Find the simple interest paid to the nearest cent for each loan amount, interest rate, and time. $725, 6.25%, 1 year

a. At what interest rate, compounded annually, would you need to invest $500 in order to have$625 in 2 years? b. At this interest rate, how long would it take for your $500 to double in value?

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

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.

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?

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. $400,000, original APR 4.1%, 1 point with a 0.2% discount.

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?

Find the price a purchaser should be willing to pay for the given bond. Assume that the coupon interest is paid twice a year.

$15,000 bond with coupon rate 6% that matures in 4 years; current interest rate is 5%.

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 = 2.5%$

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 = 7 %$

Explain what is wrong with the statement.

The present value of a lump-sum payment $S$ dollars one year from now is greater with an annual interest rate of $4\%$ than with an annual interest rate of $3\%.$

Use the compound interest formula, $A(t)=P\left(1+\frac{r}{n}\right)^{n t}$.

Use properties of rational exponents to solve the compound interest formula for the interest rate, $r$.

The formula

$$I_t=\frac{I_f}{1-T}$$

gives the taxable interest rate $I_t$ equivalent to the tax-free interest rate $I_f$ for a person in the $(100 \cdot T) \%$ tax bracket. Solve for $T$.

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?