supergenius04
- 1
- 0
Hello,
I have some questions which I wanted to clarify because I was finding them a bit confusing.
___________________________________________________________
1. Jacob invests \$1,500 at 4.3% compounded monthly, what is the value of the investment after 2 and a half years?
2. Alexander deposits \$70 monthly into an account which pays 2.7% compounded semi-annually. How much remains in the account after 3 years?
3. Michelle borrowed \$300000 to buy a new home at 7.3% compounded quarterly. If the amortization on the mortgage is 25 years, what is her monthly payment?
4. Jerry owes \$5700 to the bank at 2.5% compounded monthly. He can manage payments of \$500 per month. How long will it take to pay off the debt? (Use a TVM solver)
_______________________________________________________
5. To save for college, Charlene invested her summer earnings of \$4200 in an account with 6.2% interest per annum, compounded semi-annually. She plans to leave the money in the account for 4 years.
a) What amount of the money will she have at the end of the 4 years?
b) How much interest will she have earned?
6. Amy wants to have \$6500 to buy furniture when she moves into an apartment in 3 years. How much should she invest today at 6.3% per annum, compounded monthly?
7. Gail's grandmother saved for a trip by depositing \$400 at the end of each month for 18 months. The account earns 4.8% per annum, compounded monthly. How much will be in the account when the last deposit is made?
I have some questions which I wanted to clarify because I was finding them a bit confusing.
___________________________________________________________
1. Jacob invests \$1,500 at 4.3% compounded monthly, what is the value of the investment after 2 and a half years?
2. Alexander deposits \$70 monthly into an account which pays 2.7% compounded semi-annually. How much remains in the account after 3 years?
3. Michelle borrowed \$300000 to buy a new home at 7.3% compounded quarterly. If the amortization on the mortgage is 25 years, what is her monthly payment?
4. Jerry owes \$5700 to the bank at 2.5% compounded monthly. He can manage payments of \$500 per month. How long will it take to pay off the debt? (Use a TVM solver)
_______________________________________________________
5. To save for college, Charlene invested her summer earnings of \$4200 in an account with 6.2% interest per annum, compounded semi-annually. She plans to leave the money in the account for 4 years.
a) What amount of the money will she have at the end of the 4 years?
b) How much interest will she have earned?
6. Amy wants to have \$6500 to buy furniture when she moves into an apartment in 3 years. How much should she invest today at 6.3% per annum, compounded monthly?
7. Gail's grandmother saved for a trip by depositing \$400 at the end of each month for 18 months. The account earns 4.8% per annum, compounded monthly. How much will be in the account when the last deposit is made?