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jeyben [28]
3 years ago
10

Chris made a $6925 purchase on his credit card that has an annual interest rate of 18% that compounds continuously. If he does n

ot make a payment for three years, how much does he owe at the end of the three years?
Business
1 answer:
stealth61 [152]3 years ago
6 0

Answer:

$11,883.35

Explanation:

The formula for calculating continuous compounding is given below

F=p*e^it

In this question:

F=future value of the amount borrowed today=?

p=amount borrowed today/Purchases made by chris through credit card=$6,925

e=mathematical constant=2.7183

i=interest per annum=18% per annum

t=number of years=3 in this case

F=6,925*e^18%*3

F=$11,883.35

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Canon was able to redesign the copying machine so that it didn't need professional service—reliability was built directly into t
Studentka2010 [4]

Answer:

architectural innovation

Explanation:

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5 0
3 years ago
Leaf Co. purchased from Oak Co. a $20,000, 8%, 5-year note that required five equal annual year-end payments of $5,009. The note
Veronika [31]

Answer:

b. $5,560

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For five years, the total amount is

= $5,009 × 5 years

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And, the present value of recording the note is $19,485

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4 0
3 years ago
If interest rate parity holds and the annual Taiwan nominal interest rate is 7% and the US. annual nominal rate is 5% and real i
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Answer:

2% higher

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