📘 finance

1. **State the problem:** Find the Simple Interest on 5000 at a rate of 5% for 3 years. 2. **Formula for Simple Interest:**

1. **State the problem:** We have a loan principal $P = 450000$, an annual simple interest rate $r = 6.2\% = 0.062$, and a time period $t = 5$ years and $9$ months.

1. **Problem Statement:** Calculate the settlement payment of a Forward Rate Agreement (FRA) that covers 9 months starting in 6 months, with a notional principal of 15 crore, an ag

1. The problem involves understanding investment returns with given interest rates and durations. 2. The formula for simple interest is $$I = P \times r \times t$$ where $I$ is int

1. **Problem statement:** A firm paid a dividend of $3.00 per share this year. Dividends are expected to grow at 8% for 4 years and thereafter at 5% indefinitely. The required rate

1. Énoncé du problème : Trouver le taux nominal trimestriel $r$ pour qu'un capital de 5620 soit porté à 16800 en 13 ans et 6 mois avec intérêts composés trimestriellement. 2. Formu

1. **Problem Statement:** A sinking fund is set up to pay off a debt of 70000 in 20 years. Deposits are made at the end of each 6-month period, and the interest rate is 5% per year

1. **State the problem:** We need to find the amount of each deposit in a sinking fund that will accumulate to 70000 in 20 years. 2. **Given data:**

1. **Problem Statement:** Calculate the Net Present Value (NPV), Internal Rate of Return (IRR), and payback period for a new hand drill project with given costs, sales, inflation,

1. **Problem Statement:** OPQ Inc. is evaluating three mutually exclusive projects (A, B, and C) with different cash flows and discount rates. We need to calculate the Net Present

1. **State the problem:** Rhoda wants to know how long it will take for her investment of $2,571 to grow to $3,308 with an annual interest rate of 4.9%, compounded monthly. 2. **Ch

1. The problem is to graph the future value function, which is commonly used in finance to calculate the amount of money an investment will grow to over time. 2. The formula for th

1. **Problem statement:** We have an annuity-immediate with 4N annual payments of 1000 each, an effective annual interest rate of 6.3%, and a present value (PV) of 14113. We want t

1. **Problem statement:** John deposits 1000 into a fund with three different interest regimes over 10 years. We need to find the amount in the fund at the end of 10 years. 2. **Gi

1. **Problem statement:** Kendall borrows 100000 on January 1, 1993, to be repaid in 12 annual installments at an effective annual interest rate of 8%. The first annual payment is

1. **Problem statement:** Audrey deposited 80 in an account earning 10% interest compounded daily. We need to find the amount in the account after 3 years, rounded to the nearest c

1. **State the problem:** Aiden has 6000 in an account with an interest rate of 5% compounded annually. We want to find how much he will have in 5 years.

1. **State the problem:** Emmett deposited 90 in an account earning 5% interest compounded annually. We want to find how much he will have in 2 years, rounded to the nearest cent.

1. Let's start with **Simple Interest**. The problem is to find the interest earned on a principal amount over time. 2. The formula for simple interest is:

1. **State the problem:** We need to find the size of payments deposited at the beginning of each 6-month period in an account with 9.6% annual interest compounded semiannually, so

1. **State the problem:** We want to find the future value of quarterly rent payments of 6800 each, deposited in an account with 7% annual interest compounded quarterly, over one y