Find i (the rate per period) and n (the number of periods) for the following annuity....

Question

Question

Find i (the rate per period) and n (the number of periods) for the following annuity.

Monthly deposits of $305 are made for 9 years into an annuity that pays 6% compounded monthly.

i = ?

Answer 1

Answer #1

Annual interest rate = 6.00% compounded monthly

Monthly interest rate = Annual interest rate / 12
Monthly interest rate = 6.00% / 12
Monthly interest rate = 0.50%

Time period in years = 9

Time period in months = 9 * 12
Time period in months = 108

Rate per period = 0.50%
Number of periods = 108

Answer 2

Similar Homework Help Questions

Find I (the rate period) and n (the number of periods) for the following annuity. Monthly...

Find I (the rate period) and n (the number of periods) for the following annuity. Monthly deposits of $305 are made for 9 years into an annuity that pays 6% compounded monthly. i = ?
Find i (the rate per period) and n (the number of periods) for the following annuity...

Find i (the rate per period) and n (the number of periods) for the following annuity Monthly deposits of $300 are made for 3 years into an annuity that pays 6% compounded monthly i-(Type an integer or decimal rounded to four decimal places as needed)
Find i (the rate per period) and n (the number of periods) for the following annuity....

Find i (the rate per period) and n (the number of periods) for the following annuity. Monthly deposits of $2,700 are made for 17 years into an annuity that pays 8.9% compounded manually. i = ? (Type an integer or decimal.)

Find i (the rate per period) and n (the number of periods) for the following annuity....

Find i (the rate per period) and n (the number of periods) for the following annuity. Semiannual deposits of $2,400 are made for 20 years into an annuity that pays 8.4% compounded semiannually. i=(Type an integer or a decimal.) n =
find i (the rate per period) and n ( the number of periods) for the following...

find i (the rate per period) and n ( the number of periods) for the following annuity. monthly deposits of $280 are made for 3 years into an annuity that pays 6.5% compounded monthly. i=______ (type an interger of decimal rounded to four decimal places as needed) n=______
Find i (the rate per period) and n (the number of periods) for the following annuity...

Find i (the rate per period) and n (the number of periods) for the following annuity Quarterly deposits of $1,000 are made for 5 years into an annuity that pays 8% compounded quarterly i=□ (Type an integer or decimal rounded to four decimal places as needed ) n=

astructor-created question Find i (the rate per period) and n (the number of periods) for the...

astructor-created question Find i (the rate per period) and n (the number of periods) for the following loan at the given annual rate. Monthly payments of $277.25 are made for 7 years to repay a loan at 10.4% compounded monthly i= (Type an integer or decimal rounded to four decimal places as needed.)
Find i (the rate per period) and n (the number of periods) for the following loan...

Find i (the rate per period) and n (the number of periods) for the following loan at the given annual rate. Quarterly payments of $925 are made for 12 years to repay a loan at 11.4% compounded quarterly. i= (Type an integer or a decimal.)
Find i (the rate per period) and n (the number of periods) for the following loan...

Find i (the rate per period) and n (the number of periods) for the following loan at the given annual rate. Annual payments of $3,900 are made for 10 years to repay a loan at 8.8% compounded annually. 1 = (Type an integer or a decimal.)

Find i (the rate per period) and n (the number of periods) for the following loan...

Find i (the rate per period) and n (the number of periods) for the following loan at the given annual rate. Semiannual payments of $5,000 are made for 12 years to repay a loan at 6.15% compounded semiannually. il (Type an integer or decimal rounded to four decimal places as needed.) n=0