Assume that $105.04 invested today will grow to $2,639.23 at the end of 38 quarters. Given this info, determine the effective annual interest rate being earned on this investmen
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Assume that $105.04 invested today will grow to $2,639.23 at the end of 38 quarters. Given this info, determine the effective annual interest rate being earned on this investment.
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- Assume that $464.03 invested today will grow to $8,106.65 at the end of 47 quarters. Determine the effective annual interest rate being earned on this investment.Suppose that an investment promises to pay a nominal 9.6 percent annual rate ofinterest. What is the effective annual interest rate on this investment assuming thatinterest is compounded (a) annually? (b) semiannually? (c) quarterly? (d) monthly? (e)daily (365 days)? (f) Weekly?If the accumulated value of an investment that is growing at 3.95% compounded semi-annually is $93,924.39, and the interest earned on this investment is $47,924.39, calculate the time period of this investment. Calculate the effective interest rate for each of the following nominal interest rates: a. 2.73% compounded quarterly. b. 2.73% compounded monthly.
- suppose that an investment promises to pay a real 9% annual rate of interest and inflation rate is 3%. What is the effective annual interest rate on this investment assuming that interest is compounded quarterly? Note: Please show how you compute each of the items.Suppose that an investment promises to pay a real 9% annual rate of interest and inflation rate is 3%. What is the effective annual interest rate on this investment assuming that interest is compounded quarterly? PLEASE SHOW HOW YOU COMPUTE EACH OF THE ITEMS.Assume that at the beginning of the year, you purchase an investment for $6,500 that pays $95 annual income. Also assume the investment's value has increased to $7,050 by the end of the year. a. What is the rate of return for this investment? Note: Input the amount as a positive value. Enter your answer as a percent rounded to 2 decimal places.
- Suppose that an investment promises to pay a nominal 9.6 percent annual rate of interest. What is the effective annual interest rate on this investment assuming that interest is compounded (a) annually? (b) semiannually? (c) quarterly? (d) monthly? (e) daily (365 days)? (f ) continuously? (Note: Report your answers accurate to four decimal places –e.g., 0.0987 or 9.87%.)An investment earns an annual interest rate of 12 percent compounded Semi annually. What is the effective annual rate? Use excel.Find the annual percentage yield for an investment at the following rates. (Round your answers to two decimal places.) (a) 6.5% compounded monthly (b) 5% compounded continuously
- The following investment requires a table factor for a period beyond the table. Calculate the new table factor and the present value (principal). Use Table 11-2. Round your new table factor to five decimal places and your present value to the nearest cent. CompoundAmount Term ofInvestment (years) NominalRate (%) InterestCompounded New TableFactor PresentValue $36,000 38 7 annually $An investment earns an annual interest rate of 12 percent compounded quarterly. What is the effective annual rate?A. 3.00%.B. 12.00%. C. 12.55%.ou can assume that all payments are made at the beginning of the period and use "1" for the "type" argument in the formula. A. Suppose you invest $ 11,400 today. What is the future value of the investment in 29 years, if interest at 7% is compounded annually? B B. Suppose you invest $ 11,400 today. What is the future value of the investment in 29 years, if interest at 7% is compounded quarterly? 4 5 6 27 28 29 C. Suppose you invest St $ 570 monthly. What is the future value of the investment in 29 years, if interest at 5% is compounded monthly? Question 1 Question 2 + Ready Accessibility: Investigate MAR 17 A W +