Exam 2: Compound Interest

$15,000 is invested into an account that earns interest at j₄ = x%.There are no other deposits made into the account.At the end of 15 years,the accumulated value of the account is $45,000.Determine x.

A lump sum of $25,000 is due in 4-years and 5 months.What is the present value of this amount using the practical method if the interest rate is j₂ = 8%?

The population of a given country was 24.3 million on January 1,2001 and on January 1,2011 it was 27.3 million people and the population growth rate over this time period was g% compounded annually.At this same rate of growth g,how many more years (from January 1,2011)will it take this country's population to reach 30 million people?

A debt of $5700 is due,with interest at j₂ = 8%,in three years.It is agreed instead that the loan will be repaid with a payment of $X in one year and $3000 in two years.If money is worth j₄ = 4%,what is the value of X?

You borrow $2500 today.The loan is due in 5-years,with interest at j₂ = 8%.It is agreed that you can instead pay $X two years from now and $1500 three years from now.If money is worth j₁₂ = 6%,what is the value of X?

What nominal interest rate compounded semi-annually is equivalent to j₅₂ = 13%?

A woman borrowed money and owes $3000 one-year from now and $3000 three-years from now.The loan is renegotiated so that the woman can instead pay $X two-years from now and $4000 four-years from now which will fully pay back the loan.If the interest rate on the loan is j₂ = 8%,what is the value of X?