Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

6) You are contributing money to an investment account so that you can purchase a house in eight years. You plan to contribute seven payments

image text in transcribed
6) You are contributing money to an investment account so that you can purchase a house in eight years. You plan to contribute seven payments of $8,000 a year the first payment will be made one year from now, and the final payment will be made eight years from now. If you earn 11% in your investment account, how much money will you have at the end of eight years? 7) In 1976, the average tuition for one year at UAPB was $500. Years later, in 2010, the average cost was $11,000. What was the annual growth rate of tuition Over the period? 8) You deposit $4500 in a savings account that pays 13% interest, compounded quarterly. How much will your account be worth in 30 years? 9) The Dunbar Co. is financing a studio with a loan of $40,000 to be repaid in 8 annual end-of-year installments of S1 1000. What annual interest rate is the company paying? 10) You have just taken out an 8-year, $14,000 loan to purchase a new car. This loa is to be repaid in 96 equal end-of-month installments. If each of the monthly installments is $200.00, what is the effective annual interest rate on this car loan 6) You are contributing money to an investment account so that you can purchase a house in eight years. You plan to contribute seven payments of $8,000 a year the first payment will be made one year from now, and the final payment will be made eight years from now. If you earn 11% in your investment account, how much money will you have at the end of eight years? 7) In 1976, the average tuition for one year at UAPB was $500. Years later, in 2010, the average cost was $11,000. What was the annual growth rate of tuition Over the period? 8) You deposit $4500 in a savings account that pays 13% interest, compounded quarterly. How much will your account be worth in 30 years? 9) The Dunbar Co. is financing a studio with a loan of $40,000 to be repaid in 8 annual end-of-year installments of S1 1000. What annual interest rate is the company paying? 10) You have just taken out an 8-year, $14,000 loan to purchase a new car. This loa is to be repaid in 96 equal end-of-month installments. If each of the monthly installments is $200.00, what is the effective annual interest rate on this car loan

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Financialized Economy

Authors: Alexander Styhre

1st Edition

0367754568, 978-0367754563

More Books

Students also viewed these Finance questions

Question

The Functions of Language Problems with Language

Answered: 1 week ago

Question

The Nature of Language

Answered: 1 week ago