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Sauron [17]
4 years ago
8

jasmime wants to earn 2,000 in simple imterest through a bank account earning 5% annually . how ,uch principal would she need to

invest in the account to meet her interest goal in 4 years
Business
1 answer:
Bingel [31]4 years ago
5 0

Answer:

To reach the goal, the initial investment should be of:  $1,645.40

Explanation:

Giving the following information:

Jasmine wants to earn 2,000 in simple interest through a bank account earning 5% annually.

To calculate the initial investment, we need to use a variation of the simple interest future value formula:

FV= PV*(1+i)^n

PV= present value

Isolating PV:

PV= FV/(1+i)^n

PV= 2,000/(1.05^4)= 1,645.40

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What interest rate is implicit in a $1,000 par value zero-coupon bond that matures in 7 years if the current price is $500. Plea
Softa [21]

Answer:

0.104

Explanation:

We are to determine the yield to maturity of the bond

yield to maturity can be determined using a financial calculator

Cash flow in year 0 = -500

Cash flow each year from year 1 to 6 = 0

Cash flow in year 7 = 1000

YTM = 10.4%

To find the YTM using a financial calculator:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the IRR button and then press the compute button.  

6 0
3 years ago
Paula inherits a home on July 1, 2019 that had a basis in the hands of the decedent at death of $290,000 and a fair market value
Airida [17]

Answer:

her recognized gain on the sale of her old principal residence is $193,000 and her basis in the inherited home is $600,000.

Explanation:

Recognized gain on sale of old house

= ($600,000 - $125000) - $30,000 - $2000

= $443,000

Paula's recognized gain = $443,000 - $250,000

                                         = $193,000

Her basis in the inherited home = $500,000 + $100,000

                                                      = $600,000

Therefore, her recognized gain on the sale of her old principal residence is $193,000 and her basis in the inherited home is $600,000.

4 0
4 years ago
What are 5 state laws that protect consumer rights
Scrat [10]

Answer:

1. bankrupcy

2.fair credit reporting laws

3.truth in lending laws

4.consumer leasing act

5.privacy policies

Explanation:

4 0
4 years ago
A house is sold for $105,500 and the commission rate is 6 percent. If the commission is split 60/40 between the selling broker a
laila [671]

Answer: The answer is $ 1266.

Explanation: If the commission rate is 6%

The commission is = 105500. 0.06 = 6330

40% is for the listing broker = 6330. 0.4 = 2532

And half is for his salesperson = 2532/2 = 1266.

The listing salesperson receive from this sale $ 1266.

3 0
3 years ago
Protectors' Insurance wants to build strong relationships with its customers and is looking to create a more interactive approac
True [87]

Answer: Internet

Explanation:

Online advertising helps organizations find the right audience as the ones who are really interested in the products that are being sadvertised are targeted.

Internet advertising tools such as, social media, display ad and video ads helps the task of reaching ones target audience easier. This can enhance strong relationships with ones customers create a more interactive approach to advertising.

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4 years ago
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