Compute the interest rate on the loan lent compare the bank

Assignment Help Finance Basics
Reference no: EM1312402

Compute the interest rate on the loan lent compare the Bank deposit the interest earned

A friend has \$4800 that has been saved from her part-time job, plus any interest earned on it, in six months and has asked for your help in deciding whether to put the money in a bank savings account at 5.5% interest or to lend it to Judy. Jury has promises to replay \$5100 after 6 months.

1. Calculate the interest rate earned on the savings account for six months

2. Calculate the rate of return if the money is lent to Judy. Round your percentage answer to two decimals

How long will you wait from now

You expect to receive \$11,000 at graduation in two years. You plan on investing at 12 percent until you have \$97,000. How long will you wait from now? (Do not round the inte

Find how much the bank should receive for selling this call

The risk-free rate for 45 days is 11.28 percent. All rates are continuously compounded. Use the Black model to determine how much the bank should receive for selling this ca

Dates when the floating-rate payments are made

A bank composes a 2-year, zero-cost collar for a \$20 million portfolio offloating-rate loans by buying the floor and selling the cap. The floor strike is2.5%, the cap strike

Explain the incentives and benefits

It is important to provide the necessary supporting details to explain the incentives and benefits being offered. The more details you provide, the better educated Shannon w

Discussion on the marketing pricing objectives and product

This activity is part of your marketing plan. Prepare a 6 page report, addressing the following: 1. Determine and discuss a pricing strategy (Penetration or Skimming). 2

How much can they withdraw on his 18th birthday

Students parents established a college savings plan for the student when he was born. They deposited \$50 into the account on the last day of each month. The account has earn

Primary stakeholders for most npo

Who are the primary stakeholders for most NPOs? Do you think accountability and interperiod equity are more relevant to NPOs than to for-profit organizations? Explain your r

How were banks affected by the credit risks

What were some of the credit risks that arose from the 2008 financial crisis? How were banks affected by the credit risks? How were individuals and businesses affected by th