Suppose you deposit $240 today, $686 in one year, and $837 in two years in an account that pays an annual rate of interest of 12.02%. 

 How much money will be in the account after three years?

 

2. If you deposit $171 at 12.68% annual interest compounded daily, how much money will be in the account after 7 years?  (Assume that there are 364 days in a year

 

3. What is the value today of receiving a single payment of $80,226 in 3 years if your required rate of return on this investment is 17.33% compounded semi-annually?

Answer rating: 100% (QA)

To solve these problems we can use the compound interest formula A P1 rnnt Where A the future value ... View the full answer