1. If you save $25.00 at the end of each month and interest is 4% compounded...

  

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1. If you save $25.00 at the end of each month and interest is 4% compounded quarterly, how much will you accumulate in thirty years? 2. What sum of money invested today in a retirement fund will permit withdrawals of $600.00 at the end of each month for twenty years if interest is 6% compounded semi- annually? 3. A $265 000 mortgage is repaid over 25 years by making monthly payments of $1672. What is the nominal annual rate of interest compounded semi-annually on the mortgage? 4. What payment is required at the end of each month for fifteen years in order to amortize a $70 000.00 mortgage if interest is 8% compounded semi-annually? 5. Jim Jones bought a house for monthly mortgage payments of $600.00 for twenty years. If interest is 4% compounded semi-annually, what is the cash price of the house? 6. What payment is required at the end of each month for five years to repay a loan of $8000.00 at 8% compounded quarterly? 7. What is the nominal rate of interest compounded monthly at which payments of $200 made at the end of every three months accumulate to $9200 in eight years? 8. A $135 000 mortgage is amortized by making monthly payments of $974.37. If interest is 4.92% compounded semi-annually, for how many years is the term of the mortgage? 1. If you save $25.00 at the end of each month and interest is 4% compounded quarterly, how much will you accumulate in thirty years? 2. What sum of money invested today in a retirement fund will permit withdrawals of $600.00 at the end of each month for twenty years if interest is 6% compounded semi- annually? 3. A $265 000 mortgage is repaid over 25 years by making monthly payments of $1672. What is the nominal annual rate of interest compounded semi-annually on the mortgage? 4. What payment is required at the end of each month for fifteen years in order to amortize a $70 000.00 mortgage if interest is 8% compounded semi-annually? 5. Jim Jones bought a house for monthly mortgage payments of $600.00 for twenty years. If interest is 4% compounded semi-annually, what is the cash price of the house? 6. What payment is required at the end of each month for five years to repay a loan of $8000.00 at 8% compounded quarterly? 7. What is the nominal rate of interest compounded monthly at which payments of $200 made at the end of every three months accumulate to $9200 in eight years? 8. A $135 000 mortgage is amortized by making monthly payments of $974.37. If interest is 4.92% compounded semi-annually, for how many years is the term of the mortgage?

Answer rating: 100% (QA)

1 To calculate the accumulated amount in thirty years by saving 25 at the end of each month with 4 interest compounded quarterly we can use the future value of an ordinary annuity formula Future Value ... View the full answer