Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Request help for these homework questions. Question 2 Brian Bell & Co . is selling micro - oven for K 4 0 0 0 by

Request help for these homework questions.
Question 2
Brian Bell & Co. is selling micro-oven for K4000 by cash. If this item is purchased on an installments basis where the method of repayment is to deposit K500 followed by equal semi-annually repayments of K900 for three years.
(a) Calculate the flat rate of interest charged if this item is bought on an installments basis.
(b) Calculate the total amount paid at the end of 3 years if this item is bought on installments
basis.
Question 3
(a) At the end of each month we plan to invest K200 into an account that bears interest compounded monthly. For the first year the interest rate is 8% p.a. For the next year it is 7% p.a. For the third year it is 6.5% p.a. How much is in the account after 3 years?
(b) At the end of every even month we invest K175 into an account that bears interest of 11% p.a. compounded monthly. At the end of every even month we invest K155. How much will be in the account at the end of 3 years?
image text in transcribed

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

More Books