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VikaD [51]
4 years ago
13

Bernie Madoff invites you to invest $1,000 in his fund now and be guaranteed at least $1,500 in 4 years. What is the effective r

ate that Mr. Madoff is promising you?
Business
1 answer:
Nady [450]4 years ago
8 0

Answer: 10.67%

Explanation:

Mr Madoff is offering to grow the current value of $1,000 to a future value of $1,500 in 4 years.

This is a future value problem.

1,500 = 1,000 * ( 1 + interest) ^ 4 years

( 1 + interest) ^ 4 = 1,500/1,000

( 1 + interest) = 4√(1,500/1,000)

1 + interest = 1.1066819197

Interest = 1.1066819197 - 1

= 10.67%

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In recent times, the value of "currency" as well as "checkable deposits" was about $___________ billion each.
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As of December 2019, the total amount of currency in the US economy was $1,700 billion, while total checkable deposits as of December 2019 was $2,300 billion.

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Providing and recording documents are performed by:____________.
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Providing and recording documents are performed by : The closing agent

<h3>Who is a closing agent?</h3>

Closing agents are basically professionals who acts directly for the buyer by making interest of the buyer known to the seller. They are usually associated with real estate transactions.

A closing agent could be a lawyer speaking to a bank or lender. The actual closing is conducted by a closing agent who might be a worker or employee of the lender or the title company or organization.

Other duties of a closing agent are :

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