ENGINEERING ECONOMIC ENHANCED EBOOK
14th Edition
ISBN: 9780190931940
Author: NEWNAN
Publisher: OXF
expand_more
expand_more
format_list_bulleted
Question
Chapter 3, Problem 24P
(a)
To determine
The maturity value of $2442 placed in certificate of deposit (CD) for 10 years at 3.5% p.a. using formula.
(b)
To determine
The maturity value of $2442 placed in certificate of deposit (CD) for 10 years at 3.5% p.a. using interest tables and interpolation.
(c)
To determine
The maturity value of $2442 placed in certificate of deposit (CD) for 10 years at 3.5% p.a. using spreadsheet.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
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.
Please give me the exact solution of problem below
You have $25,000 in an account that pays 6% interest compounded annually. You want to make equal annual withdrawals so that the money lasts 8 years exactly.
(i) Find the amount of each withdrawal.
(ii) Find the amount of each withdrawal if the money must last 12 years.
How long your money would double its amount if you invested at 5%compounded annually?
Chapter 3 Solutions
ENGINEERING ECONOMIC ENHANCED EBOOK
Ch. 3 - Prob. 1QTCCh. 3 - Prob. 2QTCCh. 3 - Prob. 3QTCCh. 3 - Prob. 4QTCCh. 3 - Prob. 5QTCCh. 3 - Prob. 1PCh. 3 - Prob. 2PCh. 3 - Prob. 3PCh. 3 - Prob. 4PCh. 3 - Prob. 5P
Ch. 3 - Prob. 6PCh. 3 - Prob. 7PCh. 3 - Prob. 8PCh. 3 - Prob. 9PCh. 3 - Prob. 10PCh. 3 - Prob. 11PCh. 3 - Prob. 12PCh. 3 - Prob. 13PCh. 3 - Prob. 14PCh. 3 - Prob. 15PCh. 3 - Prob. 16PCh. 3 - Prob. 17PCh. 3 - Prob. 18PCh. 3 - Prob. 19PCh. 3 - Prob. 20PCh. 3 - Prob. 21PCh. 3 - Prob. 22PCh. 3 - Prob. 23PCh. 3 - Prob. 24PCh. 3 - Prob. 25PCh. 3 - Prob. 26PCh. 3 - Prob. 27PCh. 3 - Prob. 28PCh. 3 - Prob. 29PCh. 3 - Prob. 30PCh. 3 - Prob. 31PCh. 3 - Prob. 32PCh. 3 - Prob. 33PCh. 3 - Prob. 34PCh. 3 - Prob. 35PCh. 3 - Prob. 36PCh. 3 - Prob. 37PCh. 3 - Prob. 38PCh. 3 - Prob. 39PCh. 3 - Prob. 40PCh. 3 - Prob. 41PCh. 3 - Prob. 42PCh. 3 - Prob. 43PCh. 3 - Prob. 44PCh. 3 - Prob. 45PCh. 3 - Prob. 46PCh. 3 - Prob. 47PCh. 3 - Prob. 48PCh. 3 - Prob. 49PCh. 3 - Prob. 50PCh. 3 - Prob. 51PCh. 3 - Prob. 52PCh. 3 - Prob. 53PCh. 3 - Prob. 54PCh. 3 - Prob. 55PCh. 3 - Prob. 56PCh. 3 - Prob. 57PCh. 3 - Prob. 58P
Knowledge Booster
Similar questions
- How is a Compounding Period determined?arrow_forwardRashed wants to make his investment triple its value at the end of twelve (12) years’ time. What rate of interest, compounded yearly does he expects?arrow_forwardAt 10% compounded annually, how long will it take for money to double itself?arrow_forward
- Miho invested $5000 in a bank that pays an annual interest rate of 9% compounded continuously. What is the amount she can get after 15 years from the bank?arrow_forwardA businessman needs to have P200,000 in eight years. How much(P) must he put into his 18% savings account in the bank? A bank is always use compound interest.arrow_forwardSomeone deposits $3,500 in their retirement account every year. If their account pays an average of 6% interest and they make 38 deposits before they retire, how much money can this person withdraw in 20 equal payments beginning one year after their last deposit?arrow_forward
- You purchased a winning ticket for a $5 million lottery which pays $500,000 immediately and the rest in 9 annual installments. A finance company called and offered you $3 million for it. Would you accept the offer if the rate is 10%arrow_forwardHow long it take money to triple if it earns 6% compounded continuouslyarrow_forwardMr. Benedito, a grocery store owner, borrows $50,000.00 from a loan shark, handing him a $77,000.00 promissory note with a maturity of 6 months. What is the annual and monthly simple interest rate charged by the loan shark?arrow_forward
- What type of interest is obtained when the nominal interest rate is divided by the number of compounding periods in a year? a effective interest rate per year b nominal interest rate per compounding period c effective interest rate per compounding period d nominal interest rate per yeararrow_forwardIn how many years will money triple its amount if invested at 8 % compounded semi – annually?arrow_forwardKen wants to remodel his basement and he wants to pay back no more than $15,000.If he gets a low interest loan at 4.5% compounded monthly and plans to repay the loanin one payment in 2 years, how much can he borrow?arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Principles of Economics (12th Edition)EconomicsISBN:9780134078779Author:Karl E. Case, Ray C. Fair, Sharon E. OsterPublisher:PEARSONEngineering Economy (17th Edition)EconomicsISBN:9780134870069Author:William G. Sullivan, Elin M. Wicks, C. Patrick KoellingPublisher:PEARSON
- Principles of Economics (MindTap Course List)EconomicsISBN:9781305585126Author:N. Gregory MankiwPublisher:Cengage LearningManagerial Economics: A Problem Solving ApproachEconomicsISBN:9781337106665Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike ShorPublisher:Cengage LearningManagerial Economics & Business Strategy (Mcgraw-...EconomicsISBN:9781259290619Author:Michael Baye, Jeff PrincePublisher:McGraw-Hill Education
Principles of Economics (12th Edition)
Economics
ISBN:9780134078779
Author:Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:PEARSON
Engineering Economy (17th Edition)
Economics
ISBN:9780134870069
Author:William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:PEARSON
Principles of Economics (MindTap Course List)
Economics
ISBN:9781305585126
Author:N. Gregory Mankiw
Publisher:Cengage Learning
Managerial Economics: A Problem Solving Approach
Economics
ISBN:9781337106665
Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-...
Economics
ISBN:9781259290619
Author:Michael Baye, Jeff Prince
Publisher:McGraw-Hill Education