A $6000 certificate of deposit is purchased for$6000 and is held for seven years. If the certificate earns an effective rate of 8%, what is it worth at the end of the period?

A home buyer takes out a $30,000 mortgage at an annual interest rate of 9%. This loan is to be repaid over 20 years in 240 equal monthly installments of x dollars. (a) Compute x. (b) Find x if the annual interest rate is 10%

Suppose that $20,000 is invested at continuous rate r and grows to$81,104 in 28 years. Find the interest rate r.

At bank A, $600 is invested with an interest rate of 5% compounded annually. At bank B,$500 is invested with an interest rate of 6% compounded quarterly. Which account will have a larger balance after 10 years? 20 years

Suppose an amount P is invested at an interest rate r and A is the amount after t years.

(a) Write an expression for $A$ if the interest is compounded $n$ times per year.

(b) Write an expression for $A$ if the interest is compounded continuously.

The Fort House Tea Room borrowed $17,500 for renovations at a simple interest rate of 6.85% for 4 years. The interest is to be paid annually. Find the amount of each annual interest payment.

Compute the future value of $100 at an 8 percent interest rate 5, 10, and 15 years into the future. What would the future value be over these time horizons if the interest rate were 5 percent?

To make CDs look more attractive than they really are, some banks advertise that their rates are higher than their competitors’ rates; however, the fine print says that the rate is a simple interest rate. If a person deposits $10,000 at 10% per year simple interest, what compound interest rate would yield the same amount of money in 3 years?

All rates of interest given here are annual rates. Calculate the rate of interest per year which will earn the given amount of interest: a) Principal $400 time 4 years interest$112, b) Principal $800 time 7 years interest$224

For the following exercise,

Determine the value of the annuity for the indicated monthly deposit amount, the number of deposits, and the interest rate.

Deposit amount: $\$ 100$; total deposits: $120$ ; interest rate: $10 \%$, compounded semi-annually

Determine the cost of the points and the new interest rate for each loan amount and interest rate. Assume each point costs 1% of the loan amount. $550,000, original APR 4.75%, 1 point with a 0.3% discount.

Find the monthly payment, amount paid, and interest charged for a $90,000 mortgage loan at an annual interest rate of 10% for 20 years.

The monthly payment on a $300,000 30 year mortgage at 6% annual interest rate is$1798.65. What is the interest payment for the first month?

Find the time required for a $1000 investment to (a) double at interest rate r, compounded continuously, and (b) triple at interest rate r, compounded continuously. Round your results to two decimal places.$r = 6%$