You simply right a check or make an electronic transfer to the establishment you are investing in. If it is an monthly investment, you can set up a once a month monthly pay.
In 1 or 2 sentences, describe how money that you save in the bank can be channeled to an investor
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...
An investor can invest money with a particular bank and earn a stated interest rate of 8.80%; however interest will be compounded quarterly. What are the nominal, periodic and effective interest rates for this investment opportunity? Nominal Rate- Periodic Rate- Effective Annual Rate-
6) Suppose you save money at a bank that pays 3% per year in simple interest. If you open the account with $1000, and in addition to the interest that the bank pays, on the last day of each year, you deposit $200 more into the account. Give a recurrence relation for S(n) your money at the end of n years, forn 20. How much money will you have at the end of 4 years?
An investor can invest money with a particular bank and eam a stated interest rate of 15.40%; however, interest w be compounded quarterly. What are the nominal, periodic, and effective interest rates for this investment opportunity? Interest Rates Nominal rate Periodic rate Effective annual rate Rahul needs a loan and is speaking to several lending agencies about the interest rates they would charge and the terms they offer. He particularly likes his local bank because he is being offered a...
Describe how will a bank creates bank money when initial demand deposit is $2000, required ratio is 5% and lending the excess reserve to three borrowers.
5. An investor would like to double their money. Their bank offers two interest rates. One rate will pay 9% interest compounded annually and one rate will pay 8.7% annually compounded continuously. Which one should you select and why? 6. A friend asks for a loan of money and offers to pay $20,000 at the end of 5 years. How much should you loan him now if you expect 15% interest per year on your loan?
An investor can invest money with a particular bank and earn a stated interest rate of 6.60%; however, interest will be compounded quarterly. What are the nominal, periodic, and effective interest rates for this investment opportunity? Interest Rates Nominal rate 6.60% Periodic rate Effective annual rate 1.65% 6.77% Rahul needs a loan and is speaking to several lending agencies about the interest rates they would charge and the terms they offer. He particularly likes his local bank because he is...
A. Suppose you were to save $500.0000 in the first bank. The interest rate is ?1=9.0000. Three years from now, you should have $ ______ B. Suppose you were to save $500.0000 in the second bank. The interest rate is ?2=6.0000. Three years from now, you should have $ ______ C. Suppose you were to save $500.0000 in the third bank. The interest rate is ?3=3.0000. Three years from now, you should have $ ______ D. Let the interest rate...
1. Name the ten hallmarks of cancer. Briefly (1-2 sentences) describe how each hallmark contributes to making a cell cancerous.
Back to Aset Attempts: Average: 2 2. The Bank of Canada and the money supply Suppose the money supply (as measured by chequable deposits) is currently $900 billion. The required reserve ratio is 30%. Banks hold $270 billion in reserves, so there are no excess reserves. The Bank of Canada wants to increase the money supply by $10 billion, to $910 billion. It could do this through open-market operations or by changing the required reserve ratio. Assume for this question...