Gilberto opened a savings account for his daughter anddeposited $1000 on the day she was born. Each year onher birthday, he deposited another $1000. If the accountpays 11% interest, compounded annually, how much is inthe account at the end of the day on her 12th birthday?At the end of the day on her 12th birthday, theamount in the account is $(Simplify your answer. Type an integer or adecimal. Round to the nearest cent if needed.)

Value of account at the end of year 12 is calculated using following equation Future value=…

Answered: Gilberto opened a savings account for…

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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Sandy just received her annual bank statement. Exactly one year ago, she deposited $10,000 in a savings account. Today, her balance is $10,509.45. Sandy's savings account interest is compounded quarterly. Using simple interest as a guideline, Sandy received an annualized interest rate of_percent. a. 5, b. 5.5, c. 6, d. 6.5
Yolanda deposited $1,800 at the end of each six months for 2 years in a savings account. If the account paid 4% interest, compounded semiannually, use Table 12-1 to find the future value of her account. (Round your answer to the nearest cent.) $
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