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finance 1a question Suppose Jack invests $7,000 today at 5% p.a compounding quaterly for the first 2 years, then the interest rate changes to 13%p.a
finance 1a question
Suppose Jack invests $7,000 today at 5% p.a compounding quaterly for the first 2 years, then the interest rate changes to 13%p.a compounding monthly for the next 2 years. What is the value of the investment at the end of the 4 years? (round to the nearest dollar; don't use S sign or commas) Answer: You invest $5,000 today and want to accumulate $549 in interest over the next 22 months. What nominal rate of annual interest (compounding monthly) do you need to earn? (expressed as a percentage to two decimal places; don't use the % sign) Answer: I have an opportunity to invest $14,000 today at a compound interest rate of 4.6% p.a compounded monthly. I intend to withdraw the total account balance when it reaches $84,000. How long do I need to hold the investment? Answer in months to two decimal places. Answer: The day you were born, your parents invested $10,000 in an account that promises to earn 7.2% per annum compounding quarterly. You are 18 today. If there have been no withdrawals, the balance of the account is now closest to: Select one: O A $22,960 OB. $34,955 OC. $36,128 OD. $27.879Step by Step Solution
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