Unless instructed otherwise, enter dollar answers to two decimal places without the $ sign -> 1009.32 and
Question:
Unless instructed otherwise, enter dollar answers to two decimal places without the $ sign -> 1009.32 and not $1,009.32. Enter percentage answers (rates) in percentage format without the % sign -> 9.32 and not 9.32% or 0.0932.
Flag question: Question 1Question 11 pts
How long must one wait (to the nearest year) for an initial investment of $1,000 to triple in value if the investment earns 8% compounded annually?
Flag question: Question 2Question 21 pts
What is the future value of $10,000 deposited today in a bank account that pays 7.1% interest rate after 5 years? (Enter the answer in dollar format to two decimal places without the $ sign -> 1009.32 and not $1,009.32 )
Flag question: Question 3Question 31 pts
How much can be accumulated for retirement if $2000 is deposited annually, beginning one year from today, and the account earns 7% interest compounded annually for 25 years?
Flag question: Question 4Question 41 pts
What will be the monthly payment on a home mortgage of $175,000 at 3.25% interest, to be amortized over 15 years?
(for monthly interest rate -> 3.25/12 and 6 decimal places)
Flag question: Question 5Question 51 pts
A perpetuity of $8,238 per year is said to offer a 6% interest rate. What is its present value?
Flag question: Question 6Question 61 pts
What is the future value of $666 to be deposited today into an account paying 8.0% compounded semi-annually for two years?
Flag question: Question 7Question 71 pts
You just won a lottery that promises to pay you $1 million exactly 10 years from today. Because the $1 million payment is guaranteed by the state in which you live, opportunities exist to sell the claim today for an immediate lump-sum cash payment. What is the least you will sell your claim for if you could earn 7.76 % on similar-risk investments during the 10-year period?
Flag question: Question 8Question 81 pts
A car dealer offers payments of $522.59 per month for 48 months on a $25,000 car after making a $4,000 down payment. What is the loan's APR? (in % terms)
Flag question: Question 9Question 91 pts
Today, Bruce and Brenda each have $150,000 in an investment account. No other contributions will be made to their investment accounts. Both have the same goal: They each want their account to reach $1 million, at which time each will retire. Bruce has his money invested in risk-free securities with an expected annual return of 5 percent. Brenda has her money invested in a stock fund with an expected annual return of 10 percent. How many years after Brenda retires will Bruce retire?
Flag question: Question 10Question 101 pts
What is the future value of a five-year ordinary annuity of $1,000 per year if the interest rate is 6.76%? Hint: solve for year 5.
Flag question: Question 11Question 111 pts
What is the present value of a perpetuity that offers to pay $100 next year and every year after the payment grows at 3.2%. Investments with similar risk are offering an 8% annual return.
Flag question: Question 12Question 121 pts
Your bank is offering a certificate of deposit with an APR of 5.69% compounded monthly. What is the effective annual rate?
Flag question: Question 13Question 131 pts
What is the loan balance (in dollars) after the third payment, of a 5 year loan of $100,000 with an APR of 10% and annual payments?
Accounting What the Numbers Mean
ISBN: 978-0073527062
9th Edition
Authors: David H. Marshall, Wayne W. McManus, Daniel F. Viele,