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A: Answer in step 2.
Q: A bank is negotiating a loan. The loan can either be paid off as a lump sum of $100,000 at the end…
A: The correct answer is given in the second step.
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Q: How long will it take money to double itself if invested at 10% compounded annually?
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A: Given values PV = $235136r = 4.2% / 12 = 0.35% per monthn = 30 years * 12 months/year = 360 months
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Q: Write the formula developed for calculating compound interest?
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Q: Mary Smith took out a loan of $75,000. The loan runs for five years at a minimum interest rate of…
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Q: You borrow $800 from a family member and agree to pay it back in nir months. Because you are part of…
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Q: At 10% compounded annually, how long will it take for money to double itself?
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Q: How long it take money to triple if it earns 6% compounded continuously
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A: Given: Selling price of TV = $2000Down payment = $1000Installment for the time period = 6 months
Q: A couple deposits $24,000 into an account earning 3% annual interest for 30 years. Calculate the…
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A:
Q: James deposited $150 at the beginning of each month for two years into his savings account. For the…
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A: Given that, Nominal rate of account (r )= 6.5% or 0.065
Q: How long will an account invested at 11.5% compounded yearly be tripled?
A:
Q: how long does it take for an investment to double at 1.4% compounded continuously
A: Continuous compounding is the numerical furthest reaches that accruing funds can reach if it's…
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Solved in 3 steps
- If you borrowed $24,000 at 12% annual interest. You agreed to repay the loan with five equal annual payments. How much of the total amount repaid is interest? How much of the third annual payment is interest, and how much principal is there? If you decided to pay off your loan after the third payment, how much will you pay?At 10% compounded annually, how long will it take for money to double itself?Today you deposited $10,000 in a savings account paying 7% annual interest. How much should you have at the end of five years?
- Maria takes out a 30-year mortgage for $235,136 at an annual interest rate of 4.2%. How much does she still owe when there is 1 year left on the loan? Round your answer to the nearest dollar.Joe just completed his engineering degree and started to work for an engineering firm. Joe wants to retire early after 30 years working. He plans to invest $5,000 at the end of every year for a 30-year career. If Joe needs $3,954,750 in savings at retirement, what interest rate must the investment earn?A bank is negotiating a loan. The loan can either be paid off as a lump sum of $100,000 at the end of four years, or as equal annual payments at the end of each of the next four years. If the interest rate on the loan is 10%, what annual payments should be made so that both forms of payment are equivalent?
- A couple deposits $24,000 into an account earning 3% annual interest for 30 years. Calculate the future value of the investment if the interest is compounded quarterly. Round your answer to the nearest cent. FormulasYou borrow $500 from a family member and agree to pay it back in six months. Because you are part of the family, you are only being charged simple interest at the rate of 0.5% per month. How much will you owe after six months? How much is the interest?You want to buy a $32,000 car. You can finance the car for 1.5% interest for 6 years. What is your monthly payment? Assume monthly compounding. Do not enter the negative sign from your calculator (if there is one) or the dollar sign. Round to two decimal places.
- Jocelyn wants to buy a 72 inch flat screen TV to enjoy her birthday video highlights. It sells for $2,000 cash . She will make a down payment of $1,000 and then six monthly payments of $200. What is the full installment price?Bobby was desperate. He borrowed $600 from a pawn shop and understood he was to repay the loan starting next month with $100, increasing by $10 per month for a total of 8 months. Actually, he misunderstood. The repayments increased by 10% each month after starting next month at $100. Use a spreadsheet to calculate the monthly interest rate that he thought he was to pay, and what he actually will pay.You borrow $800 from a family member and agree to pay it back in nine months. Because you are part of the family, you are only being charged simple interest at the rate of 0.6% per month. How much will you owe after nine months? How much is the interest?