You are investing $1,000 at 4% for thirty years. Over those thirty years, how much "extra" will you earnin compound, versus simple, interest? (Recall you are earning simple interest at 4% for 30 years, andcompound interest - or interest on the interest - as well. How much "interest on the interest" do youearn over 30 years?)O $1,200O $2,200O $2,243O $1,043O $3,243

Simple Interest total maturity amount = Principle * (1 + rate * Time) Compound interest maturity…

Answered: You are investing $1,000 at 4% for…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 8EB: You put $600 in the bank for 3 years at 15%. A. If Interest Is added at the end of the year, how...

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you wanted to retire 35 years from now with SR 1.5 million. The interest rate is 5%, starting 1 year from now, you must invest in the end of each year: $ 16605 A O $ 16505 .B O $ 16405 .CO $ 16105.D O
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Suppose you borrowed $15,000 at a rate of 11.1% and must repay it in 5 equal installments at the end of each of the next 5 years. How much interest would you have to pay in the first year? a. $1,248.75 b. $1,665.00 C. $1,714.95 d. $1,481.85 e. $1,615.05
4f
If you invest $10,000 at 8.125% interest compounded daily, how long will it take for you to accumulate $15,000? (Give the number of periods and the number of years, rounded to the nearest hundredth.) b) How long will it take for you to accumulate $100,000?
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