You deposited ($1,000) in a savings account that pays 8 percent interest, compounded quarterly, planning to use it to finish your last year in college. eighteen months later, you decide to go to the roshy mountains to become a ski instructor rather than continue in school, so you close out your account. how much money will you receive? (round to the nearest whole dollar
Solved
Show answers
More tips
- H Health and Medicine How to Choose the Right Glasses?...
- H Health and Medicine How to Treat Whooping Cough in Children?...
- H Health and Medicine Simple Ways to Lower Cholesterol in the Blood: Tips and Tricks...
- O Other How to Choose the Best Answer to Your Question on The Grand Question ?...
- L Leisure and Entertainment History of International Women s Day: When Did the Celebration of March 8th Begin?...
- S Style and Beauty Intimate Haircut: The Reasons, Popularity, and Risks...
- A Art and Culture When Will Eurovision 2011 Take Place?...
- S Style and Beauty How to Choose the Perfect Hair Straightener?...
- F Family and Home Why Having Pets at Home is Good for Your Health...
- H Health and Medicine How to perform artificial respiration?...
Answers on questions: Business
- B Business If your brand is not consistent online and in the face-to-face world, which of the 8 Laws of Branding is it breaking?...
- B Business A firm s year-end retained earnings balance are $670,000 and $550,000 for 2018 and 2017, respectively. The firm reported net profits after taxes of $100,000 in 2018. The...
- B Business Whispering Winds Corp. has these accounts at December 31: Common Stock, $12 par, 6,100 shares issued, $73,200; Paid-in Capital in Excess of Par Value $19,600; Retained...
- B Business A single-stock futures contract on a non-dividend-paying stock with current price $250 has a maturity of 1 year. If the T-bill rate is 4%, what should the futures price...
- B Business Universal Sports Supply began the year with an accounts receivable balance of $130,000 and a year-end balance of $150,000. Credit sales of $645,000 generate a gross profit...
- B Business Does anyone play pet simulator on ro blox and is good good=(dark matters, and huges)...
- B Business multiple participants in a particular product s supply chain, the job of managing that integration is called ....
- M Mathematics If allie has five melons and jess take two away how many melons does josh have?...
- C Computers and Technology What provision of the government paperwork elimination act was designed to encourage a paperless society?...
- M Mathematics Me on these questions and explain it...
Ответ:
Present value (PV) = $1,000
Interest rate (r) =8% = 0.08
Number of years (n) = 18 months = 1.5 years
No of compounding periods in a year = 4
Future value (FV) = ?
FV = PV(1 + r/m)nm
FV = $1,000(1 + 0.08/4)1.5x4
FV = $1,000(1 + 0.02)6
FV = $1,000 x 1.1262
FV = $1,126
Explanation:
The amount to be received in 18 months is $1,126. This is obtained by compounding the present value at 8% compounded quarterly for 18 months. The formula to be applied is the formula for future value of a lump sum(single investment).
Ответ: