Use graphical approximation techniques or an equation solver to approximate the desired interest rate. An employee opens a credit union account and deposits $110 at the end of each month. After one year, the account contains $1324.73. What annual nominal rate compounded monthly has the account earned? The annual nominal rate is %. (Round the final answer to two decimal places as needed. Round all intermediate values to six decimal places as needed.)

Use graphical approximation techniques or an equation solver to approximate the desired interest rate. An employee opens a credit union account and deposits $110 at the end of each month. After one year, the account contains $1324.73. What annual nominal rate compounded monthly has the account earned? The annual nominal rate is %. (Round the final answer to two decimal places as needed. Round all intermediate values to six decimal places as needed.)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Once per year Ritchie Rich deposits an amount of $800 in an account which pays 10% interest per year, compounded annually, with additional deposits of $800 continually made at the end of the year. If B, is the balance in the account, in dollars, immediately after Ritchie makes the nth deposit, then we can write B₁ = $800. (a) Complete the table to find the following. Report to the nearest $0.01. i) the balance, B, of the account on the day immediately after the second deposit. ii) the balance, B₁, of the account on the day immediately after the third deposit. iii) the balance, B₁, of the account on the day immediately after the fourth deposit 71 (Number of deposits) 1 2 OO B= $321158.22 (b) Suppose Ritchie makes 38 deposits. What is the balance of the account on the day immediately after the 38th deposit? 0 B$29923.47 B$29123.47 B= $264031.59 B, ($) $800 $ Number O B$291234.75 (It is more than $880.) $ Number S Number Q (c) Suppose Ritchie makes 438 deposits. Which is true about the…
Suppose Jorge Otero has set up an annuity due with a certain credit union. At the beginning of each month, $130 is electronically debited from his checking account and placed into a savings account earning 6% interest compounded monthly. What is the value (in $) of Jorge's account after 17 months? (Round your answer to the nearest cent.)
Find the amount of interest paid on on a $800 Investment that earns 4.9% simple annual interest for 30 days. In this problem, use the Bankers' Rule, which stipulates that 1 year 360 days. Round to the nearest cent (two decimal places.) S
Suppose Jorge Otero has set up an annuity due with a certain credit union. At the beginning of each month, $140 is electronically debited from his checking account and placed into a savings account earning 6% interest compounded monthly. What is the value (in $) of Jorge's account after 17 months? (Round your answer to the nearest cent.)
Suppose that on January 1 you have a balance of $3800 on a credit card whose APR is 13%, which you want to pay off in 1 year. Assume that you make no additional charges to the card after January 1. a. Calculate your monthly payments. b. When the card is paid off, how much will you have paid since January 1? c. What percentage of your total payment from part (b) is interest? a. The monthly payment is $ ☐. (Do not round until the final answer. Then round to the nearest cent as needed.)
Determine the interest rate earned on a $2,300 deposit when $2,600 is paid back in one year. (Round your answer to 2 decimal places.)
Suppose that on January 1 you have a balance of $5300 on a credit card whose APR is 13%, which you want to pay off in 1 year. Assume that you make no additional charges to the card after January 1. a. Calculate your monthly payments. b. When the card is paid off, how much will you have paid since January 1? c. What percentage of your total payment from part (b) is interest? . a. The monthly payment is (Do not round until the final answer. Then round to the nearest cent as needed.)
Suppose you plan on saving money at the end of each month in an account that earns 6.6 percent compounded monthly. How much do you need to deposit each month to have a balance of $60,235 at the end of 9 years? (Do not round any intermediate calculations. Round your final answer to 2 decimal places and enter it in the box below.)
You have just been hired as a loan officer at a national bank. Your first assignment is to calculate the amount of the periodic payment (in $) required to amortize (pay off) the following loan being considered by the bank (use Table 12-2). (Round your answer to the nearest cent.) Payment Period Nominal Rate (%) Loan Term of Present Value Payment Loan (years) (Amount of Loan) every month 6 $40,000 4 %24
Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10 days for a payment to be received and recorded, and that the month is 30 days long. (Round your answer to the nearest cent.) $850 balance, 18%, $800 payment; average daily balance method
For these problems round to at least five decimal places for your work. You may round your final answer to the nearest cent. If $5000 is invested in a savings account with an annual interest rate of 0.09% compounded monthly, how much will the account be worth in 17 years? Note: the interest rate is given as a percentage! If $600 is invested in an account with an annual interest rate of 14.5%, compounded continuously, how much will the account be worth in 5 years? Suppose you want to have $200 in an account after 5 If the account generates interest at a nominal rate of 9%, compounded quarterly, how much should you invest in the account now? years. What is the annual percentage yield for an account with a nominal interest rate of 12%, compounded monthly?
A landscape architect accrued $7,883.57 in credit card debt. If the architect makes a monthly payment of $400 (and makes no additional charges on the account), how many months will it take to repay the debt if the annual interest rate on the credit card is 19.6%? (Round your answer up to the nearest month.)