- #1
shimmeringlight
- 8
- 0
i can't get these questions.
how much is each payment for an investment of $32000... an interest rate of 12% per annum, compounded semi-annually, with payments every 6 months, starting in half a year.
- i tried it but i can't seem to get the right answer... i think it might be the n value... i put one, but then it doesn't say how many years
i used the formula and i used...
PV=32,000
R=?
i=0.12/2=0/06
n=1
another:
A lottery to raise funds for a hospital is adverstuising a $240,000 prize. The winner will receieve $1000 every month for 20 years, starting a year from now. If the interest rate is 8.9% per annum, compounded annually, how much must be invested now to have the money to pay this prize?
the answer i got was like around 1600 short of the real answer in the back of the textbook... but I am not sure why.
i used
R=$1000
n=20x12=240
i= 0.089/12
pv=?
how much is each payment for an investment of $32000... an interest rate of 12% per annum, compounded semi-annually, with payments every 6 months, starting in half a year.
- i tried it but i can't seem to get the right answer... i think it might be the n value... i put one, but then it doesn't say how many years
i used the formula and i used...
PV=32,000
R=?
i=0.12/2=0/06
n=1
another:
A lottery to raise funds for a hospital is adverstuising a $240,000 prize. The winner will receieve $1000 every month for 20 years, starting a year from now. If the interest rate is 8.9% per annum, compounded annually, how much must be invested now to have the money to pay this prize?
the answer i got was like around 1600 short of the real answer in the back of the textbook... but I am not sure why.
i used
R=$1000
n=20x12=240
i= 0.089/12
pv=?