Question
A) You have a seven-year, non-interest-bearing note for $5200 maturing in 3 years and 8 months. You need cash now and decide to sell it
A) You have a seven-year, non-interest-bearing note for $5200 maturing in 3 years and 8 months. You need cash now and decide to sell it at 9% compounded quarterly. How much cash will you receive for the note if you sell it today?
B ) You are coming into some cash so you want to pay off debts you have with one lump sum 3 months from now. The owe $4510 due in 7 months. In addition you owe $3780 due in 13 months and $5125 due in 21 months. You are paying 8.64% compounded monthly on your loan. What single amount three months from now will pay off the entire loan of the three future payments?
C) You have set up an ordinary simple annuity by making quarterly payments of $100. for 10 years at an interest rate of 8%. How much will you have accumulated at the end of the 10 years?
Please answer all of these parts. I would really appreciate it.
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