the frequency distributions. Complete the following relative frequency table. (Round to the nearest percent as needed.) Relative Frequency Relative Frequency Tar (mg) (Nonfiltered) (Filtered) Frequency Distributions 7-10 10% 10% 11-14 10% 10% 15-18 30% 20% Tar (mg) in Nonfiltered 19-22 0% 20% Cigarettes Frequency Tar (mg) in Filtered Cigarettes Frequency 23-26 20% 20% 15-18 2 7-10 1 27-30 20% 20% 19-22 0 11-14 1 23-26 14 15-18 5 31-34 10% 0% 27-30 8 19-22 18 31-34 1 Print Done ☑
Coice 52,26,39 ,78
Determine the nominal annual rate of interest of the following ordinary general annuity. Periodic Term Conversion Period Payment $81 semi-annually Present Value $1700 Payment Interval 3 months SCCCS The nominal annual rate of interest is (Round to two decimal places as needed.) 7 years % compounded semi-annually.
For the following ordinary annuity, determine the size of the periodic payment. Present Future Value Value Payment Period $4,400.00 1 quarter Term of Annuity Interest Rate 16 years, 3 months Conversion Period 8.3% quarterly The periodic payment is $ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
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