MAT 115 WEEK 7 QUIZ

MAT 115 WEEK 7 QUIZ
1	 Amount of                          Rate        Number      Type
Each Deposit    Deposited    per Year    of Years    of Annuity
  10000          annually       10            8          ordinary
a.   $94,871.70
b.   $114,358.90
c.   $144,865.60
d.   $125,794.80
	
2.	 Amount of                          Rate        Number      Type
Each Deposit    Deposited    per Year    of Years    of Annuity
   $8300            monthly       18%            2             due
a.   $224,100.00
b.   $241,223.07
c.   $220,402.38
d.   $237,658.22
	
3.	At the end of each year, Lang and Sally Choate will deposit $1400 into an IRA. Find the amount they will have accumulated in 20 years if funds earn 6% per year.
a.   $46,292.33
b.   $54,589.82
c.   $55,989.82
d.   $51,499.83
	
4.	Every 6 months, Reuben Lopez puts $420 into an account paying 10% compounded semiannually. Find the account balance after 15 years.
a.   $29,299.53
b.   $27,904.32
c.   $31,500.00
d.   $29,315.00
	
	Find the present value of the following annuities.	0
5.	Amount per    Payment at     Number     Interest
  Payment      End of Each    of Years      Rate       Compounded
    $2200            year               6           5%           annually
a.   $9267.19
b.   $12,730.01
c.   $11,166.52
d.   $10,530.01
	
6.	Amount per    Payment at     Number     Interest
  Payment      End of Each    of Years      Rate       Compounded
     $350           month              4          12%           monthly
a.   $21,642.19
b.   $13,155.83
c.   $13,290.89
d.   $21,427.91
	
7.	Amount per    Payment at     Number     Interest
  Payment      End of Each    of Years      Rate       Compounded
   $6225           quarter             6           8%          quarterly
a.   $117,739.21
b.   $124,689.30
c.   $65,541.53
d.   $46,912.10
	
8.	Valdez Construction signed a note with a payment of $5200 per quarter for 5 years. Find the amount they must set aside today to satisfy this capital requirement in an account earning 8% compounded quarterly.
a.   $30,506.32
b.   $126,346.32
c.   $51,054.38
d.   $85,027.44
	
9.	An insurance settlement includes an $840 monthly payment for 3 years. Find the amount that must be set aside today in an account earning 12% per year compounded monthly to satisfy this financial obligation.
a.   $36,184.58
b.   $25,031.59
c.   $25,290.31
d.   $36,546.43
	
	Find the amount of each payment into a sinking fund for the following.	0
10.	Amount     Years Until     Interest       Interest
Needed        Needed          Rate      Compounded
$58,000           2                6%      semiannually
a.   $13,863.74
b.   $8620.68
c.   $28,155.52
d.   $13,258.22
	
11.	Amount     Years Until     Interest       Interest
Needed        Needed          Rate      Compounded
$115,500         9                4%         quarterly
a.   $10,913.60
b.   $2488.68
c.   $2680.76
d.   $12,328.47
	
12.	Howmet Corporation needs $200,000 in 5 years. Find the required quarterly payment into a sinking fund if funds are invested in an account earning 10% per year compounded quarterly.
a.   $38,050.00
b.   $6716.00
c.   $32,760.00
d.   $7830.00
	
13.	Chi Tang owes his mother $45,000 for the purchase of some property. Find the required monthly payment into a sinking fund if Tang pays off the loan in 3 years and the interest rate is 12% per year compounded monthly.
a.   $2994.75
b.   $1044.45
c.   $1333.58
d.   $3170.70
	
14.	Leola Hain purchases 220 shares of Circuit City stock at $42.75 per share. Find the annual dividend if the dividend per share is $.25.
a.   $43
b.   $55
c.   $9460
d.   $9405
	
15.	Nancy Kelge purchases 44 bonds that mature in 2024 at 96.2. They have a coupon rate of 7.375%. Commissions are $10 per bond. Find the effective interest rate rounded to the nearest tenth.
a.   7.7%
b.   7.3%
c.   7.6%
d.   7.4%