SOCIOL 182 Lecture Notes - Lecture 9: Prepayment Of Loan, United States Treasury Security, Savings Account
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You are a freshman in high school reviewing your options for tuition at the state university. ,000 per year now and is expected to grow by 3. 0% per year for the foreseeable future. What will tuition be in 4 years when you enroll ?,000x1. 03^4=10,129. 58 (n=4,r=3,pmt=0,pv=-9000, pv?) You currently have ,000 in a savings account which pays 0. 75% per month. 75,pmt = 0, n= 72 (6 x 12), fv = ,712. 55 or (pv=1,000x1. 0075^72=1,712. 55). How long will it take for ,628. 12 invested at 4. 0% p. a. today to grow to million?pv = - 493,628. 12, r = 4,fv = 1,000,000, pmt = 0, n = 18 years. You bought a savings bond with a maturity value, in 10 years, of ,000. If you paid for this bond, what annual rate of interest are you earning? (fv = 1,000; pv = -500; n = 10; pmt = 0, r = 7. 18%). You just won the grand prize in the state lottery.
