Q: 1. Find the difference between simple and compound interest on a savings deposit o 50,000 at 10% per…
A: Given Deposited amount (P) = 50,000 Time= 3years r= 10%
Q: 3. Aljon loans P417,800 from a bank with interest at 15% compounded annually, he agrees to pay his…
A: Present value (PV) is the ongoing value of a future amount of money or stream of cash flows given a…
Q: A couple decided that for every child that will be born they will place a deposit in the bank so…
A: We have t=18, P=30,000 A= 15249.13
Q: Find the nominal rate compounded monthly which is equivalent 12% compounded quarterly. write your…
A: The Effective Interest Rate is utilized to work out the effective annual interest rate in view of…
Q: Annabelle loaned a certain amount from ABC bank. She agrees to pay P5000 at the beginning of each…
A: Pay = 5000 time Period = 6 years. interest rate = 10% compounding quater
Q: From the following cash flow diagram, find the value of C that wll economic equivalence between the…
A: Present value (PV) is the current value of a future sum of money or stream of cash flows given a…
Q: Alfred loaned a certain amount of money for his company. He promised the bank that he will pay P…
A: Alfred pays 10000 at end of month for 5 months. That means interest is calculated since the first…
Q: Suppose you have received a credit card offer from a bank that charges interest at 2.4% per month…
A: Effective interest rate is the interest rate catering the compounding periods during a specific time…
Q: Alfred loaned a certain amount of money for his company. He promised the bank that he will pay P…
A: Here, given information is: Monthly payment (A): P 10,000 Time period (N): 5 months Interest rate…
Q: 7. Consider a cash flow series of 40 payments. The first 20 payments are $1,000 per year and the…
A: In the question above, it is given that : A cash flow series of 40 payments The first 20 payments…
Q: 2. Jeth paid a 10% down payment of P269,000 for a house and lot, and agreed to pay the balance of…
A: Monthly Amount = r * Total amount ÷ [1 - (1 + r)-n]
Q: 8. A farmer bought a tractor costing 25,000 payable in 10 semi-annual payments, each installment…
A: Compound interest is the compound value that is used to calculate the present value and future value…
Q: An investment of $3523 is made at the beginning of each month for 5 years and 10 months. How much…
A: Total months(n) =years*12+months=5*12+10=70 interest rate per month (r)=1% Amount invested per month…
Q: A businessman needs to have P200,000 in eight years. How much(P) must he put into his 18% savings…
A: Compound interest formula: FV = P (1 + r / m)nm Where FV is the future value P is the principal…
Q: What deposit made at the beginning of each month will accumulate to $120,000 at 5% compounded…
A: In the question above, it is given that : Amount = $120,000 Rate of Interest = 5% = 0.05 Time = 10…
Q: Suppose that over a six-year period, $1000 accumulated to $1922 in an investment certificate in…
A: Formula:- A=P×1+rnn×t where; A= Amount P= Principal r= interest rate (in decimal) t= time n= Number…
Q: Compute the size of the final payment for the following loan. Periodic Principal $ Payment $ 8600…
A: Principle = 8600 , PMT = 580, Payment period = 6 months interest rate = 5%, Compounding period =…
Q: 1. Determine the exact and ordinary simple interest on p100,000.00 borrowed at 12% interest rate…
A: Interest type Simple Interest Principal Amount (Rs.) ₹ 1,00,000 Annual rate 12 % Time period= 3…
Q: r. Lopez is planning for her retired life. He has 10 more years of service. He would like to deposit…
A: From given information First year-end deposit = 5000 Second year-end deposit = 5000+500 3rd…
Q: On the day his son was born, a father deposited to a trust company a sufficient amount of money so…
A: A lender charges a borrower an interest rate that is a percentage of the principal (the amount…
Q: On the first day of the year, a man deposits P5,000 in a bank at 8% a year, compounded annually. He…
A: Deposit = P5,000 Interest = 8%
Q: Kate have been dreaming of a house since she was a teenager. She found it at a selling price of…
A: Equal Period payments can be taken penalty-free over a five-year period or until the account user…
Q: A bond pays $2500 in 10 years an earns an annual interest rate of 2.75%. What is the bond's price?…
A:
Q: You are planning to have some retirement income and want to retire in 15 years. Until then you will…
A: Given:Value of first deposit=PW=$5000rate of deposit increase=g=4%rate of interest (compounded…
Q: Assume that you save 10,000USD on the 1st day of every month. Under the monthly 7% compound…
A: The balance on the first day of the 7th month can be calculated by the following formula. Amount =…
Q: Liam borrowed money from a bank worth P15,000.00 on January 11, 2020. They agreed on a simple…
A: Given: The principal amount is = P15,000 The time period is from = January 11, 2020, to March 10,…
Q: 5. Mr. Jo needs P 4,000,000 immediately to pay for a new home. Having insufficient fund for this, he…
A: Given: Amount required immediately=P 40,00,000 Borrowed amount=P 20,00,000 Repayment of loan=every…
Q: Enrico Suarez has decided to purchase a house instead of renting an apartment. He can a ord a…
A: The mortgage is an agreement between a lender and the party taking loan.
Q: 1. How long must a P40,000 note bearing 4% simple interest run to amount P41,350?
A: Given information: Principal amount (P): P40,000 Interest rate (r): 4% simple interest Future value…
Q: Numeric answer The central bank is selling $100 worth of bonds payable in one year. The price it…
A: PV=FV1+rt where PV= Present Value FV= Future Value r=interest rate t= time period
Q: A businessman wishes to have an amount of P2769.84 after 5 years. He deposited P500 each year into a…
A:
Q: Determine the principal that would have to be invested to provide $200 of simple interest income at…
A: Simple Interest refers to the money that is paid only on principal, or the money which is invested…
Q: What annual nominal rate compounded semiannually has the same annual percentage yield as 13%…
A: Let r be the annual nominal rate of interest compounded annually. Therefore, APY=1+rnn-1 And APY of…
Q: Lara deposited 1000 in her bank account at the beginning of every quarter for 9.5 years. Interest…
A: Compound interest is welfare earned on the principal and interest jointly over a provided duration.…
Q: What is the current value of a P 200.00 annuity be made at the beginning of each year, for 3 years…
A: Since the Annuity is made at the beginning of each year, so the formula for present value is: PV= z…
Q: 2-Given a nominal rate of a 30%, what is the effective annual interest rate if the interest is…
A: The Effective Annual Interest Rate is an important concept that describes the true interest rate…
Q: QUESTION 4 pu will deposit 18,285 at 10% simple interest rate for 6 years, and then move the amount…
A: Compound interest is calculated by multiplying the initial principal amount by one plus the annual…
Q: James deposited $150 at the beginning of each month for two years into his savings account. For the…
A: Future value (FV) can be calculated by using the following formula. Deposit made 24 months. Total…
Q: You borrowed an amount of $15,000 and paid it $20,223 in 3 years. If the interest rate was…
A: A = P(1+r12)nt P is principal amountA is future amout to be paidr is interst rate n is compounding…
Q: 7.Determine the nominal interest rate compounded quarterly if the effective interest rate is 9% per…
A: Compounding quarterly: Compounding interest is the interest on a loan or deposit calculated…
Q: Suppose that $30,000 is borrowed today at 12% interest. The loan is to be repaid by uniform annual…
A:
Q: 8. What is the nominal rate of interest compounded continuously for 10 years if the compound amount…
A: Given: The time period = 10 years The amount of compounded factor is = 1.34986 To Find: The nominal…
Q: If $800 is deposited in a savings account at the beginning of each year for 12 years and the account…
A:
Q: 4. The present value of an annuity of "P" pesos payable annually for 8 years, with the first payment…
A: Given:- Money worth=5% Present value of annuity=P187,481.25 Payable annually=8 years First payment=…
Q: You obtain a loan 1.5 at the rate of 18% compounded annually in order to build a house. The payment…
A: Given: Loan (P)=1.5 Rate (r)=18% compounded annually
Q: Find the total money you have in the bank if you invest a 8710 JD for 5 years at a simple interest…
A: Simple interest is basically known to be as the technique which is gradually used to calculate the…
Q: person is planning for his retired life. He has 10 more years of service. He would like to deposit…
A: Given the time period = 10 years First-year deposit amount = $4000 Annual increase = $500 Interest…
Q: (ou have just taken out a mortgage for $5 75,000, at a fixed rate of 4.75% per rear, compounded…
A: The term mortgage refers to a loan used to purchase or maintain a home, land, or other types of real…
Mr. Ayala borrows P1,000. In 4 years, the money becomes P2,500 compounded bimonthly. Find the nominal interest rate.
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- Suppose you deposited $200 at the end of every year for seven years in an account that earned 6% annual effevtive interest. At the end of seven years, how much would the account be worth?4. How long will it take money to quadruple if it earns 7% compounded semi-annually?9. A man wishes to have P 40,000 in a certain fund at the end of 8 years. How much should he invest in a fund that will pay 6% compounded continuously?
- 14. Compute for the effective annual interest rate if nominal rate is 7% compounded continuously. 15.1. Accumulate P 3,000 for 9 years at 6 percent interest compounded quarterly. How much is the compound interest earned? 2. Determine the nominal rate which if converted quarterly could be used instead of 12 percent compounded monthly. What is the corresponding effective rate?1. A bank charges 1.5% per month on a loan. Find the equivalent nominal rate of interest. 2. A financing company charges 1.5% per month on a loan. Find the equiv alent effective rate of interest. 3. A nominal rate of 12% compounded monthly is equal to an effective rate of interest. 4. Convert 16% compounded semi-annually to equivalent nominal rate which is compounded daily.
- 6. Find leff if continuously a 10% nominal interest is compoundedLino borrows $600,000 with interest at 14% compounded quarterly. He agrees to settle this obligation by a sequence of equal quarterly installments with the first one due at the end of 4 ½ years and the last at the end of 9 years. Find the installment payment. PBlank 1 Blank 1 Add your answerTess wanted to have P100,000 on her bank account at the end of 8 years. She plans to deposit an amount at the beginning of each month at an interest rate of 3.5% compounded quarterly. a. What is her monthly deposits? b. What is the present worth of these deposits?
- An investment of $2658 is made at the beginning of each month for 4 years and 11 months. How much will the investment be at the end of the term, if interest is 5% compounded monthly? Round your answer to 2 decimal places.c. You want $1,000,000 in the bank when you retire in 35 years. How much should you deposit each year? Assume an interest rate of 10%. What is the annual payment if you defer retire to 40 years?An independently owned movingcompany wants to have enough money to purchase anew tractor-trailer in four years. If the unit will cost$250,000, how much should the company set aside nowif the account earnsa. 10% simple interest?b. 10% compounded semi-annually?
