Sixty monthly deposits are made into an account paying 12% nominal interest compounded monthly. If the objective of these deposits is to accumulate $180,000 bythe end of the fifth year, what is the amount of each deposit?Choose the correct answer below.A. $3,000B. $2,196O C. $2,227O D. $2,438O E. $2,696 Mary's credit card situation is out of control because she cannot afford to make her monthly payments. She has three credit cards with the following loan balancesand APRS: Card 1, $4,700, 21%; Card 2, $5,500, 25%; and Card 3, $3.100, 19%. Interest compounds monthly on all loan balances. A credit card loan consolidationcompany has captured Mary's attention by stating they can save Mary 24% per month on her credit card payments. This company charges 17.5% APR. Is thecompany's claim correct? Assume a 10-year repayment period.Mary's current minimum monthly payments are $ (Round to the nearest cent.)

Hi! thankyou for the question but as per the guidelines we answer only one question at once. Kindly…

Sixty monthly deposits are made into an account paying 12% nominal interest compounded monthly. If the objective of these deposits is to accumulate $180,000 by the end of the fifth year, what is the amount of each deposit? Choose the correct answer below. O A. $3,000 B. $2,196 C. $2,227 O D. $2,438 O E. $2,696

Sixty monthly deposits are made into an account paying 12% nominal interest compounded monthly. If the objective of these deposits is to accumulate $180,000 by the end of the fifth year, what is the amount of each deposit? Choose the correct answer below. O A. $3,000 B. $2,196 C. $2,227 O D. $2,438 O E. $2,696

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

The nominal interest of a bank is 8% compounded quarterly. Compute the effective rate of interest. O a. 2% O b. 8.24% O c. 8.68% O d. 4%
A series of equal semi-annual payments of $1,000 for 3 years is equivalent to what present amount at an interest rate of 12%, compounded annually? (All answers are rounded to nearest dollars.) O a. $4,804 O b. $4,500 O c. $5,401 d. $4,944
What effective interest rate per quarter is equal to the nominal 7% per month compounded continuously? Select one: O a. 5.13 O b. 22.14 О с. 7.25 O d. 23.37 О е. 16.18
Suppose that you make a series of annual deposits into a bank account that pays 10% interest. The initial deposit at the end of the first year is $1,200. The deposit amounts increase by $300 in each of the next 4 years. How much would you have immediately after the 5th deposit? O s10,642.42 O $9,000.00 O $11,705.56 O $8,925.12
2.5. What equal-payment series is required to repay the following present amounts? a. $10,000 in 4 years at 10% interest compounded annually with 4 annual payments. b. $5,000 in 3 years at 12% interest compounded semiannually with 6 semiannual payments. c. $6,000 in 5 years at 8% interest compounded quarterly with 20 quarterly payments. d. $80,000 in 3o years at 9% interest compounded monthly with 360 monthly payments.
14.) P 500 is deposited at the end of each month at a certain interest rate compounded monthly. The present value is P 10,622 and the future value after n months is P 13,487. Find the value of n. Select one: a. 18 b. 24 c. 12 d. 36
A loan of $245,000 is to be repaid in equal quarterly payments over a period of 6 years. If the interest rate is 12.5% compounded quarterly, what is the amount of unpaid principal at the beginning of the second year? O a. $182,425 O b. $181,650 c. $293,242 d. $215,635 O e. $215,188
Peffers Inc. decided to set aside $10,000.00 at the beginning of each quarter for the next seven years. If this amount can yield a return rate of 12.35% compounded quarterly, what is the present value of this investment (round to the nearest cent)? O a. $768,579.17 O b. $782,139.10 O c. $326,222.99 O d. $331,978.50
If you are expecting to get OMR 32501 at the end of 3 years. Calculate its present value if the interest rate is 9% and is computed quarterly. Select one: O a. 30403.18 O b. All the given choices are not correct Oc. 25097.30 O d. 11557.97 O e. 24885.15
Calculate the maturity value of a 300-day, $6,000 simple interest term deposit earning 5.15%. O a. $7,021.99 O b. $6,309.00 O c. $6,111.78 O d. $6,253.97 e. $5,756.34
Show complete solution (please write eligibly) What is the amount of 10 equal annual deposits starting 1 year from now, that can provide five annual withdrawals, when a first withdrawal of $2902 is made at the end of year 11, and subsequent withdrawals increase of $502 per year over the previous year’s, if the interest rate is 8%, compounded quarterly? Round off interest rate to five decimal places Round your answer to 2 decimal places.
-How much should you put into a 10% savings account in order to have P50,000.00 in five years if compounded annually? -What is the present worth of two 500 payments at the end of the fourth year and fifth year, if the interest rate is 10% compounded annually? -Joseph buys a new house using an interest only loan where he pays only the interest on the value of the home each month. The home is valued at $200,000.00 and Joseph pays 5% interest per year on the home. How much is his monthly interest payment?