Question
I need to help from this that I don't know how to answer. I need to know before I can submitted on today at 11:59pm
I need to help from this that I don't know how to answer. I need to know before I can submitted on today at 11:59pm
Question 1 Assume that you purchase a 6-year, 8% savings certificate for $1,000. If interest is compounded annually, what will be the value of the certificate when it matures?
$2,035 $1,900 $1,587 $1,634
Question 2 Your parents' small business purchases undeveloped land for $150,000 and, after a few years, forgets that they own it. You inherit the land after 50 years. What is the land worth if it returned 5.5% annually over the 50 years?
$1,989,888 $2,181,294 $2,233,211 $2,212,234
Question 3 you deposit $1.50 in the bank, the year is 2017. Assuming you were able to time travel to the year 3017, how much would you have if the bank paid you 2.5% annually?
$856.3 million $1.1 trillion $3,345 $79.4 billion
Question 4 you deposit $1.50 in the bank, the year is 2017. Assuming you were able to time travel to the year 3017, how much would you have if the bank paid you 2.5% annually? Assume that you were not able to take advantage of the magic of compounding and the bank simply mailed you a check for the interest amount each year, which was put in a safe deposit box.
$5,500 dollars $39 dollars $79.4 billion $39 million
Question 5 Assume that you purchase a 6-year, 8% savings certificate for $1,000. If interest is compounded semi-annually, what will be the value of the certificate when it matures?
$1,400 $1,625 $1,601 $1,587
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