Question
Hi, I'm doing these review questions and I'm very lost! can someone help me finish these and explain them so i can understand them for
Hi, I'm doing these review questions and I'm very lost! can someone help me finish these and explain them so i can understand them for an upcoming exam? thank you so much!!!
1. Suppose that you made three purchases using your credit card during the month of January.
- The first purchase was on January 8thfor $492 .
- The secondpurchase was on January 19thfor $252.
- The third purchase was on January 24th.
Ifyour average daily balance for January was $664, what was thedollar amount ofyour last purchase?
Remember:
- There are 31 days in January.
- You made no purchases between January 1st and January 7th.
- This question is not asking for the card's final January balance.
Round your answer to the nearest dollar.
2. A $13357par value bond whose coupon rate is 3.2% is purchased. If the investment represents a current yield of 4.4%, compute the bond's market price at the time of the purchase.
Round your answer to the nearest dollar.
3. Suppose that today, the current yield for a corporate bond is 4%. If the market pricewill godown by 32% tomorrow, compute the current yield after the decrease.
Round your answer to the nearest tenth of a percent.
4. Compute the 9-year future value of a $11165 loan if the annual interest rate is 4.5% with weekly compounding.
Round your answer to the nearest dollar.
5. Compute the 78-monthfuture value of a $13291 loan if the annual interest rate is 3.3% withmonthlycompounding.
Round your answer to the nearest dollar.
6. Suppose you borrowed a certain amount of money 11 years ago at an annual interest rate of 4.3% with 423 compounding intervals per year. If you returned $10275 today, how much interest did you pay?
Round your answer to the nearest dollar.
7. Suppose you borrowed a certain amount of money 421 weeks ago at an annual interest rate of 4.9% with semiannual compounding (2 times per year). If you returned $11813 today, how much did you borrow?
Round your answer to the nearest dollar.
8. What annual interest rate is required for a debt of $10127 to grow into $13226 in 5 years if interest compounds monthly?
Round your answer to the nearest tenth of a percent.
9. What annual interest rate is required for a debt to grow by 53.8% in 423weeksif interest compounds weekly?
Round your answer to the nearest tenth of a percent.
10. What annual interest rate is required for a debt to grow by 54% in 12 years if interest compounds continuously?
Round your answer to the nearest tenth of a percent.
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