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Snowcat [4.5K]
3 years ago
10

You have $7,600 to deposit. Regency Bank offers 12 percent per year compounded monthly (1.0 percent per month), while King Bank

offers 12 percent but will only compound annually.
How much will your investment be worth in 16 years at each bank? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)
Regency Bank
King Bank
Business
1 answer:
Goryan [66]3 years ago
8 0

Answer:

Regency Bank : $51,347.27

King Bank : $46,590.99

Explanation:

The formula for calculating future value:

FV = P (1 + r)^mn

FV = Future value  

P = Present value  

R = interest rate  

N = number of years  

m = number of compounding

Regency Bank : $7,600 x (1.01)^(16 x 12) = $51,347.27

King Bank : $7600 x 1.12^16 = $46,590.99

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Answer:

$61,390

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Calculation to determine What does Engler record as the cost of the new truck

Using this formula

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3 years ago
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1 year ago
Porter Incorporated issued $210,000 of 6 percent, 10-year, callable bonds on January 1, Year 1. The bonds were issued at their f
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Answer:

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Dr Loss on Bond Redemption $4,200

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Dr Cash $210,000

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3 years ago
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