Question: Question 3: (20 points) A- A man deposits $ 29,700 into a bank, which pays 4% interest that is compounded semiannually. What will he have

Question 3: (20 points) A- A man deposits $ 29,700 into a bank, which pays 4% interest that is compounded semiannually. What will he have in his account at the end of three years? (7 points) B- The owner of a small factory thinks that he will needs 71,800 for new equipment in 10 years. He decides that he will put aside the money now so that after 10 years the s 71,800 will be available. His bank offers him 8% interest compounded semiannually. What is the present value of the $ 71,800? (6 points) C-A person deposited S 25,000 at a bank at an interest rate of 12% compounded quarterly. Find the effective rate (APY). Write your answer in percentage rounded to the nearest hundredth. (7 points) (7+6+7-20 marks)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Question 1: (20 points) (A) An employee is working 6 days a week from Monday to Saturday, Assume the overtime for the employee is 1.5 times after 40 hours. The following table shows his working hours...

Question 3: (20 points) (A) Mr. Zuhair deposits S 60,000 into a bank, which pays 4% interest that is compounded semiannually. What will he have in his account at the end of five years and compound...

Question 6: (10 points) John made periodic deposits of $300 to Floor Bank, which pays 8% interest compounded semiannually. After 5 years, John makes no more deposits. What will be the balance in the...

Question 5: (15 points) A transportation company bought a new truck. The cash price of the truck is $66,000. The company made $14,000 down payment on it. The bank's loan was for 18 months. Finance...

I want a solution early Question 2 (20 points) A- A businessman borrowed $ 250,000 from a Bank at a simple interest rate of 6.5% on June 12, the loan is due on September 20. (7 points) a) Find the...

F. Given the following X-Corp.'s options between two techniques/methods where necessary in M. Keep in mind other than questions, though not directly asked, to correctly perform the tas etween two CD...

F. Given the following X-Corp.'s options between two CD offerings, perform the following tasks by applying appropriate techniques/methods where necessary in M. Keep in mind that it is absolutely...

Problem 2. Prepare Depreciation(s) Schedule under: 1. Straight Line, 2. Unit of Production & 3. MACRS (3 Depreciation Given the following Information: Cost of the Machine: $94,000.00 Salvage Value:...

Carbon monoxide at 300 K, 1 atm reacts with theoretical amount of air at 300 K and 1 atm in a chamber. An equilibrium mixture of CO2, CO, O2 and N2 exits the chamber at 1 atm. Determine the...

Sales are made 30% for cash and the remainder on credit. Collections for credit sales are made 40% during the month of sale, 35% the next month and 25% two months following the sale. Total sales from...

Outline the medium term exchange rate arrangement implemented in China. Discuss the role of capital control in the arrangement

This is considered the largest port in the us in terms of tonnage

1 What are the main factors in successful international joint ventures in China, and what are the main factors in failed joint ventures?

Autonomous and cross-functional work teams may only be appropriate in a lower power distance, low hierarchy culture, where autonomy of functional units is not protected, and which favours matrix...

2 Are organizational forms and work practices involving lateral and temporal flexibility in the European Union transferable to other regions across the globe?