Related questions with answers

Suppose you deposit 100 dollars in Account A with a simple interest rate of 3.4 percent, and 300 dollars in Account B with a simple interest rate of 1.8 percent. One year later, you get a bank statement that shows the interest for Account A is 3.40 dollars, and the interest for Account B is 540.00 dollars. What may have been the bank's error?

The interest rate on a car loan affects the monthly payment. The function that relates the monthly payment for a 5 -year loan (60-month loan) to the monthly interest rate is given by

P(x)=\frac{C x}{\left[1-\frac{1}{(x+1)^{60}}\right]}

where $x$ is the monthly interest rate (as a decimal), $C$ is the loan amount, and $P(x)$ is the monthly payment.

Simplify the complex fraction.

Solve for the unknown interest rate in each of the following:

Present Value	Years	Future Value
$\$ 181$	$5$	$\$ 317$
$335$	$17$	$1,080$
$48,000$	$13$	$185,382$
$40,000$	$40$	$531,618$

Question

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?

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In this problem, we need to compute for the following:

Future value of $100 with an interest rate of 8% for 5, 10, and 15 years.
Future value of $100 with an interest rate of 5% for 5, 10, and 15 years.

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Related questions with answers

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?

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