What is the accumulated value of $500 invested for 17 years at 4.2% p.a. compounded (a) annually? (b) semi-annually? (c) quarterly? (d) monthly?
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What is the accumulated value of
$500
invested for
17
years at
4.2%
p.a. compounded
(a) annually? (b) semi-annually? (c) quarterly? (d) monthly?
Step by step
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- What is the future value of $100 invested in an account for eight years that earns 10% annual interest, compounded semiannually (rounded to the nearest whole dollar)? a. $214.b. $216.c. $218.d. $220.What is the (a) present value and (b) compound interest earned for 3 years and 9 months of P84,500 that is compounded quarterly at 20% interest?If $100,000 is invested at 5.0% annual interest, compounding monthly, what is the balance after 3 years? a. $133,333 b. $152,120 c. $161,472 d. $159,124
- Using Table 11-1, compute the amount of compound interest (in $) earned in 1 year and the annual percentage yield (APY) for the investment. (Round your answers to two decimal places.) Principal NominalRate (%) InterestCompounded Compound InterestEarned in 1 Year Annual PercentageYield (APY) $3,000 14 semiannually $ %If money is worth 12% compounded quarterly and n = 5, compute the present value of the following: (a) P1.00 received monthly in year n. (b) P1.00 received monthly for n years. answer: a) P 7.02b) P 45.081. It is the amount paid or earned for the use of money. A. Principal 2. What is the equivalent interest period of compounding quarterly? A. 1 month 3. How many periods of conversion does compounding semi-annually will have in 3 years? А. 2 B. Present Value C. Interest D. Future Value B. 3 months C. 4 months D. 6 months В. 4 С.6 D. 8
- if total interest earned on an investment at 2.6% compounded monthly for 3.5 years was $618.55, what was the original investment?What is the present worth of the followingseries of payments?(a) $1,500 at the end of each year for 10 years at7.25% compounded annually.(b) $4,900 at the end of each year for seven years at9.75% compounded annually.(c) $1,000 at the end of each year for 15 years at8.2% compounded annually.(d) $19,500 at the end of each year for eight years at7.5% compounded annuallyWhat is the future (compounded) value of $ 9500 invested for 4 years at r =%8.25 with quarterly compounding?
- Q2: a) What rate, compounded semi-annually, is equivalent to 10% compounded quarterly? m NOM EFF m EFF EQUIV A. 10.13% B. 10.38% C. 10.25% D. 10.85%Payment and frequency (PMT) Time in years (n) Interest rate and compound frequency (I/Y) Present Value (PV) Future Value (FV) $777.00 per end of quarter 7 years 7% compounded quarterly Not Applicable _______________ $333.40 per month (end) 121 payments 8 ¼ % compounded quarterly ______________ Not Applicable $____________ per end of quarter 159 months 5 % compounded semi-annually $91,000 Not Applicable $69.00 per quarter (end) __________years 4.47 % compounded annually Not Applicable $30,000 $4,000 at the beginning of every year 12 years ____________% compounded monthly $29,700 Not Applicable $350 at the beginning of every 6 months 21 ½ years 17.35% compounded monthly Not Applicable _______________ $________ per end of month 35 years 8.25% compounded quarterly Not Applicable $1,000,000 $1,000 end of the month _______months! 3% compounded semi-annually $339,794.10 Not applicableWhat is the difference between the total simple interest earned and the total monthly compound interest earned on an investment of $1546 at 3.87% annual interest for 10 years