help with couple of math problems?
1) Saving for Repairs In May 2005, Bath Community Schools asked voters to approve the renewal of a building and site capital projects sinking fund. If the sinking fund is to generate 1 million dollars over 4 years in an account that pays 13% compounded quarterly, how much should the school district deposit into the account each quarter?
2) Corporate Bonds A bond has a face amount of 1000 dollars and matures in 15 years. The nominal interest rate is 11%.
(a) What is the price of the bond that will yield an effective interest rate of 10%?
(b) What is the price of the bond to yield an effective interest rate of 12%?
3) A corporation may obtain a machine either by leasing it for 5 years (the useful life) at an annual rent of $2000 or by purchasing the machine for $8000. If the corporation can borrow money at 8% per annum, which alternative is preferable?
4) After making minimum payments for 3 years on a 30-year home loan, a couple decide to pay an additional $150 per month toward the principal. The original loan amount was $300000 with an annual interest rate of 10% compounded monthly. By how many months will the term of this loan be reduced with this additional monthly payment?
Carry out all calculations exactly, round to the nearest integer the final answer only.
- Anonymous1 decade agoBest Answer
You might get more answers if you divide this up one question at a time. Few people have the time online to work all of these and type them out.