Does equal payment period match compounding period

Reference no: EM131966214

Question: You deposit equal payments of $1000 in the bank for the next ten years. Assume the payments are made at the beginning of each year. Given you will have $18,000 at the end of ten years with quarterly compounding. What is the effective rate, the nominal rate and the periodic rate of this investment? Does your equal payment period match your compounding period? Please show calculations.

Reference no: EM131966214

Questions Cloud

Policy position-approach to the us tax system : If you were in charge, what would be your policy position--or approach--to the U.S. tax system?

Think about the economic definition of fairness : Think about the economic definition of "fairness" you have learned. According to this definition, is taxation fair?

Government and the constitution of us gave native : The US government and the constitution of US gave Native Americans territories in permanency.

Apply the various quality planning and analysis tools : Apply the various quality planning and analysis tools and techniques covered in subject - require an approval from the subject coordinator regarding

Does equal payment period match compounding period : You deposit equal payments of $1000 in the bank for the next ten years. Assume the payments are made at the beginning of each year. Given you will have $18,000.

Importance of credible threats : Define a decision tree. Explain what is meant by and the importance of credible threats/promises.

What is average cost per procedure under the assumption : What is average cost per procedure (simple arithmetic average) under the assumption that all procedures are roughly equivalent?

Derive the efficient frontier using domestic equities : Derive the efficient frontier using domestic equities, bonds, real estate, international equities, and emerging markets.

Greater degree of income inequality : Why might a less developed country have a greater degree of income inequality?

Reviews

Write a Review

Required(*) Message

Finance Basics Questions & Answers

Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

User Account

All Pages