Unit 3: Homework Assignment If you deposit $2000 in a bank account today that pays 6% annually, how much will be in your account after 5 years?What is the present value of a security that will pay $29

Are you pressed for time and haven’t started working on your assignment yet? Would you like to buy an assignment? Use our custom writing services for better grades. Even if your deadline is approaching fast, our writers can handle your task right when you need it.


Order a Similar Paper Order a Different Paper

Unit 3: Homework Assignment

  1. If you deposit $2000 in a bank account today that pays 6% annually, how much will be in your account after 5 years?
  2. What is the present value of a security that will pay $29,000 in 20 years if the interest rate is 5% annually?
  3. Find the following values assuming that compounding/discounting occurs annually and then work them again assuming monthly compounding.
  • $600 compounded for 1 year at 6%
  • $600 compounded for 2 years at 6%
  • The present value of $600 that has been invested for 1 year at 6%
  • The present value of $600 invested for 2 years at a discount rate of 6%
  • $200 compounded for 10 years at 4%
  • $200 compounded for 10 years at 8%
  • The present value of $200 that has been invested for 10 years at 4.                                                                                                                                                                                                                                                                                                                                   4. TB Bank pays 8 percent simple interest on its savings account balances, whereas FB Bank pays 8 percent interest compounded annually. If you made a deposit of $9,000 in each bank how much more money would you earn from FB Bank than TB Bank at the end of 8 years.

5. Suppose the total cost of a college education was $180,000 when your child enters as a freshman in 18 years. At present, you have $52,000 to invest.  What annual rate of interest must you earn on your investment to cover the cost of your child’s college education?

Writerbay.net

Most students find it hard to finish papers at some point in their studies. If it ever happens to you, don’t get desperate—we have a service for every writing emergency! Whether you’re stuck with a problem, equation, or a piece of creative writing, we will definitely come to your rescue. Fill in the order form with the details of your paper. Write your personal instructions so we can meet your expectations.


Order a Similar Paper Order a Different Paper