Allison saved $90 at the end of every month for 4 years in his bank account that earned 2.70% compounded monthly.
a. What is the accumulated value of his savings at the end of the period?
b. What is the interest earned over the period?
– Veronica plans to withdraw $4,800 at the beginning of every 6 months from a $40,000 fund that was growing at 6.96% compounded semi-annually. After how many withdrawals will this fund the depleted?
Round up to the next payment period
– Jennifer wants to set up a fund for his son’s education such that he could withdraw $1,287.00 at the beginning of every 3 months for the next 5 years. If the fund can earn 4.60% compounded semi-annually, what amount could he deposit today to provide the payment?
Round your answer to the nearest cent
– Calculate the future value of end-of-month payments of $2,500 made for 5 years into an investment fund that earns 4.50% compounded quarterly.
Round to the nearest cent
-Ariel receives $4,500 at the end of every month for 1 years and 6 months for money that he loaned to a friend at 5.30% compounded monthly.
a. What type of annuity is this?
Ordinary simple annuity
Ordinary general annuity
Simple annuity due
General annuity due
b. How many payments are there in this annuity?
Round up to the next payment
-How much interest will an account earn if you deposited 0 semi-annually for 6 years and the account earned 5.75% compounded semi-annually?
Round to the nearest cent
– Kelly leased equipment worth $45,000 for 6 years. If the lease rate is 3.25% compounded semi-annually, calculate the size of the lease payment that is required to be made at the beginning of each half-year.
Round to the nearest cent
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