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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?

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