This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Kathy deposited 100 in a savings account that paid 8 interest, compounded annually. How much ... (Read 150 times)

cmoore54

  • Hero Member
  • *****
  • Posts: 568
on: Jul 10, 2018
Kathy deposited 100 in a savings account that paid 8 interest, compounded annually. How much compound interest did she earn after 2 years?
 
  A) 15.64
  B) 16.64
  C) 8.08
  D) 8.00
  E) 8.64

Question 2

You have the opportunity to purchase mineral rights to a property in North Dakota with expected annual cash flows of 10,000 per year for eight years.
 
  If you discount these cash flows at a rate of 12 per year, what are these cash flows worth today if the cash flows occur at the end of each period?
  A) 55,637.57
  B) 49,676.40
  C) 80,000.00
  D) 122,996.93


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

mbcrismon

  • Sr. Member
  • ****
  • Posts: 328
Reply #1 on: Jul 10, 2018
Answer to Question 1

B

Answer to Question 2

Answer: B
Explanation: B)
PV = PMT  = 10,000  = 49,676.40.
MODE = END
INPUT 8 12 ? -10,000 0
KEY N I/Y PV PMT FV
CPT 49,676.40


cmoore54

  • Member
  • Posts: 568
Reply 2 on: Jul 10, 2018
:D TYSM

skipfourms123

  • Member
  • Posts: 343
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

« previous next »
 

Did you know?

Anesthesia awareness is a potentially disturbing adverse effect wherein patients who have been paralyzed with muscle relaxants may awaken. They may be aware of their surroundings but unable to communicate or move. Neurologic monitoring equipment that helps to more closely check the patient's anesthesia stages is now available to avoid the occurrence of anesthesia awareness.

Did you know?

Pope Sylvester II tried to introduce Arabic numbers into Europe between the years 999 and 1003, but their use did not catch on for a few more centuries, and Roman numerals continued to be the primary number system.

Did you know?

As of mid-2016, 18.2 million people were receiving advanced retroviral therapy (ART) worldwide. This represents between 43–50% of the 34–39.8 million people living with HIV.

Did you know?

Approximately one in three babies in the United States is now delivered by cesarean section. The number of cesarean sections in the United States has risen 46% since 1996.

Did you know?

Patients who have undergone chemotherapy for the treatment of cancer often complain of a lack of mental focus; memory loss; and a general diminution in abilities such as multitasking, attention span, and general mental agility.

Chinese workers on a railway in the far West. “Without them,” Leland Stanford, president of the Cent Chinese workers on a railway in the far West. “Without them,” Leland Stanford, president of the Cent
The Five-Highest Paid CEOs The Five-Highest Paid CEOs
A non-interest-bearing five-year note for $54600.00 issued May 1, 2015, is discounted April 1, ... A non-interest-bearing five-year note for $54600.00 issued May 1, 2015, is discounted April 1, ...
A non-interest-bearing five-year note for $54600.00 issued May 1, 2015, is discounted April 1, ... A non-interest-bearing five-year note for $54600.00 issued May 1, 2015, is discounted April 1, ...
No payments were made on a $2,598 loan during its three-year term. What was the annually ... No payments were made on a $2,598 loan during its three-year term. What was the annually ...
A mortgage loan of $132,000 at 6% compounded semiannually is to be amortized over 25 years by ... A mortgage loan of $132,000 at 6% compounded semiannually is to be amortized over 25 years by ...
Video: Stroke volume - contractility definition

For a complete list of videos, visit our video library