You owe the Bank of US $700 in one year, $900 in 3 years, and $1200 in 6 years. How much would it cost to pay the Bank of US today when they charge 7.5% compounded monthly?   Please answer fast i give you upvote.

Q: Can you solve using excel formulas please. If you have 7% APR loan for 25, 000, your monthly…

A: Time, value of money refers to a concept used for evaluating the present value of an asset that will…

Q: 2. If the TVM is the only consideration, what nominal rate will cause all of the banks to provide…

A: The objective of the question is to find the nominal rate that will cause all of the banks to…

Q: Which do you​ prefer: a bank account that pays 5.0% per year​ (EAR) for three years or a. An account…

A: The following future value formula will be used:

Q: 3. Time Value of Money Assume that ten years from now, you will need $10,000 and that your bank…

A: The concept of the time value of money states that money today has more value than the same amount…

Q: You plan to collect up to 6 million. ISK but you have 200,000 ISK. into your bank account. You…

A: The concept of time value of money will be used here. The value of money changes with passage of…

Q: You currently have $5,300. First United Bank will pay you an annual interest rate of 8.8, while…

A: As per the given information: Future value - $13,000 Present value - $5,300 Rate of interest - 8.8…

Q: If you want to have $875 in 36 months, how much money must you put in a savings account today?…

A: Present value:Present value is a financial concept that refers to the current worth of a future cash…

Q: Give only typing answer with explanation and conclusion You expect to have $2,000 in one year. A…

A: Present value describes the money present today is more valuable than the money will receive in…

Q: A bank pays simple interest at the rate of 8% per year for certain deposits. If a customer deposits…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: You have $400 and a bank is offering 3.5% interest on deposits. If you deposit the money in the…

A: The FV of an asset is the value that the asset acquires assuming that it grows at a fixed rate for a…

Q: What is the effective interest rate per year?   What would you owe if you kept the money for 1…

A: First, I'm going to list the formula, and then solve them in excel. We need to determine the…

Q: You have $1000 in an account earning 4% APR compounded daily.  At the same time, you are to pay a…

A: Interest rate compounded daily is 4% Amount in account(PV) is $1000 Amount needs to pay in future…

Q: Your firm has an average receipt size of $65. A bank has approached you concerning a lockbox service…

A: Savings= Average Receipt*Number of Checks Per Day*Time Saved= 65*8700*2= 1131000

Q: Which do you​ prefer: a bank account that pays 9% per year​ (EAR) for three years or a. An account…

A: Future value refers to the value of the current asset at some future date due to inflation,…

Q: You just deposited $15,000 in a bank account that pays a 4.0% nominal interest rate, compounded…

A: The future value can be calculated using the following formula

Q: compounded 12 times a year. If the card holder wants to pay off will the card holder need to pay?…

A: Credit card balances are paid by the monthly payments and these monthly payments carry the payment…

Q: Bank One offers to lend you $50,000 at a nominal rate of 7.1%, compounded monthly. Bank Two also…

A: Two different bank loan offers have to be compared and the difference in effective rate is to be…

Q: You sign a mobile phone contract agreeing to pay £30 at the end of each month for the next two…

A: Present value (PV) is a financial concept used to determine the current worth of future cash flows…

Q: 2. You are running a bank. A customer agrees to pay you with annual interest rate of 10% for 5…

A: We need to use loan amortization formula to calculate amount of loan Loan amount(P)=PMT1-1(1+i)ni…

Q: What is the value today of a money machine that will pay $4,016.00 every six months for 23.00 years?…

A: The present value principle states that money spent presently is worth more than money spent…

Q: Subject : - Finanace  assume you currently have a chase sapphire preferred card with a balance of…

A: Present value is the estimation of the current value of future cash value which is likely to be…

Q: A bank loan of P6,000,000 at 10% pa, is to be paid in 10 equal payments, the first of which to be…

A: Loan = 6,000,000 Interest rate = 10% p.a. Number of annual payments = 10 First loan payment starts…

Q: in order to withdraw $200, 000 two years now, how much do you need to deposit to in a bank account…

A: Future value required=$200000Period=2 yearsInterest rate is 6%Compounding quarterly.

Q: You expect to have $12,000 in one year. A bank is offering loans at 5.5% interest per year. How much…

A: We are given  Future value=12000 Rate=5.5% no. of years=1 We will calculate present value in this…

Q: If you put $850 in a bank today that pays (a) 13% interest per year, how much money could be…

A: The concept of the time value of money states that the current worth of money is more than its value…

Q: Your bank pays 2.6% interest per year. You put $1,400 in the bank today and $500 more in the bank in…

A: The future value can be calculate using the formula,

Q: Suppose you borrow from a bank $1,756.06 today (t=0). You agree to pay back $3,637.64 in 4 years…

A: Borrowing = 1756.06 Paying Back Amount = 3637.64 Time Period (N) = 4 years   Interest Rate = ?

Q: You're trying to save to buy a new $141,720 Mercedes. You have $74,461 today that can be invested at…

A: Time, the value of money refers to the concept used for evaluating the percentage of return from the…

Q: If you earn 5% per year on your bank account, how long will it take an account with $110 to double…

A: The present value is the present worth of the amount that is paid or received in the future.

Q: You want to save P85,000 for future family vacation (three years from now). If the bank pays 8.5%…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: Your firm has an average receipt size of $60. A bank has approached you concerning a lockbox service…

A: Given, Average receipt size = $60 Total collection time decreases = 2 days Checks received per day =…

Q: You currently have $5,000. First United Bank will pay you an annual interest rate of 8.1, while…

A: The concept of time value of money will be used here. Future value or amount is obtained by…

Q: You owe $2,500 in 5 months and $4,750 in 15 months. Your creditor has agreed to let you make one…

A: The calculation of interest amount or the total amount using single interest rate where the interest…

Q: How much money should you put in the bank now to have the bank pay 100 JD each month starting the…

A: The perpetuity refers to the series of payments and receipts that last for an infinite period of…

Q: Your firm has an average receipt size of $60. A bank has approached you concerning a lockbox service…

A: Under the lockbox system, the local bank collects the checks from nearby post office boxes where…

Q: a) Suppose you save $4,000 per year at the beginning of each year for 10 years and earn 8.5%…

A: “Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: You want to save $1,000 a month for the next 10 years to buy a townhome The money will be set aside…

A: Compound = Monthly = 12Payment = p = $1000Number of Payment = n = 10 * 12 = 120Interest Rate = r =…

Q: Your bank pays 2.8% interest per year. You put $1,100 in the bank today and $650 more in the bank in…

A: The amount is two years will be the future value of the deposits made at times 0 and 1.