Exam 10: Compound Interest - Further Topics

What is the nominal rate of interest at which money will be 10 times itself in 30 years, if compounded monthly?

What is the monthly discount rate expressed as an nominal annual rate for a future value of $182 500 to be reduced to $178 663.58 over a period of 4.25 years?

Sajid invested $20 000 in strip bonds earning him $2536.50 in one year. What is the nominal annual rate of interest compounded monthly?

At what nominal rate of interest compounded monthly will $1700.00 earn $500.00 interest in three years?

Luciano sold a property and is to receive $14 200.00 in nine months, $14 000.00 in 42 months, and $15 500.00 in 57 months. The deal was renegotiated after six months at which time Luciano received a payment of $17 000.00; he was to receive a further payment of $19 000.00 later. When should Luciano receive the second payment if money is worth 10% compounded quarterly?

A 11-year $8000.00 promissory note, with interest at 8.4% compounded monthly, is discounted at 6.5% compounded semi-annually yielding proceeds of $14 631.15. How many months before the due date was the date of discount?

What is the nominal rate of interest compounded semi-annually that is equivalent to an effective rate of 8.25%

An 11-year $5000.00 promissory note, with interest at 4.4% compounded monthly, is discounted at 3.5% compounded semi-annually yielding proceeds of $7651.15. How many months before the due date was the date of discount?

At what nominal rate of interest compounded semi-annually will $11 800 earn $6 800 interest in six years?

Calculate the nominal rate of interest p.a. compounded semi-annually if $5000.00 accumulates to $7002.64 in 78 months.

Over a 15-year period, Tariq's investment in Cameco stock grew in value from $3000 to $19 847. During the same period, the consumer price index rose from 88.31 to 118.91. What was his real compound annual rate of interest on the stock during this period?

What is the quarterly interest rate that you will need to earn in order for an investment of $1635 to grow to be $1748.73 after 2.25 years?

A principal of $4250.00 compounded monthly amounts to $4800.00 in 6.25 years. What is the nominal annual rate of interest?

The accountant of Crystal Credit Union proposes changing the method of compounding interest on premium savings accounts to yearly compounding. If the current rate is 8% compounded quarterly, what nominal rate should the treasurer suggest to the Board of Directors to maintain the same effective rate of interest?

A loan of $4500.00 was repaid together with interest of $1164.00. If interest was 12 .4% compounded quarterly, for how many months was the loan taken out?

You have an interest rate of 8.44% compounded quarterly. What is the equivalent effective annual interest rate?

Calculate the nominal rate of interest compounded semi-annually that will double money in eight years.

What is the nominal rate of interest compounded semi-annually which is equivalent to an effective rate of 5.89%?

In how many years will money double at 6.62% compounded semi-annually?

A promissory note for $7200.00 dated May 15, 2016, requires an interest payment of $740.00 at maturity. If interest is at 9.6% compounded monthly, determine the due date of the note.