1. To attend school, Sam deposits $1,500 at the end of every six months for four and one-half years. What is the accumulated value of the deposits if interest is 6% compounded quarterly?

2.A 30-year mortgage on a condominium requires payments of $915.60 at the end of each month.If interest is 5.5% compounded semiannually, what was the mortgage principal?

3. What payment made at the end of each year for 18 years will amount to $16,000 at 4.2% compounded monthly?

4. What payment is required at the end of each month for five years to repay a loan of $6,000 at 7% compounded semiannually?

5. For how long must contributions of $2,000 be made at the end of each year to accumulate to $100,000 at 6% compounded quarterly?

6.Victoria saved $416 every six months for eight years. What nominal rate of interest compounded annually is earned if the savings account amounts to $7,720 in eight years?

7. A debt of $2,290 is repaid by making payments of $198. If interest is 16.95% compounded monthly, for how long will quarterly payments have to be made?

8. To save for future development, a company makes a deposit into a fund that earns interest at 4.44% compounded semiannually. If the balance after 8 years needs to be $800,000, how much must be deposited at the end of each year?

Answer rating: 100% (QA)

1 The accumulated value of the deposits can be calculated using the formula A P 1 rnnt where A is the accumulated value P is the principal 1500 r is the annual interest rate 006 n is the number of tim... View the full answer