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A: Simple interest doesn't take compounding into consideration.
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A: Period Cash flows 0 $-2,000.00 1 $ 6,443.00 2 $-4,500.00 A negative Sign represents a…
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A: Investment = $ 500 Annual interest rate = 3% Period = 5 Years
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A: Simple Interest is the method in which we calculate the interest on a specific principal amount at a…
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A: The nominal interest rate is the rate that we get before any adjustments are made. The real rate is…
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Q: sume you have just found out you are entitle lling to take today in exchange for the future:
A: Answer : Future value = Present value * (1 + rate) ^Time Rate = 18% Time = 19 years
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A: Option C. 4.86%
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A:
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A: In this question we require to compute the rate of return on a perpetuity.
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- Suppose Ted invests $ 6500 in an account that pays 5.8 % interest compounded continously what is the amount after 6 years ?Suppose James will have $25,000.00 for a down payment on a house in 6 years. How much would he have to invest today (present value) if his investment earns a nominal rate of 5 ¼ % compounded monthly? b. How much interest did James’s account earn during the 6 years?TRY: Lili borrowed P68000 with interest at 72% at the end 1⁄2 years. What amount should be paid for interest?
- Morgan invested 2800 for 6 years compounded semi-annually. If the future value of the investment was 4355.27, then what annual interest rate was he earning?Bruno deposited $7,500 into an investment account and seven years later, the balance in the account was $10,910. What is the rate of return on this investment if interest is compounded annually? 5.5% 6.0% 6.5% 45.5%Solve the following problems on compound interest 1. James invested P150,000.00 at 2.5% interest compounded semi - annually. Find the maturit value if he invests for (a) 4 years? (b) 8 years? (c) How much is the additional interest earned due to the longer time?
- Mukesh Ltd has received £65,661 after investing for 6 years at an annual interest rate of6.5%. What was the original amount they invested?4. Suppose Ken invested $1 million in an ordinary annuity that earned 4.25%. a. How much would he receive at the end of each month for the next 20 years, if compounded monthly? b. How much would he receive at the end of each month for the next 20 years, if compounded quarterly? c. How much would he receive at the end of each month for the next 20 years, if compounded continuously?If Alvin invest 5500 to day in a saving account. The money will grow to 8500 at the end of the year 4. Assuming that the interest is paid once per year, the effective annual rate of the invent is a. 12.2 b. 12.9 c. 11.5 d. 13.6 E. 10.8
- If Marco invests $800 each year for 16 years at 9.5% interest, compounded quarterly, what is the discounted value of Marco's investment?A man deposited 500000 in an investment which pays 12% per annum interest compounded quarterly per year.Find the accumulated interest in his account after 4 years?If Anna’s investment of $900, grows to $1100 over 2 years, what simple interest rate does this represent?