A sum of money invested at 3% per 6-month period, will triple in amount in approximately how many years O n = 20.6 n = 18.6 n = 16,6 n = 14.6 O None of the above answers
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- b1. F = Pert , which assumes continuous compounding, says that the Future value (F) of an amount (P) invested today at an annual rate (r), expressed as a decimal for the time (t), in years is given by the function. Thus if you invested $100 at the annual rate of 5 1/2% for 6 years and 3 months you would get back (at the end of the time), F = $100e(0.055)(6.25) = $100e(0.3438) = $100(1.4102) = $141.02. If you invest $15000 today, what amount does the formula say you will get back if you leave it for 5 years and 3 months in a savings account paying 4 1/2% annually?If $5,000 is invested at an annual rate of 6.5% compounded continuously, the future value S at any time t (in years). a. Write the equation for future value. the he n b. What is the amount after 18 months? Round your answer to the nearest cent.If $9,000 is invested at 8.5% compounded continuously, find the future value after 2. years. (Round your answer to the nearest cent.) 2 $
- 1. (See image), which assumes continuous compounding, says that the Future value (F) of an amount (P) invested today at an annual rate (r), expressed as a decimal for the time (t), in years is given by the function. Thus if you invested $100 now at the annual rate of 5 1/2% for 6 years and 3 months you would get back (at the end of the time), F = $100e^(0.055)^(6.25) = $100e^(0.3438) = $100(1.4102) = $141.02. Suppose you put $2000 in a savings account when your son was born for 18 years and 6 months to help pay for his college education. If you can earn 3% annually on it, what should you have in his education savings account in 18 years and 6 months?Income received at the rate of R (t) = 2500 - e0.049t dollars per year, which can then be invested at 3.6% (compounded continuously) for 30 years. Make sure you give an answer to each part! a) To the nearest cent, find the total value of the income stream over this time interval. b) To the nearest cent, find the present value of the income stream over this time interval. c) To the nearest cent, find the future value of the income stream over this time interval.What continuously compounded rate of return allows you to triple your money in 12 years? Select one: O a. 9.16% O b. 8.78% O C. 4.92% d. 6.00% O e. 8.00%
- What annual rate of return is earned on a $1,000 investment when it grows to $2,700 in eight years? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Annual rate of return %Use the RSTUV method to obtain the solution. If P dollars are invested at r percent compounded annually, then at the end of 2 years, the amount will have grown to A = P(1 + r)2. At what rate of interest will $1000 grow to $1123.60 in 2 years? %How long vwill it take an investment to triple if it earns: a.9.4% compounded annually? (Do not round your Intermedlate calculatlons and round your answer to the nearest month.) will triple in Tyears and months. b. 8.4% compounded quarterly? (Da not round your Intermedlate colculations and round your answer to the nearest month.) Will triple in Tyears and months. ut
- What sum of money will grow to $23000.00 in seven years at 9.612% compounded monthly? FV =$IY = CY=i=n=Approximately, what is the value of (P) if F=9540, n=2 years, and i= 2.5% per year?Saved. For an investment to triple in value during a 25-year period. a. What annually compounded rate of return must it eam? (Do not round Intermedlate calculations and round your final answer to 2 decimal places.) Annually compounded rate of return b. What quarterly compounded rate of return must it earn? (Do not round Intermedlate calculatlons and round your final onswer to 2 declmal places.) Quarterly compounded rate of return c. What monthly compounded rate of return must it earn? (Do not round Intermedlate calculatlons and round your final answer to 2 decimal places.) Monthly compounded rate of return Next > < Prev 15 of 23 connect PI T 5 N.