Use the formula for continuous compounding to compute the balance in the account after 1, 5, and 20 years. Also, find the APY for the account. A $14,000 deposit in an account with an APR of 4.75%. The balance in the account after 1 year is approximately $14,681.05. (Round to the nearest cent as needed.) The balance in the account after 5 years is approximately $ 17,753.05. (Round to the nearest cent as needed.) The balance in the account after 20 years is approximately $ 36,199.94. (Round to the nearest cent as needed.) The APY for the account is approximately 4.86 % (Round to two decimal places as needed.)

Use the formula for continuous compounding to compute the balance in the account after 1, 5, and 20 years. Also, find the APY for the account. A $14,000 deposit in an account with an APR of 4.75%. The balance in the account after 1 year is approximately $14,681.05. (Round to the nearest cent as needed.) The balance in the account after 5 years is approximately $ 17,753.05. (Round to the nearest cent as needed.) The balance in the account after 20 years is approximately $ 36,199.94. (Round to the nearest cent as needed.) The APY for the account is approximately 4.86 % (Round to two decimal places as needed.)

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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Suppose that at the end of each week for 30 years, $100 is deposited into an account that earns 6.8% annual interest, compounded weekly. (a) Find the total value in the account after the 30 years. (b) What is the total amount of the payments over the 30 years? (c) What is the total amount of interest earned over the 30 years?
Percentages need to be entered in decimal format, for instance 3% would be entered as .03 in the interest rate cells.) At the end of each of the past 14 years, Vanessa deposited $450 in an account that earned 8% compounded annually. How much is in the account today? How much would be in the account if the deposits were made at the beginning of each year (PMT Type) than at the end of each year? (Use Future Value of an Annuity) Suppose your opportunity cost (interest rate/year) is 11% compounded annually. How much must you deposit in an account today if you want to pay yourself $230 at the end of each of the next 15 years? How much must you deposit if you want to pay yourself $230 at the beginning of each of the next 15 years? Bruce invested $1,250 (present value - enter as a negative number) 10 years ago. Today, the investment is worth $3,550 (future value). If interest is compounded annually, what annual rate of return did Bruce earn on his investment? (Use Solving for r…
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Use the formula for continuous compounding to compute the balance in the account after 1,5, and 20 years. Also, find the APY for the account. A $14,000 deposit in an account with an APR of 2.5 % .
Calculate the initial deposit of an account that is worth $14, 472.74 after earning 5.5% interest compounded monthly for 5 years. Round your answer to the nearest dollar.
Suppose that you make 35 annual deposits of $2,869 in an account paying 10% APR with daily compounding. Assuming that the first deposit will occur six years from now and that each of the remaining deposit will occur exactly one year apart, how much money will be in the account 40 years from now? Round your final answer to two decimals.
Please answer the following
Find the final amount of money in an account if $4,900 is deposited at 4.5% interest compounded weekly and the money is left for 9 years
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