Suppose the charge account of Strong's Mailing Service at the local supply store had a 1.8% interest

Fantastic news! We've Found the answer you've been seeking!

Question:

Suppose the charge account of Strong's Mailing Service at the local supply store had a 1.8% interest rate per month on the average daily balance. Find the average daily balance if Strong's had an unpaid balance on March 1 of $126.40, a payment of $10 posted on March 10, and a purchase of $21.70 posted on March 20. The billing cycle ends on March 31.

What is the average daily balance?

Margaret Hillman invested $3,000 at 1.6% compounded quarterly for one year. Find the future value and the interest earned for the year. (Round to the nearest cent as needed.)

A loan of $4000 at 5% is compounded semiannually for 2 years. Find the future value and compound interest. Use the $1.00 future value table or the future value and compound interest formula.

Periods	0.50%	1.00%	1.50%	2.00%	2.50%	3.00%	3.50%	4.00%	4.50%	5.00%	5.50%
1	1.00500	1.01000	1.01500	1.02000	1.02500	1.03000	1.03500	1.04000	1.04500	1.05000	1.05500
2	1.01003	1.02010	1.03023	1.04040	1.05063	1.06090	1.07123	1.08160	1.09203	1.10250	1.11303
3	1.01508	1.03030	1.04568	1.06121	1.07689	1.09273	1.10872	1.12486	1.14117	1.15763	1.17424
4	1.02015	1.04060	1.06136	1.08243	1.10381	1.12551	1.14752	1.16986	1.19252	1.21551	1.23882
5	1.02525	1.05101	1.07728	1.10408	1.13141	1.15927	1.18769	1.21665	1.24618	1.27628	1.30696
6	1.03038	1.06152	1.09344	1.12616	1.15969	1.19405	1.22926	1.26532	1.30226	1.34010	1.37884
7	1.03553	1.07214	1.10984	1.14869	1.18869	1.22987	1.27228	1.31593	1.36086	1.40710	1.45468
8	1.04071	1.08286	1.12649	1.17166	1.21840	1.26677	1.31681	1.36857	1.42210	1.47746	1.53469
9	1.04591	1.09369	1.14339	1.19509	1.24886	1.30477	1.36290	1.42331	1.48610	1.55133	1.61909
10	1.05114	1.10462	1.16054	1.21899	1.28008	1.34392	1.41060	1.48024	1.55297	1.62889	1.70814
11	1.05640	1.11567	1.17795	1.24337	1.31209	1.38423	1.45997	1.53945	1.62285	1.71034	1.80209
12	1.06168	1.12683	1.19562	1.26824	1.34489	1.42576	1.51107	1.60103	1.69588	1.79586	1.90121
13	1.06699	1.13809	1.21355	1.29361	1.37851	1.46853	1.56396	1.66507	1.77220	1.88565	2.00577
14	1.07232	1.14947	1.23176	1.31948	1.41297	1.51259	1.61869	1.73168	1.85194	1.97993	2.11609
15	1.07768	1.16097	1.25023	1.34587	1.44830	1.55797	1.67535	1.80094	1.93528	2.07893	2.23248
16	1.08307	1.17258	1.26899	1.37279	1.48451	1.60471	1.73399	1.87298	2.02237	2.18287	2.35526
17	1.08849	1.18430	1.28802	1.40024	1.52162	1.65285	1.79468	1.94790	2.11338	2.29202	2.48480
18	1.09393	1.19615	1.30734	1.42825	1.55966	1.70243	1.85749	2.02582	2.20848	2.40662	2.62147
19	1.09940	1.20811	1.32695	1.45681	1.59865	1.75351	1.92250	2.10685	2.30786	2.52695	2.76565
20	1.10490	1.22019	1.34686	1.48595	1.63862	1.80611	1.98979	2.19112	2.41171	2.65330	2.91776
21	1.11042	1.23239	1.36706	1.51567	1.67958	1.86029	2.05943	2.27877	2.52024	2.78596	3.07823
22	1.11597	1.24472	1.38756	1.54598	1.72157	1.91610	2.13151	2.36992	2.63365	2.92526	3.24754
23	1.12155	1.25716	1.40838	1.57690	1.76461	1.97359	2.20611	2.46472	2.75217	3.07152	3.42615
24	1.12716	1.26973	1.42950	1.60844	1.80873	2.03279	2.28333	2.56330	2.87601	3.22510	3.61459
25	1.13280	1.28243	1.45095	1.64061	1.85394	2.09378	2.36324	2.66584	3.00543	3.38635	3.81339
26	1.13846	1.29526	1.47271	1.67342	1.90029	2.15659	2.44596	2.77247	3.14068	3.55567	4.02313
27	1.14415	1.30821	1.49480	1.70689	1.94780	2.22129	2.53157	2.88337	3.28201	3.73346	4.24440
28	1.14987	1.32129	1.51722	1.74102	1.99650	2.28793	2.62017	2.99870	3.42970	3.92013	4.47784
29	1.15562	1.33450	1.53998	1.77584	2.04641	2.35657	2.71188	3.11865	3.58404	4.11614	4.72412
30	1.16140	1.34785	1.56308	1.81136	2.09757	2.42726	2.80679	3.24340	3.74532	4.32194	4.98395
Periods	0.50%	1.00%	1.50%	2.00%	2.50%	3.00%	3.50%	4.00%	4.50%	5.00%	5.50%
Rate per period

Rate per period
Periods	6.00%	6.50%	7.00%	7.50%	8.00%	8.50%	9.00%	9.50%	10.00%	11.00%	12.00%
1	1.06000	1.06500	1.07000	1.07500	1.08000	1.08500	1.09000	1.09500	1.10000	1.11000	1.12000
2	1.12360	1.13423	1.14490	1.15563	1.16640	1.17723	1.18810	1.19903	1.21000	1.23210	1.25440
3	1.19102	1.20795	1.22504	1.24230	1.25971	1.27729	1.29503	1.31293	1.33100	1.36763	1.40493
4	1.26248	1.28647	1.31080	1.33547	1.36049	1.38586	1.41158	1.43766	1.46410	1.51807	1.57352
5	1.33823	1.37009	1.40255	1.43563	1.46933	1.50366	1.53862	1.57424	1.61051	1.68506	1.76234
6	1.41852	1.45914	1.50073	1.54330	1.58687	1.63147	1.67710	1.72379	1.77156	1.87041	1.97382
7	1.50363	1.55399	1.60578	1.65905	1.71382	1.77014	1.82804	1.88755	1.94872	2.07616	2.21068
8	1.59385	1.65500	1.71819	1.78348	1.85093	1.92060	1.99253	2.06687	2.14359	2.30454	2.47596
9	1.68948	1.76257	1.83846	1.91724	1.99900	2.08386	2.17189	2.26322	2.35795	2.55804	2.77308
10	1.79085	1.87714	1.96715	2.06103	2.15892	2.26098	2.36736	2.47823	2.59374	2.83942	3.10585
11	1.89830	1.99915	2.10485	2.21561	2.33164	2.45317	2.58043	2.71366	2.85312	3.15176	3.47855
12	2.01220	2.12910	2.25219	2.38178	2.51817	2.66169	2.81266	2.97146	3.13843	3.49845	3.89598
13	2.13293	2.26749	2.40985	2.56041	2.71962	2.88793	3.06580	3.25375	3.45227	3.88328	4.36349
14	2.26090	2.41487	2.57853	2.75244	2.93719	3.13340	3.34173	3.56285	3.79750	4.31044	4.88711
15	2.39656	2.57184	2.75903	2.95888	3.17217	3.39974	3.64248	3.90132	4.17725	4.78459	5.47357
16	2.54035	2.73901	2.95216	3.18079	3.42594	3.68872	3.97031	4.27195	4.59497	5.31089	6.13039
17	2.69277	2.91705	3.15882	3.41935	3.70002	4.00226	4.32763	4.67778	5.05447	5.89509	6.86604
18	2.85434	3.10665	3.37993	3.67580	3.99602	4.34245	4.71712	5.12217	5.55992	6.54355	7.68997
19	3.02560	3.30859	3.61653	3.95149	4.31570	4.71156	5.14166	5.60878	6.11591	7.26334	8.61276
20	3.20714	3.52365	3.86968	4.24785	4.66096	5.11205	5.60441	6.14161	6.72750	8.06231	9.64629
21	3.39956	3.75268	4.14056	4.56644	5.03383	5.54657	6.10881	6.72507	7.40025	8.94917	10.80385
22	3.60354	3.99661	4.43040	4.90892	5.43654	6.01803	6.65860	7.36395	8.14027	9.93357	12.10031
23	3.81975	4.25639	4.74053	5.27709	5.87146	6.52956	7.25787	8.06352	8.95430	11.02627	13.55235
24	4.04893	4.53305	5.07237	5.67287	6.34118	7.08457	7.91108	8.82956	9.84973	12.23916	15.17863
25	4.29187	4.82770	5.42743	6.09834	6.84848	7.68676	8.62308	9.66836	10.83471	13.58546	17.00006
26	4.54938	5.14150	5.80735	6.55572	7.39635	8.34014	9.39916	10.58686	11.91818	15.07986	19.04007
27	4.82235	5.47570	6.21387	7.04739	7.98806	9.04905	10.24508	11.59261	13.10999	16.73865	21.32488
28	5.11169	5.83162	6.64884	7.57595	8.62711	9.81822	11.16714	12.69391	14.42099	18.57990	23.88387
29	5.41839	6.21067	7.11426	8.14414	9.31727	10.65277	12.17218	13.89983	15.86309	20.62369	26.74993
30	5.74349	6.61437	7.61226	8.75496	10.06266	11.55825	13.26768	15.22031	17.44940	22.89230	29.95992
Periods	6.00%	6.50%	7.00%	7.50%	8.00%	8.50%	9.00%	9.50%	10.00%	11.00%	12.00%
Rate per period

Find the amount that should be set aside today to yield the desired future amount. (Round to the nearest cent as needed.)

Future amount needed	Interest rate	Compounding period	Investment time
$6,000	12%	Quarterly	4 years

Rate per period
Periods	0.5%	1%	1.5%	2%	2.5%	3%
1	0.99502	0.99010	0.98522	0.98039	0.97561	0.97087
2	0.99007	0.98030	0.97066	0.96117	0.95181	0.94260
3	0.98515	0.97059	0.95632	0.94232	0.92860	0.91514
4	0.98025	0.96098	0.94218	0.92385	0.90595	0.88849
5	0.97537	0.95147	0.92826	0.90573	0.88385	0.86261
6	0.97052	0.94205	0.91454	0.88797	0.86230	0.83748
7	0.96569	0.93272	0.90103	0.87056	0.84127	0.81309
8	0.96089	0.92348	0.88771	0.85349	0.82075	0.78941
9	0.95610	0.91434	0.87459	0.83676	0.80073	0.76642
10	0.95135	0.90529	0.86167	0.82035	0.78120	0.74409
11	0.94661	0.89632	0.84893	0.80426	0.76214	0.72242
12	0.94191	0.88745	0.83639	0.78849	0.74356	0.70138
13	0.93722	0.87866	0.82403	0.77303	0.72542	0.68095
14	0.93256	0.86996	0.81185	0.75788	0.70773	0.66112
15	0.92792	0.86135	0.79985	0.74301	0.69047	0.64186
16	0.92330	0.85282	0.78803	0.72845	0.67362	0.62317
17	0.91871	0.84438	0.77639	0.71416	0.65720	0.60502
18	0.91414	0.83602	0.76491	0.70016	0.64117	0.58739
19	0.90959	0.82774	0.75361	0.68643	0.62553	0.57029
20	0.90506	0.81954	0.74247	0.67297	0.61027	0.55368


4%	5%	6%	8%	10%	12%
0.96154	0.95238	0.94340	0.92593	0.90909	0.89286
0.92456	0.90703	0.89000	0.85734	0.82645	0.79719
0.88900	0.86384	0.83962	0.79383	0.75131	0.71178
0.85480	0.82270	0.79209	0.73503	0.68301	0.63552
0.82193	0.78353	0.74726	0.68058	0.62092	0.56743
0.79031	0.74622	0.70496	0.63017	0.56447	0.50663
0.75992	0.71068	0.66506	0.58349	0.51316	0.45235
0.73069	0.67684	0.62741	0.54027	0.46651	0.40388
0.70259	0.64461	0.59190	0.50025	0.42410	0.36061
0.67556	0.61391	0.55839	0.46319	0.38554	0.32197
0.64958	0.58468	0.52679	0.42888	0.35049	0.28748
0.62460	0.55684	0.49697	0.39711	0.31863	0.25668
0.60057	0.53032	0.46884	0.36770	0.28966	0.22917
0.57748	0.50507	0.44230	0.34046	0.26333	0.20462
0.55526	0.48102	0.41727	0.31524	0.23939	0.18270
0.53391	0.45811	0.39365	0.29189	0.21763	0.16312
0.51337	0.43630	0.37136	0.27027	0.19784	0.14564
0.49363	0.41552	0.35034	0.25025	0.17986	0.13004
0.47464	0.39573	0.33051	0.23171	0.16351	0.11611
0.45639	0.37689	0.31180	0.21455	0.14864	0.10367

Ronnie Cox has just inherited $27,000. How much of this money should he set aside today to have $17,000 to pay cash for a Ventura Van, which he plans to purchase in one year? He can invest at 1.5% annually, compounded annually. (Round to the nearest cent as needed.)

Find the future value and total interest of the annuity. Please use the table below to help solve. (Round to the nearest cent as needed).

Annuity type

Periodic payment

Annual interest rate

Payment paid

Years

Ordinary annuity

$2,200

Quarterly

Rate per period
Periods	0.25%	0.50%	0.75%	1.00%	1.50%	2.00%	2.50%	3.00%	3.50%	4.00%
1	1.000	1.000	1.000	1.000	1.000	1.000	1.000	1.000	1.000	1.000
2	2.002	2.005	2.008	2.010	2.015	2.020	2.025	2.030	2.035	2.040
3	3.008	3.015	3.023	3.030	3.045	3.060	3.076	3.091	3.106	3.122
4	4.015	4.030	4.045	4.060	4.091	4.122	4.153	4.184	4.215	4.246
5	5.025	5.050	5.076	5.101	5.152	5.204	5.256	5.309	5.362	5.416
6	6.038	6.076	6.114	6.152	6.230	6.308	6.388	6.468	6.55	6.633
7	7.053	7.106	7.159	7.214	7.323	7.434	7.547	7.662	7.779	7.898
8	8.070	8.141	8.213	8.286	8.433	8.583	8.736	8.892	9.052	9.214
9	9.091	9.182	9.275	9.369	9.559	9.755	9.955	10.159	10.368	10.583
10	10.113	10.228	10.344	10.462	10.703	10.950	11.203	11.464	11.731	12.006
11	11.139	11.279	11.422	11.567	11.863	12.169	12.483	12.808	13.142	13.486
12	12.166	12.336	12.508	12.683	13.041	13.412	13.796	14.192	14.602	15.026
13	13.197	13.397	13.601	13.809	14.237	14.680	15.140	15.618	16.113	16.627
14	14.230	14.464	14.703	14.947	15.450	15.974	16.519	17.086	17.677	18.292
15	15.265	15.537	15.814	16.097	16.682	17.293	17.932	18.599	19.296	20.024
16	16.304	16.614	16.932	17.258	17.932	18.639	19.380	20.157	20.971	21.825
17	17.344	17.697	18.059	18.430	19.201	20.012	20.865	21.762	22.705	23.698
18	18.388	18.786	19.195	19.615	20.489	21.412	22.386	23.414	24.500	25.645
19	19.434	19.880	20.339	20.811	21.797	22.841	23.946	25.117	26.357	27.671
20	20.482	20.979	21.491	22.019	23.124	24.297	25.545	26.870	28.280	29.778
21	21.533	22.084	22.652	23.239	24.471	25.783	27.183	28.676	30.269	31.969
22	22.587	23.194	23.822	24.472	25.838	27.299	28.863	30.537	32.329	34.248
23	23.644	24.310	25.001	25.716	27.225	28.845	30.584	32.453	34.460	36.618
24	24.703	25.432	26.188	26.973	28.634	30.422	32.349	34.426	36.667	39.083
25	25.765	26.559	27.385	28.243	30.063	32.03	34.158	36.459	38.950	41.646
26	26.829	27.692	28.590	29.526	31.514	33.671	36.012	38.553	41.313	44.312
27	27.896	28.830	29.805	30.821	32.987	35.344	37.912	40.710	43.759	47.084
28	28.966	29.975	31.028	32.129	34.481	37.051	39.860	42.931	46.291	49.968
29	30.038	31.124	32.261	33.450	35.999	38.792	41.856	45.219	48.911	52.966
30	31.113	32.280	33.503	34.785	37.539	40.568	43.903	47.575	51.623	56.085
35	36.529	38.145	39.854	41.66	45.592	49.994	54.928	60.462	66.674	73.652
40	42.013	44.159	46.446	48.886	54.268	60.402	67.403	75.401	84.550	95.026
45	47.566	50.324	53.290	56.481	63.614	71.893	81.516	92.720	105.782	121.029