Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1. Alwinder has $16000 in his saving account. For how long can he withdraw $1600 be from the account at the end of every quarter

1. Alwinder has $16000 in his saving account. For how long can he withdraw $1600 be from the account at the end of every quarter starting one month from now if interest is 6% compounded semi- annually? 

2. Alen saves $40 at the end of each week and deposits the money in his savings account at the end of each month. His savings account earns interest at the rate of 8.4% compounded monthly. How much will he accumulate in 10 years? 

3. Find the size of periodic payments to be made at the end of each month for 15 years to repay a $200,000 mortgage if interest is 9% p.a. compounded monthly? 

4. Hannah is buying a house in Prince Edward Island. She paid $45000 cash when she bought the house and agreed to pay $1200 at the end of every month for 15 years. Find the cash price of the house if money earns 6% p.a. compounded monthly. 

5. How long will it take to save $35,000 by making deposits of $150 at the end of every month into an account earning interest at 8.6% compounded quarterly? 

6. What is the cash value of a property with a mortgage that requires payments of $1200 per month for 25 years if the down payment of $150000.00 is paid when money earns 6% p.a. compounded quarterly? 

Step by Step Solution

3.47 Rating (157 Votes )

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

Financial Accounting in an Economic Context

Authors: Jamie Pratt

8th Edition

9781118139424, 9781118139431, 470635290, 1118139429, 1118139437, 978-0470635292

More Books

Students also viewed these Finance questions