How much would you loan your brother-in-law if he said he could repay you $200 in...
How much would you loan your brother-in-law if he said he could repay you $200 in six months, $400 in a year, and $700 in two years if you can get 3 percent interest from the bank on a six month CD? Show you are indifferent between the loan and putting your money in the bank for the next two years
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How much would you loan your brother-in-law if he said he could
repay you $200 in...
How much would you loan your sister if he said he could repay you $100 in...
How much would you loan your sister if he said he could repay you $100 in six months, $200 in a year, and $500 in two years if you can get 2 percent interest from the bank on a six month CD? Show that you are in fact indifferent between the loan and putting your money in the bank for the next two years.
Please solve using financial calculator only and show work. Thank you. 28. Your brother has asked you to help him with c...
Please solve using financial calculator only and show work. Thank you. 28. Your brother has asked you to help him with choosing an investment. He has $5,200 to invest today for a period of five years. You identify a bank CD that pays an interest rate of 3.60 percent with the interest being paid quarterly. What will be the value of the investment in five years? 29. Tim has loaned money to his brother at an interest rate of 6...
Your brother-in-law borrowed $2,000 from you 4 years ago and then disappeared. Yesterday he returned and...
Your brother-in-law borrowed $2,000 from you 4 years ago and then disappeared. Yesterday he returned and expressed a desire to pay back the loan, including the interest accrued. Assuming that you had agreed to charge him 10%, and assuming that he wishes to make five equal annual payments beginning in one year, how much would your brother-in-law have to pay you annually in order to pay off his debt? (Assume that the loan continues to accrue interest at 10% per...
Your brother has asked you to help him with choosing an investment. He has $4,500 to...
Your brother has asked you to help him with choosing an investment. He has $4,500 to invest today for a period of two years. You identify a bank CD that pays an interest rate of 0.0400 annually with the interest being paid quarterly. What will be the value of the investment in two years? Round to two decimal places
You urgently need to borrow $5,000 for one month. You can get a loan from either...
You urgently need to borrow $5,000 for one month. You can get a loan from either a Jamaican bank that is charging 50% APR, or you can borrow the money from Vito Corleone on a five-for-six arrangement, i.e, for every $5 he gives you, you will repay him $6 one week later. Calculate the total interest you would need to repay the Jamaican bank and Vito Corleone. Which loan is better and why? (Be clear and concise and show all...
Question 18 1 pts Your brother has offered to loan you $500 for two years. At...
Question 18 1 pts Your brother has offered to loan you $500 for two years. At the end of the year you must repay him $1,300. What is the effective interest rate on this loan if interest is compounded daily? 61.25% 53.66% 80.00% 47.81% 58.50%
Please explain how they got 2.25% Suppose you are trying to save money for a vacation in two years. Bank A is offering s...
Please explain how they got
2.25%
Suppose you are trying to save money for a vacation in two years. Bank A is offering savings account with annual interest rate 2%. You are pretty sure interest rates will go up and next year savings account will pay 2.5%. Bank B is offering a two-year time deposit (CD). That is, if you deposit money now you can't withdraw for 2 years. How much annual interest on time-deposit accounts should Bank B offer...
How much money does Matthew have to repay each period if he borrows $248746 for 14...
How much money does Matthew have to repay each period if he borrows $248746 for 14 years at 11% p.a. in interest compounded every 6 months Provide your answer to two (2) decimal places and do not include '$' signs, commas or full stops (periods).
You have a loan outstanding. It requires making sixsix annual payments of $1,000 each at the...
You have a loan outstanding. It requires making sixsix annual payments of $1,000 each at the end of the next six years. Your bank has offered to restructure the loan so that instead of making the six payments as originally agreed, you will make only one final payment in six years. If the interest rate on the loan is 7 %, what final payment will the bank require you to make so that it is indifferent to the two forms...
Please help? Thank you so much! :) " ...He said the banking system could lose deposits...
Please help? Thank you so much! :)
" ...He said the banking system could lose deposits in several ways. 'One channel in recent quarters has been domestic fund managers allocating away from cash and deposits to other asset classes – particularly overseas assets,' Mr Jolly said." Source: Banks face cash squeeze as fund managers, households draw deposits (AFR, 15.07.2018) This quote contains some misleading statements. The following questions will help you to get a deeper understanding. These tasks are also...
Your brother-in-law borrowed $2,000 from you 4 years ago and then disappeared. Yesterday he returned and expressed a desire to pay back the loan, including the interest accrued. Assuming that you had agreed to charge him 10%, and assuming that he wishes to make five equal annual payments beginning in one year, how much would your brother-in-law have to pay you annually in order to pay off his debt? (Assume that the loan continues to accrue interest at 10% per...
You urgently need to borrow $5,000 for one month. You can get a loan from either a Jamaican bank that is charging 50% APR, or you can borrow the money from Vito Corleone on a five-for-six arrangement, i.e, for every $5 he gives you, you will repay him $6 one week later. Calculate the total interest you would need to repay the Jamaican bank and Vito Corleone. Which loan is better and why? (Be clear and concise and show all...
Question 18 1 pts Your brother has offered to loan you $500 for two years. At the end of the year you must repay him $1,300. What is the effective interest rate on this loan if interest is compounded daily? 61.25% 53.66% 80.00% 47.81% 58.50%
Please explain how they got
2.25%
Suppose you are trying to save money for a vacation in two years. Bank A is offering savings account with annual interest rate 2%. You are pretty sure interest rates will go up and next year savings account will pay 2.5%. Bank B is offering a two-year time deposit (CD). That is, if you deposit money now you can't withdraw for 2 years. How much annual interest on time-deposit accounts should Bank B offer...
Please help? Thank you so much! :)
" ...He said the banking system could lose deposits in several ways. 'One channel in recent quarters has been domestic fund managers allocating away from cash and deposits to other asset classes – particularly overseas assets,' Mr Jolly said." Source: Banks face cash squeeze as fund managers, households draw deposits (AFR, 15.07.2018) This quote contains some misleading statements. The following questions will help you to get a deeper understanding. These tasks are also...
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