1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
cluponka [151]
3 years ago
10

Dirk opened up a savings account with $600. at a yearly interest rate of 5 percent that is compounded monthly, how much interest

will dirk earn in six months?
Business
1 answer:
IceJOKER [234]3 years ago
3 0

Answer:

$15.16

Explanation:

Compound interest is when the interest you earned before, will also start earning interest. To calculate the compound interest we can use the following formula:

principal + interest = principal x (1 + rate/number of periods per year)∧time

principal + interest = $600 x (1 + 5%/12)⁶ = $600 x (1.0042)⁶ = $600 x 1.0252 = $615.16

interest = $615.16 - $600 = $15.16

You might be interested in
Some of the following future cash flows have been expressed in then-current (future) dollars and others in CV dollars. Use an in
Cloud [144]

Answer:

$62,267.91

Explanation:

first we must calculate the interest rate = 10% + 6% + (10% x 6%) = 16.6%

now we can use the present value formula:

present value = future value / (1 + rate)ⁿ

present values for:

  • cash flow year 0 = $17,100
  • cash flow year 3 = $46,500/1.166³ = $29,333.06
  • cash flow year 4 = $12,300/1.166⁴ = $6,654.43
  • cash flow year 7 = $26,900/1.166⁷ = $9,180.42

total present value = $62,267.91

6 0
3 years ago
Read 2 more answers
​(Yield to​ maturity) The market price is ​$725 for a 16​-year bond ​($1 comma 000 par​ value) that pays 9 percent annual​ inter
wlad13 [49]

Answer:

13.16%

Explanation:

In this question we use the RATE formula i.e shown in the attached spreadsheet

Given that,  

Present value = $725

Assuming figure - Future value or Face value = $1,000  

PMT = 1,000 × 9% ÷ 2 = $45

NPER = 16 years × 2 = 32 years

The formula is shown below:  

= Rate(NPER;PMT;-PV;FV;type)  

The present value come in negative  

So, after solving this, the yield to maturity is 6.58% × 2 = 13.16%

6 0
3 years ago
Madison Corporation sells three products (M, N, and O) in the following mix: 3:1:2. Unit price and cost data are: M N O Unit sal
Ivahew [28]

Answer:

The answer is 629,000.

Explanation:

  • For each unit of M sold, the price is 7 and the cost is 3, so the contribution margin is 4;
  • For each unit of N sold, the price is 4 and the cost is 2, so the contribution margin is 2;
  • For each unit of O sold, the price is 6 and the cost is 3, so the contribution margin is 3;
  • With the mix, 1 unit of sale contributes (contribution per mix) 3*M+1*N+2*O = 3*4+1*2+2*3 = 20

For covering the 340,000 of fixed costs, you have to sale 340,000/20 units. That's equal to 17,000 units.

Each unit of sales is equal to (price per mix) 7*M+4*N+6*O = 7*3+4*1+6*2 = 37. So, with 17,000 units, the total sales will be 17,000 * 37 = 629,000.

3 0
3 years ago
Suppose on January 1 Aiden​'s Tavern prepaid rent of $ 13 comma 200 for the full year. At July 31​, how much rent expense should
Paha777 [63]

Explanation:

13,200 Rent prepaid on January 1 for 1 year

÷ 12 Months

$ 1,100 Rent expense per month

Thus, $1,100 Rent expense per month

× 7 Months

$7,700 Rent expense for January through July

At July 31, Aiden's Tavern should record $ 7700 of rent expense.

8 0
3 years ago
Assume you sell short 100 shares of common stock at $50 per share, with an initial margin at 50%. The stock paid no dividends du
son4ous [18]

Answer:

40%

Explanation:

Initial amount invested  = $50 × 100 × 50% = $2,500

Profit from sale and repurchase = ($50 - $40) × 100 = $1,000

Rate of return = $1,000 ÷ $2,500 = 0.40, or 40%.

Therefor, the rate of return would be 40%.

4 0
3 years ago
Other questions:
  • A way of buying, in which you can purchase goods or services and pay later, is called:
    10·1 answer
  • "Worldwide Food Services, InC., (WFS) has a large number of cooks and other food service workers who will be sent to hardship en
    13·1 answer
  • Worthington Inc. is considering a project that has the following cash flow data. What is the project's payback?Year 0 1 2 3Cash
    11·1 answer
  • Disputants Martin and Daulton have hired Thurman to mediate their disagreement. Although Martin and Daulton must accept whatever
    14·1 answer
  • A young software development company recently went public. To attract investors, the company executives want to emphasize the am
    13·1 answer
  • A monopoly finds that, at its present level of output and sales, marginal revenue equals $5 and marginal cost is $4.10 which of
    10·1 answer
  • A marginal benefit curve has a negative or a positive slope?
    8·1 answer
  • Jack Palomo has deposited $2,500 today in an account paying 6 percent interest annually. What would be the simple interest earne
    15·1 answer
  • trade restrictionsa. reduce the gains from trade for the country as a wholeb. increase the gains from trade for poor countriesc.
    9·1 answer
  • Minnie knows that double entry has a lot of short-term debt coming due in the next year, and wants to make sure that the company
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!