Rule of 72, approximately how many years are needed to double a $100 investment when interest rates are 5.25 percent Round your answer to 2 declmal places)

Q: You will deposit 14,061 at 10% compound interest for 6 years, and then move the amount you would…

A: Given Information, Principal amount = 14,061 Compounded Interest rate =10% Time Period for which…

Q: The rule of 72’s states that the number of years for an investment to double is approximately 72…

A: Given: FV=2*PV Number of years = 6,8,9,12,18, and 24 Using the formula: FV=PV×1+rt we can solve for…

Q: The interest rate is 10%.  There is a 2-year loan with two specific payments:  $110 to be paid next…

A: Given: Interest rate =10%Payment made in next year)=$110 Payment made in two years=$500

Q: Find the present value of an annuity due of 600 per annum payable semiannually for 5 years (i.e. 300…

A: Present value of annuity due can be calculated as: = Annuity payment * (1+PVAF (i%, n-1 periods))

Q: Assume that a lender offers a 30-year, $158,000 adjustable rate mortgage (ARM) with the following…

A: Here,Here,Initial Interest Rate7.50%Rate for Year 27%Rate for Year 38.50%Rate for Year 49.50%Rate…

Q: question 14

A:

Q: Future value​ (with changing​ years). Dixie Bank offers a certificate of deposit with an option to…

A: Future Value = Present Value * (1+rate)^n Where, n= no. of investment period

Q: Suppose that your Stafford loans plus accumulated interest total $31,811 at the time that you start…

A: Installment is the amount of periodic payments a borrower has to make in order to repay his loan in…

Q: What's the present value of a $840 annuity payment over four years if interest rates are 8 percent?…

A: Present Value can be calculated using PV function in excel   PV (rate, nper, pmt, [Fv], [type])…

Q: Current Attempt in Progress Sunland Discount Retail Company is considering investing in an annuity…

A: An annuity is a scheme that provides investors with a series of equalized payments in return for the…

Q: ques 14

A: Given information: Future value of investment (FV) = $885.60 Number of years (n) = 16 Present value…

Q: If you are expecting to get OMR 11240 at the end of 9 years; calculate its present value if the…

A: Future Value =OMR 11240 Years =9 Interest Rate =2.24% Monthly Interest Rate(r) =2.24%/12 =…

Q: Rate of interest = 12% 1. If you want to retire twenty years from now with P500,000, how much…

A: The amount of money to be deposited can be calculated with the help of present value of function.

Q: Apply the concept from page 8-7 “Interest rates and compounding periods,” you have the opportunity…

A: Future Value = Present Value x (1 + r)^n Compounding Frequency = monthly

Q: Future value (with changing years). Dixie Bank offers a certificate of deposit with an option to…

A: The amount of money invested over a period of time with the assumption of investment growth at a…

Q: cure value (with changing years). Dixie Bank offers a certificate of deposit with an option to…

A: In this question one has to find the future value of the CD. Future value of an asset is the value…

Q: Related to Checkpoint 5.6) (Solving for i) If you were offered $3,828.00 15 years from now in return…

A: When you invest money in some assets you expect some profit on that and that profit percentage…

Q: Imagine that you have $8,000 to invest for 19 years. How much more interest will you earn if you…

A: When we are investing into particular security, the value of it increases over the period of time.…

Q: 11. An investment requires you to make a $2000 deposit at the end of the year and each subsequent…

A: Annuity refers to series of equalized payments that are either received at end or start of specific…

Q: Borrow $5,000,000 from a bank quoted 3.4% annual interest rate and do quarterly payments of…

A: according to the question given, loan (P)=$5,000,000 apr (r) = 3.4%period /year (m)= 4payment (year)…

Q: You are planning to make annual deposits of $3,600 into a retirement account that pays 8 percent…

A: The company will invest in another company to earn profits from the investments. The company will…

Q: Future value (with changing years). Dixie Bank offers a certificate of deposit with an option to…

A: The amount of money invested over a period of time with the assumption of investment growth at a…

Q: D) At a certain Interest rate the present value of the following two payment patterns are equal. (i)…

A: Interest rate is the rate earned on any investment. It is also referred to as Annual Percentage rate…

Q: Carla Vista Company is considering investing in an annuity contract that will return $34,500…

A: Present Value of Investment = Annual Return x Present Value of Annuity Factor

Q: How many years are needed for P40,000 to yield P13,756.66 if invested at 6% converted semi-annually…

A: Present value (PV)= 40,000 Interest amount = 13,756.66 Rate of interest = 6% Semi-annual interest…

Q: 3.12  Suppose the spot rates of interest for investment horizons of 1 to 5 years are 4%, and for 6…

A: In the given question we require to Compute the future value of the annuity-immediate at the end of…

Q: Assume you can obtain an annual interest rate of 12% compounding monthly.  You are going to invest…

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

Q: Annual payment of $1,175 for 11 years at 16% interest. What is the Present Value? (Do not round…

A: Using present value function in excel

Q: the rule of 72

A: Given information : Initial investment = $100 Interest rate = 7%

Q: Imagine that you have $7,000 to invest for 9 years. How much more interest will you earn if you…

A: Interest is the cost of borrowing or lending the money.

Q: Approximately (using the Rule of 72), how many years will it take to double a $3000 investment when…

A: The Rule fo 72 is a model which helps in knowing the number of years it will take to double the…

Q: A three-year bank CD paying 7.19 percent compounded quarterly. Calculate effective annual interest…

A:

Q: Ques 10 and 11

A: Excel's financial functions will be used here.  For Q10 the RATE function will be used.The syntax…

Q: 15. An investment has an NOI of $40,000. There is market rate mortgage financing available for 75%…

A: Weighted mortgage rate = % of mortgage finance available * cost of raising…

Q: 9 Suppose you invested $500 in a local credit union and: ● f(t) gives the future value of the…

A: Future value refers to the future worth of an investment or future accumulated sum. The…

Q: What would you prefer to receive if the interest rate is 20%? OA. $64 one year from now B. $95 four…

A: Display esteem (PV) may be a budgetary concept utilized to evaluate the current worth of future cash…

Q: 3. You invest $400 into a bank account at the beginning of each year for 20 years. The account pays…

A: An annuity is a financial product or contract designed to provide a regular stream of income for an…

Q: If an IRA is a variable-rate investment for 15 years at rate r percent per year, compounded monthly,…

A: Future Value (FV) refers to the anticipated monetary worth of an investment, asset, or cash flow at…

Q: What is the maximum amount an investor would be prepared to pay for $750,000 to be received in 5…

A: Present value is the value of a future sum of money today, taking into account a certain rate of…

Q: QID 204. 8 years from now you will need $750,000 to renovate a rental property. At an interest rate…

A: Amount required in 8 years = $750,000Interest rate = 9% (Compounding semi-annually)Number of years =…

Q: If the interest rate is 6% and the loan amount is $10,000, how much interest would accumulate in two…

A: Solution:When an amount is borrowed, it can either be repaid in installments or as a lump sum…

Q: The simple interest rate per year that will accumulate the same amount of money in 2 years as a…

A: Given information: Time : 2 years Compound interest : 20%

Q: how many years are needed to double a $100 investment when interest rates are 5.25 percent per year?…

A: Rule of 72: It is a method used to compute how long it will take for an investment to double its…

Mortgages

A mortgage is a formal agreement in which a bank or other financial institution lends cash at interest in return for assuming the title to the debtor's property, on the condition that the obligation is paid in full.

Mortgage

The term "mortgage" is a type of loan that a borrower takes to maintain his house or any form of assets and he agrees to return the amount in a particular period of time to the lender usually in a series of regular equally monthly, quarterly, or half-yearly payments.