What principal deposited 5 years ago will grow to $33,441.22 in 3 years and 11 month from now if money grows at 2.58% compounded quarterly? DO NOT ROUND INTERMEDIATE RESULTS. Report N accurate to at least 6 decimal places. Report PV and FV as positive values to the nearest cent. P/Y = C/Y = N =

What principal deposited 5 years ago will grow to $33,441.22 in 3 years and 11 month from now if money grows at 2.58% compounded quarterly? DO NOT ROUND INTERMEDIATE RESULTS. Report N accurate to at least 6 decimal places. Report PV and FV as positive values to the nearest cent. P/Y = C/Y = N =

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

See similar textbooks

Related questions

Q: Complete the following using present value. (Use the Table 12.3.) (Do not round intermediate…

A: NPV(Net present value) :- Net present value is the discounted value of the project, discounted by a…

Q: What is true according to the following equation: 4 A (=) = 800(1 + ) .05 %3D 4. Pick up to three…

A: Future Value(FV) is value f current amount at future point of time. It is done by compounding that…

Q: The function f(x) = 600 represents the rate of flow of money in dollars per year. Assume a 10-year…

Q: Suppose that the time step is taken to be three months, T- , and the quarterly returns K(1) K(2),…

A: Answer Option (B) 3.85%

Q: Scheduled payments of $730 due today, $945 due in 3 months, and $935 due in 6 months are to be…

A: The time value of money mentions that the value of money changes with time. The worth of the money…

Q: What principal deposited 5 years ago will grow to $24,836.85 in 4 years and 5 months from now if…

A: Present value describes how the value of money is more valuable than the future value of money.…

Q: Determine m, n, and i for money earning 4.67% compounded quarterly for 5 years and 6 months. ma…

A: The worth of an investment or asset on a certain date in the future is referred to as its "future…

Q: Use the present value table to complete: (Round the "PV factor" to 4 decimal places and final answer…

A: Given, Future amount = $11,000 Number of periods = 6 years*4 Number of periods = 24 Rate = 12%/4…

Q: Amount $70,000 a. Calculate P 1 + A = b. Calculate B= A c. Let R= B Time Rate 2% 30 years n r P ( ₁…

A: The time value of money concept is used to determine the amount of money that will be received in…

Q: Compute the number of years (t) if future value (FV) = $12,029, present value (FV) = $1,826, and…

A: Period required for the future value can be determined by using formula for future value or present…

Q: Compute the interest. Round off your final answer up to 2 decimal places. 1. P27,000 at 6.5% simple…

A: Answer 1. Principal = P27,000 Interest Rate = 6.5% Year = 1 Simple Interest =…

Q: For each of the following, compute the present value: (Do not round intermediate calculations and…

A: Present value refers to the current value of a future sum of money or cash flow, discounted back to…

Q: find the effective rate for an investing earning 3.15% per year. compounded quarterly

A: Using excel Effective rate function

Q: Two accounts each begin with a deposit of $7000. Both accounts have rates of 6.5%, but one account…

A: Principal Investment "P" is $7000 Interest rate is 6.5% To Find: Account Balance after 1,5,10 and…

Q: What is the geometric average return of the following quarterly returns: 7%, 5%, 8%, and 8% ? Enter…

A: The geometric average return is calculated using the following equationGeometric average return =…

Q: Complete the following using the present value formula or financial calculator. Note: Do not round…

A: Amount desired at the end of the period = $7,300Number of years = 5 yearsInterest rate = 4%

Q: P/Y = C/Y = 8 И W W What principal deposited 2 years ago will grow to $44,844.60 in 2 years and 4…

A: Present value describes how the value of money is more valuable than the future value of money.…

Q: The given CFD shows the gradients for end of years 2, 3, 4. Suppose that the interest rate is 15%…

A: To find the annual equivalent cash flow, we will first discount back all 3 cashflows back to present…

Q: An amount of $105,650 was accumulated after 10 years of payments of $2,024.15 at the beginning of…

A: An annuity is a series of payments provided in exchange for a lump sum payment. It is widely used in…

Q: Suppose a savings account has a nominal rate of 3.83% and interest is compounded monthly. What is…

A: Effective annual rate is the rate of interest which will be calculated after considering of the…

Q: Your bank will lend you $4,000 for 45 days at a cost of $50 interest. What is your effective rate of…

A: Variables in the question:Principal=$4000 Interest=$50No. of days loan is outstanding=45No. of days…

Q: i would like the steps on how this is solved i want to know how to solve step by step

A: Step 1: Understand the VariablesFV (Future Value): The amount of money we want in the future.PV…

Q: An amount of $96,640 was accumulated after 14 years of payments of $4,317.10 at the beginning of…

A: The nominal interest rate is the return rate that an investor can expect from the amount invested…

Q: A savings account’s value today is $150 and it earns interest at 1% per month. How much will be in…

A: Future Value = Present Value * (F/P, 1%,12) Where, Future Value =F Present Value = 150

Q: If the arithmetic gradient is 1000$ and interest rate is 10% what the present sum of company after 5…

A: The arithmetic gradient is a special case of cash flow series, in the series cash will either…

Q: 2. For each of the following compounding intervals, show the formula and the t that would be needed…

A: Interest and its types: Interest is the cost of money and is received or paid when money is lent or…

Q: $445.30 per month __________years 7.45 % compounded quarterly Not Applicable $24,788.40…

A: Compound interest is the interest on interest. I n this method the amount of interest is…

Q: What is the maturity value of a $19,426.00 loan borrowed at 3.83% compounded semi- annually for 4…

A: The future value idea is extensively used in finance and investing to forecast how much a savings…

Q: Click here to view the factor table. (For calculation purposes, use 5 decimal places as displayed in…

A: Present value (PV) may be a budgetary concept utilized to determine the current worth of future cash…

Q: Suppose that P dollars in principal is invested in an account earning 3.2% interest compounded…

A: When interest is compounded continuously, it means that the interest is calculated on the amount…

Q: Nikole's investment in a savings account is earning 4.48% compounded quarterly and will be worth…

A: Simply put, present value is the current market value of a future sum of money. It is one of the key…

Q: If $525$⁢525 is invested at 14%14%, how much money will be in the account after 3030 months? Round…

A: An amount is the total payments received after a period of time for which it is borrowed.

Q: What principal deposited 5 years ago will grow to $18,163.28 in 3 years and 8 months from now if…

A: The PV of the investment refers to the value of its future cash flows discounted to the present. It…

Q: In how many months will $1652 grow to $2276 at 5.8% p.a.? Round to one decimal. Answer:

A: The concept of TVM refers to the interest-earning capacity of money that shows that the amount…

Q: What is the fixed charge coverage ratio? Answer in the form of 3.2x (one decimal place) Assume: 1.…

A: The fixed-charge coverage ratio demonstrates how effectively a business can use its earnings to…

Question

What principal deposited 5 years ago will grow to $33,441.22 in 3 years and 11 months
from now if money grows at 2.58% compounded quarterly?
DO NOT ROUND INTERMEDIATE RESULTS.
Report N accurate to at least 6 decimal places.
Report PV and FV as positive values to the nearest cent.
P/Y = C/Y =
N =
I/Y =
PV = $
PMT = $
FV = $
10

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1: Define=compounding

VIEW

Step 2: Calculation of present value

VIEW

Solution

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 3 steps with 2 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.

Similar questions

Dont do by hand on paper.
Compute the number of years (t) if future value (FV) = $10174, present value (FV) = $1498, and interest rate (r) = 14.7%,. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.):
Complete the table for the time t (in years) necessary for P dollars to triple when interest is compounded annually at rate r. (Round your answers to two decimal places.) 2% 3% 4% 5% 6% 54.93 r t Create a scatter plot of the data. r 60 50 40 30 20 10 60 50 40 30 20 10 t 2 2 3 36.62 3 4 4 X 5 5 27.47 6 6 7 7 8 8 21.97 t r X r 60 50 40 30 20 10 60 50 40 t 30 20 0> 10 18.31 X 2 2 3 3 4 4 7% 15.69 X 5 5 6 6 7 7 8 8 t r
An amount of $6,880 is deposited into an account earning 3% interest compounded quarterly. How much will be in the account in 11 years and 6 months? Round the answer to the nearest cent. P/Y = 4 C/Y = 4 IY = %3D PV = 6880 PMT = 0 FV = %3D Submit Question
Suppose you saw a sign at your local bank that said, "3.3% rate compounded quarterly – 3.7% Annual Percentage Yield (APY)." Is there anything wrong with the sign? Explain. Select the correct choice below and, if necessary, fill in the answer box to complete your choice. A. Yes. The APY is incorrect. The correct APY is ------%. (Round to the nearest hundredth as needed.) B. Yes. The number of compounding periods is incorrect. Interest should be compounded daily. C. No. The information on the sign is correct.
In the following balance sheet, Loan A(8%, 3 year)= $150 Deposit A(5%, 2 years)=$250Loan B(11%, 4 years)= $200 Deposit B(7%, 3 year)= $100Total Assets = $350 Total Liabilities = $350The GAP 3 yr=-200 if all interest rates decrease by 3%, net impact on net interest income (ΔNII) is a. +$6 b. +$7 c. +$8 d. +$9
What principal will have a future value of $6051.00 at 5.1% in two months? The principal is $ TRound the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
not use of excel.only use formula to solve. Q)For an income of $4,500 per month for the past five years, what is the present worth of the income at an interest rate of 15% per year, compounded monthly? $270,000 $543,078 $398,585 $298,485
How long will it take $300 to accumulate to $800 at j12 = 7%? Assume that the practical method of accumulation is in effect. (Be sure to use linear interpolation.) Answer: 14 5 X years, 5 months and 29 Note: Carry four decimal places through all calculations. Your answers should be integers. X days
Please solve on paper 4.32 Calculate the of x for the CF shown such that the equivalent AW in (1-9) is equal to (2,000) ? i, = 12% per year compounded quarterly? 1 2 3 5 7 8 year 4 CF 200 300 400 500 600 700 800 900 1000
B
What is the interest rate per annum (in percentage form) applied when the Php5,000 triples in 25 years? *Do not type in the units and the comma separator (the comma that separates the hundreds and thousands) **If answer is not a whole number, then enter it with two (2) decimal places only. No rounding off of numbers. (e.g. 0.12)

SEE MORE QUESTIONS

Recommended textbooks for you

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS