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
zubka84 [21]
3 years ago
15

Suppose that you buy a bond with face value $4000 that was originally issued 18 months ago. The maturity date is 4 years from th

e time it was issued, and the interest rate is 3% simple interest per year. If you pay $3560 for the bond and keep it until the maturity date. Find the amount of interest that will be paid on the bond at maturity, and the total amount of money you’ll get from the issuer at that point. Find the profit you’d make on this transaction. What percent of your investment is the profit made?
Mathematics
1 answer:
Marta_Voda [28]3 years ago
8 0

Answer:

amount of interest is  $267

total profit is $173

profit % is 4.86 %

Step-by-step explanation:

Given data

face value = $4000

time period  = 18 months = 1.5 years

maturity 4 years

interest = 3%

principal  = $3560

to find out

amount of interest, profit , percent of your investment is the profit made

solution

we know time period is lapsed for 1.5 years i.e now interest for time 2.5 year will be calculate

first we calculate the interest i.e

interest = ( principal × rate × time ) /100 ...........1

put all value principal, rate and time in equation 1 we get interest i.e.

interest = ( 3560 × 3 × 2.5 ) /100

interest = $267

so now total amount with interest will be

principal + interest

amount = $3560+$267

amount = $3827

so total benefit we get i.e. face value - total amount

total benefit = face value - total amount

total benefit = $4000 - $3827

total benefit = $173

so total profit is $173

and profit % = ( profit / principal ) × 100

profit % = ( 173 / 3560 ) × 100

profit %  = 4.859 %

so total profit % is 4.86 %

You might be interested in
48,62,81,94,27 to their nearest tens​
monitta

Answer:

50, 60, 80, 100, 30

Step-by-step explanation:

3 0
3 years ago
Read 2 more answers
Sophie drew a scale drawing of a house and its lot. The back patio is 3 centimeters wide in the drawing. The actual patio is 18
wel

Answer: 45?

Step-by-step explanation: Sorry If I'm wrong, I haven't learned this yet but I tried my best.

4 0
3 years ago
Convert the equation into slope-intercept form 2x+3y=9
SVETLANKA909090 [29]
Convert the equation into slope-intercept form 2x+3y=9

8 0
3 years ago
Companies that design furniture for elementary school classrooms produce a variety of sizes for kids of different ages. Suppose
pav-90 [236]

Answer:

SDFGHJKLÑ

Step-by-step explanation:

8 0
3 years ago
I need help please i'll give brainly​
Readme [11.4K]

Answer:

60 +24 = 84

Step-by-step explanation:jjjjjhjhjhj

6 x 4 +5 x 12

7 0
3 years ago
Other questions:
  • Clark is having a party at his house. His father has allowedhim to spend at most $20 on snack food. He’d like to but chips that
    14·1 answer
  • How can the properties of linear pairs and vertical angles help to determine the angle measures created by the intersecting line
    10·1 answer
  • Find the mean of the set<br><br> 17.2 18.3 14.9 16.8 15.3
    7·1 answer
  • Two consecutive odd numbers whose sum is 144 ?
    14·2 answers
  • PLZZZ HELP will mark brainleist
    9·1 answer
  • The executive summary component of a business plan is to describe _____.
    13·2 answers
  • Visit CK12.org for Free Online Practice
    12·1 answer
  • 8. Beatrice has 20 coins in quarters and nickels. The total value of her coins is $2.20. How many mickels and quartiers
    11·2 answers
  • The rate of people entering a safari tour is modeled by the equation p(t) = 200e ^ (- t) for the first 5 hoursEstimate the popul
    8·1 answer
  • Use the figure to find the specified angle measure. In the figure, II q
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!