Answer:
The interest amount is $29600.
Explanation:
Below are the following given values:
The par value of bonds that Morgan company issues = $740000
Interest paid = semi annually
Current interest rate = 7%
Now we have to find the total amount of interest at 8% that is compounded semiannually.
Below is the calculation of the interest amount.
Amount of interest for each semi-annual period: = face value × Coupon rate × 0.5
Here we multiply with 0.5 because interest is semi-annually.
Total interest = $740,000 × 8% × 0.5
Total interest = $29,600
Answer:
$20
Explanation:
The amount of interest accrued = Note amount * Interest rate * Number of months expired till December 31/ 12 months
= $2,000 * 6% * 2/12
= $20.
Thus, the interest accrued = $20
Answer:
The correct answers are a. $1719.00 ; c. 2168.86 ; d. $2218.36.
Explanation:
Zoe deposited $900 in a savings account at her bank.
Her account will earn an annual simple interest rate of 7%.
Time for which the money is deposited for 13 years.
Money Zoe would have in her account in thirteen years is
Principal + Principal × time × 
= 900 + 9 × 13 ×7 = 900 + 819 = $1719
Now, assume that Zoe's savings institution modifies the terms of her account and agrees to pay 7% in compound interest on her $900 balance.
Money Zoe would have in her account in thirteen years is
Principal × 
= 900 × 
= $2168.86.
Suppose Zoe had deposited another $900 into a savings account at a second bank at the same time. The second bank also pays a nominal (or stated) interest rate of 7% but with quarterly compounding.
Time has now changed to 4× 13 = 52.
Money Zoe would have in her account in thirteen years is
Principal × = 900 × 
= $2218.36.
Answer:
Point of trough = B and D
Explanation:
As per the data given in the question,
The troughs are those points where the real GDP of economy fails and then later it increases. In July 1953 real GDP is 1992.2, which further fails to 1941 in May 1954, and then increases again to 2182.7 in April 1957. Hence B is that point where trough takes place.
Likewise, Real GDP is falling to 2,117.4 in April 1958, which Rising to 2391.0 in April 1960. Therefore D is also that point where trough takes place.
Thus, Option (e) : point (B) and (D) is correct answer.
