Question
1- You deposit $100 into an account that pays 7% interest. How much will you have after six years? 2-What will a deposit of $4,500
1- You deposit $100 into an account that pays 7% interest. How much will you have after six years?
2-What will a deposit of $4,500 left in the bank at 7%, be worth after twelve years?
3-If my bank account returns 15% but compounds interest daily how much money must I deposit today so that I may have $2,500 in six years?
4-If my bank account returns 3% but compounds interest daily how much money must I deposit today so that I may have $2,500 in fifteen years?
5-How long will it take $1,000 to become $17,000 if you invest it at 4%?
6-How long will it take $400 to become $1000 if you invest it at 6%
7-If I need $12,000 in 11 years what rate of interest must I demand if I only have $5,500 to invest?
8-If I need $15,000 in 11 years what rate of interest must I demand if I only have $9,500 to invest?
9-You plan to invest an amount of money in ten-year certificate of deposit (CD) at your bank. The stated interest rate is 6%, compounded Quarterly. How much must you invest if you want the balance in the CD account to be $7,500 in ten years?
10-You plan to invest an amount of money in five-year certificate of deposit (CD) at your bank. The stated interest rate is 12%, compounded Quarterly. How much must you invest if you want the balance in the CD account to be $7,500 in five years?
11-If I invest $1,000 into an account which returns 9% annually but is compounded quarterly how much will have in 15 years?
12-You have the opportunity to buy a perpetuity which pays $1,000 annually. Your required rate of return on this investment is 15 percent.
What is the most you would be willing to pay for this investment?
13-You have the opportunity to buy a perpetuity which pays $2,000 annually. Your required rate of return on this investment is 12 percent.
What is the most you would be willing to pay for this investment?
14-You purchase a perpetuity for $20,000 If your required rate of return is 8% annually. what should your annual payments be?
15-You purchase a perpetuity for $16,667. If your required rate of return is 8% annually. what should your annual payments be?
16-What amount must I deposit in the bank to receive $3,000 in five years if my account pays 2.5% compounded Monthly?
17-Today a loaf of bread costs $2.50. If inflation is expected to average 2% each year for the forseeable future, what will loaf of bread cost in 20 years?
18-You deposited $1,000 in a savings account that pays 8 percent interest, compounded quarterly, planning to use it to finish your last year in college.
Eighteen months later, you decide to go to the Rocky Mountains to become a ski instructor rather than continue in school, so you close out your account.
How much money will you receive?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started