**Compound Interest Calculation***Using Table 11-1, compute the amount of compound interest (in $) earned in 1 year and the annual percentage yield (APY) for the investment. (Round your answers to two decimal places.)*| Principal | Nominal Rate (%) | Interest Compounded | Compound Interest Earned in 1 Year | Annual Percentage Yield (APY) ||-----------|------------------|---------------------|------------------------------------|-------------------------------|| $33,000 | 12 | monthly | $ | % |*Need Help?*[Read It] (Button to access help resources)

Given, Principal amount $33,000. Nominal rate=12%.

Using Table 11-1, compute the amount of compound interest (in $) earned in 1 year and the annual percentage yield (APY) for the investment. (Round your answers to two decimal places.) Nominal Interest Compound Interest Earned in 1 Year Annual Percentage Yield (APY) Principal Rate (%) Compounded $33,000 12 monthly %

Using Table 11-1, compute the amount of compound interest (in $) earned in 1 year and the annual percentage yield (APY) for the investment. (Round your answers to two decimal places.) Nominal Interest Compound Interest Earned in 1 Year Annual Percentage Yield (APY) Principal Rate (%) Compounded $33,000 12 monthly %

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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Using Table 11-1, compute the amount of compound interest (in $) earned in 1 year and the annual percentage yield (APY) for the investment. (Round your answers to two decimal places.) Principal NominalRate (%) InterestCompounded Compound InterestEarned in 1 Year Annual PercentageYield (APY) $3,000 14 semiannually $ %
Which of the following would represent a correct calculation of interest earned on a six month, $100 investment? O $100 principal x 10% rate x 6/12 = $5 interest O $100 principal x (10% rate / 2) x 6/12 = $2.50 interest O $100 principal x 10% rate x 6 = $60 interest O $100 principal x 10% rate x 2 times per year = $20 interest
Determine the effective rate for $1 invested for 1 year at 7.8% compounded quarterly. The effective rate is %. (Round to three decimal places.)
A three-year bank CD paying 6.82 percent compounded monthly. Calculate effective annual interest rate (EAR)? (Round answer to 2 decimal places, e.g. 15.25%.) Effective annual rate % A three-year bank CD paying 7.32 percent compounded annually. Calculate effective annual interest rate (EAR)? (Round answer to 2 decimal places, e.g. 15.25%.)
(1).
Suppose $1,200 is deposited into an account which has an annual percentage rate of 9.81% per year. Assume it remains in the account for 18 years and no additional money is added to the account other than interest. (a) Complete the boxes below to write an expression for the amount (in dollars) at year x = 18, of assuming interest is compounded annually. Do not round any values. You can enter arithmetic expressions (containing +, -, *, /, or ^) in any of these boxes. Number 1200 •( Number What is the value in year x = 18 of an investment of $1,200 dollars which pays 9.81% compounded annually? $ Number (Round to the nearest 0.01 dollars) (b) Complete the boxes below to write an expression for the amount (in dollars) at year x = 18, assuming interest is compounded weekly (52 times per year). Do not round any values. You can enter arithmetic expressions (containing +, –, *, /, or ^) in any of these boxes. Number 1200 ( Number What is the value in year x = 18 of an investment of $1,200…
A bank applies a semi-annually capitalized nominal rate of 11.8% for an investment. Calculate monthly effective rate.
Determine the interest earned after 8 years if $3000 is invested in each of the following accounts. A) an account earning 5.29% interest compounded daily B) an account earning 5.14% simple interest
Complete the following using compound future value. (Use the Table provided.) Time Principal Rate Compounded Amount Interest 6 months $15,000 6 % Semiannually
Find the total number of compounding periods and the interest rate per period for the investment. Term ofInvestment Nominal(Annual) Rate (%) InterestCompounded CompoundingPeriods Rate perPeriod (%) 4 years 4.5 semiannually
If $100,000 is invested at 5.0% annual interest, compounding monthly, what is the balance after 3 years? a. $133,333 b. $152,120 c. $161,472 d. $159,124
Complete the table below giving the principal PP that must be invested at interest rate 5 % compounded weekly to obtain a balance of AA = $ 150000 in tt years

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