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- V Hong took out a $10,000 loan for 73 days and was charged simple interest. The total interest he paid on the loan was $106. As a percentage, what was the annual interest rate of Hong's loan? Assume that there are 365 days in a year, and do not round any intermediate computations. If necessary, refer to the list of financial formulas. 11% Explanation Check X G1. Find the amount (in $) of interest on the loan. Principal Rate (%) Time Interest $70,000 5 4 1 2 years $ ____ 2. Use the exact interest method (365 days) and the ordinary interest method (360 days) to compare the amount (in $) of interest for the loan. (Round your answers to two decimal places.) Principal Rate (%) Time (days) Exact Interest Ordinary Interest $10,000,000 10 1 $ _____ $ _____1. Calculate the simple interest rate when P= $3600 I= $160 and=4 months. Round to the Section nearest hundredth. 4 a. 13.33% b. 0.13% C. 1.11% d. 4.00% e. 4.44% 2. Calculate the simple interest due on a four-month loan of $900 if the interest rate is 2.270 per month. a. $79.20 b. $7,920.00 c. $237.60 d. $6.60 e. $979.20 3. The maturity value of a three-month loan of $2,500 is $2,577. Find the simple annual interest rate to the nearest hundredth. a. 12.32% b. 11.95% c. 3.70% d. 97.01% e. 3.08% 4. What interest will be earned if $4000 is invested for 4 years at an annual rate of 7% compounded monthly? a. 5,288.22 b. 4,094.15 c. 4,166.22 d. 5,120.00 e. 6,501.65 A = $26,000 r =9% 5. Calculate the present value when compounded quarterly, and 1= 30 years. Round to the nearest cent.
- 1. Vincent deposited $1,650 in a savings account that earns 3.5% interest compounded daily for 90 days. Find the maturity value after the money has been in Vincent's account for 90 days. Use the table below. Interest by Quarter for 3.5% Compounded Daily Assuming 90-day Quarters Number of Quarters 1 2 3 4 $1,664.30 $1,678.92 $1,632.46 $1,698.71 Value of (1+1) 1.008667067 1.017400251 1.026227205 1.03512158513. Manuel lends Jahib $75 for 3 days. Manuel is paid back $80. Interest is compounded daily. Determine the annual interest rate of the loan. What interest rate per compounding period did Manuel receive? Complete your calculations in one step to get the correct results. Express both answers as a percent to two decimal places. a. 66.67%, 0.18% b. 800.02%, 3.00% C. 793.73%, 2.17% d. 666.67%, 18.00%18. How much amount should an investor deposit in an account earning a continuously compounded interest rate of 8% for a period of 5 years so as to earn $2,238? A. $1500. В. $1523. C. $1541.
- Suppose that you took out a loan at 10% interest for 283 days. If the amount of interest was $852.88, use the exact interest method to find the amount of principal you borrowed. (Round to the nearest whole dollar.) $8,529 $11,000 $12,111 O $13,000Exercise (1.77) You deposit an amount X into an account at time 0 and 2X into the same account at time 3. The account balance at time 5 is 5,000. If the account has earned a 4% annual effective rate, what is the value of X? Answer: 1,479.35Note: DONT USE EXCEL! Directions: Compute the interest. Round off your final answer up to 2 decimal places. 1. P27,000 at 6.5% simple interest for 1 year. 2. P31,000 at 7.5% simple interest for 50 days. 3. P63,000 at 12.5% simple interest for 3 years and 6 months. 4. P89,500 at 11.5% simple interest for 220 days. 5. 36,000 at 9.7% simple interest for 2 years.
- 13. What was the principal for a continuously compounded account earning 2.1%interest that now has a balance of $150,000 after 5 years?A. $166,606.59B. $135,048.68C. $15,750.00D. $16,606.59Problem -1-: If you deposit $45,000 into an account earning 4% interest compounded quarterly per year: 1- How much would you have in 5 years? Underline the right answer $10,978.32 $36,781.88 $54,908.55 2- What is the Effective Annual Interest Rate (EAR)?Underline the right answer: 04% 06% 64%An account paying annual compound interest was opened with OMR2,000 10 years ago. Today, the account balance is OMR3,500. If the same interest rate is offered on an account paying simple interest, how much income would be earned each year over the same time period? Select one: O a. OMR150.0o O b.OMR 92.60 O COMR115.20 O d. OMR 80.40 O e. OMR 56.90