Financial Math Answers

A person wants to buy a life insurance policy that would yield a large enough sum of money to provide semiannual payments for 20 years of $25,000 to surviving members of the family. The payments would begin 6 months from the time of death. It is assumed that interest could be earned on the sum received from the policy at a rate of 8 percent per year compounded semiannually. What amount of insurance should be taken out as to ensure the desired annuity? How much interest will be earned on the policy benefits over the 20 year period?

Given $250,000 today, determine the equivalent series of 24 semiannual payments that could be generated beginning six months from today. Assume interest of 9 percent per year compounded semiannually.

Suppose that 10 years ago you bought a home for $110,000, paying 10% as a down payment, and financing the rest at 9% interest for 30 years.
How much did you pay as a down payment?
How much was your existing loan for?
What is your current monthly payment on your existing mortgage?
How much total interest will you pay over the life of the existing loan?

Jason works at Petco Refinery for $12.50 per hour. He also gets overtime pay (time and a half) for all hours over 40 that he works in a week. If he works holidays, he gets double time for the hours in that day, but they are not counted toward overtime. What would be his gross pay for two weeks?

The present value of a perpetuity, with the first cash flow paid in 4 years time, is equivalent to receiving $100,000 in 15 years time. The perpetuity and the lump sum are of equivalent risk and have a required rate of return of 10%. What is the annual cash flow associated with the perpetuity?

brad invest $1500 in an account paying 3.5% compounded monthly. How much is in the account after 7 months

The production possibilities frontier shows the maximum possible output of a good within a specific economy.

Please select the best answer from the choices provided.

George tallies up the transactions in his check register and comes up with a total balance of $221.57, but his bank statement says that his balance is $203.73. Which of the following are still outstanding?