1. Use the formula A = P(1 + rt) to calculate the maturity value of the simple interest loan. (Round your answer to two decimal places.)

P = $2800, r = 8.8%, t = 7 months

$=

2. Your electric bill is $134. You are charged 8% simple interest for late payments. How much do you owe if you pay the bill 5 months past the due date? (Round your answer to two decimal places.) $=

3.The sum of $9,000 is borrowed for 150 days at an annual simple interest rate of 7%. Calculate the maturity value by the exact method and by the ordinary method. (Round your answers to two decimal places.) exact method $=

ordinary method $=

4.Calculate the compound amount. Use the compound amount formula and a calculator. (Round your answer to two decimal places.)P = $1400, r = 9% compounded semiannually, t = 12 years

$=

5.Calculate the compound amount. Use the compound amount formula and a calculator. (Round your answer to two decimal places.)P = $500, r = 5% compounded quarterly, t = 9 years

$=

6.Calculate the compound amount. Use the compound amount formula and a calculator. (Round your answer to two decimal places.)P = $6700, r = 2% compounded monthly, t = 10 years

$=

7.Calculate the future value. (Round your answer to two decimal places.)P = $26,000, r = 6% compounded monthly, t = 6 years

$=

8.Calculate the present value. (Round your answer to two decimal places.)A = $35,000, r = 10% compounded quarterly, t = 14 years

$=

9.Calculate the present value. (Round your answer to two decimal places.)A = $20,000, r = 7% compounded monthly, t = 6 years

$=

10.How much interest is earned in 9 years on $8500 deposited in an account paying 8% interest, compounded semiannually? (Round your answer to two decimal places.) $=

11.Calculate the effective annual rate for an investment that earns the given rate of return. Round to the nearest hundredth of a percent.6.8% interest compounded quarterly

%