Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

i need help on a and b a. You plan to make five deposits of $1,000 each, one every 6 months, with the first payment

image text in transcribed
i need help on a and b
a. You plan to make five deposits of $1,000 each, one every 6 months, with the first payment being made in 6 months. You will then make no more deposits. If the bank pays 6% nominal interest, compounded semiannually, how much will be in your account after 3 years? Do not round intermediate calculations. Round your answer to the nearest cent. $ b. One year from today you must make a payment of \$7,000. To prepare for this payment, you plan to make two equal quarterly deposits (at the end of Quarters 1 and 2) in a bank that pays 6% nominal interest compounded quarterly. How large must each of the two payments be? Do not round intermediate calculations. Round your answer to the nearest cent

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 Ten Commandments To A Financial Healing

Authors: Ms. Kemberley J Washington

1st Edition

1499607261, 978-1499607260

More Books

Students also viewed these Finance questions

Question

Let Which of the following is equal to lim 6 2 -2 -6

Answered: 1 week ago