User Account

All Pages

What is the dollar amount of interest

Assignment Help Macroeconomics
Reference no: EM131502911

You deposit $500 in a bank in a 1-year time deposit. With a time deposit you cannot withdraw funds from the account until the end of the term. Interest in the account is compounded semiannually (m = 2) at the annual nominal rate of 8%. In the final compounding interval, what is the dollar amount of interest that is earned from earlier interest (rather than off of the original principal)?

In the final compounding interval, what is the dollar amount of interest that is earned from earlier interest?

Reference no: EM131502911

Questions Cloud

Current yield and capital gains yield : If interest rates remain unchanged, what is the expected capital gains yield over the next year for Bond D?
How much cash flow would hospital generate from this sale : How much cash flow would the hospital generate from this sale?
Firm might experience due to a cyber-attack : Describe the types of loss that a firm might experience due to a cyber-attack.
Earners manage risk of loss of income due to disability : What programs and products are available to help income earners manage the risk of loss of income due to disability?
What is the dollar amount of interest : In the final compounding interval, what is the dollar amount of interest that is earned from earlier interest?
Reasons to believe that average life expectancy : What are the reasons to believe that average life expectancy in the US will continue to increase, and what are the reasons to believe that it will not?
Macroeconomic environment : This section should focus on external factors that can cause markets to move, and how and why those factors influence performance.
What is the amount to use as the annual sales : What is the amount to use as the annual sales figure when evaluating this project?
What is the horizon value in year four : The Adam Company is all-equity financed and has the following free cash flows in years 1-4: $3 million ($3M); what is the horizon value in year 4 of Macadam Co?

Reviews

Write a Review

Macroeconomics Questions & Answers

  Inflation targeting be a good policy

Why might it be difficult for the Fed to formally adopt inflation targeting?  Would inflation targeting be a good policy for the Fed in the present economic environment

  In using the taylor rule

In using the Taylor Rule as a guideline for monetary policy, what are the pros and cons of using forecasted values of inflation and output rather than observed values of these variables?

  Describe the present economic crisis situation in europe

Describe the present economic crisis situation in Europe.  Why has it been so difficult for the Europeans to find a solution to this problem?   Comment on what implications the crisis may have for the rest of the world if Europeans are not able to ag..

  Long-term federal government budget problems

Question:. Explain why there are long-term Federal government budget problems. Explain why the base-line forecast of the CBO is misleading.

  Derive and compare demand curve

Question based on Derive and compare demand curve,  Derive Ambrose's demand function for peanuts. How does it compare with Johnny's demand curve for peanuts?

  Problem based on utility function

Problem based on  Utility Function - Problem,  Answer and explain the following using a diagram which is completely labeled.

  Laffer curve : tax rate and tax revenue

Question based on Laffer Curve : Tax Rate and Tax Revenue,  Do raising tax rates necessarily raise tax revenue? What factors affect how tax revenue changes when tax rates change?

  Problem - income elasticity of demand

Problem - Income Elasticity of Demand,  Interpret the following Income Elasticities of Demand (YED) values for the following and state if the good is normal or inferior; YED= +0.5 and YED= -2.5

  Positive balance of payment

Question Positive Balance of Payment: "Things will look good for the US if we could just get to where we are consistently running a positive Balance of Payments."

  Effect of recession on the investment curve

Comment on the effect of a recession on the investment curve (only) and on the level of savings, investment, and the equilibrium real interest rate in the financial crisis that hits United States first starting in fall 2007.

  Affect of falling domestic investment on trade surplus and

How will a fall in domestic investment affect the trade surplus and net capital outflows in the domestic economy, the trade deficit and capital inflows in the rest of the world.

  Crises in the banking sector and bank run

Banking crises crisis decreases depositors' confidence in the banking system. What would be the effect of a rumor about a banking crisis on checkable deposits in such a country?

Free Assignment Quote

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

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd