Financial Math Answers

The Smart Treasure Fund was created for Samson after he lost his leg in a battle with pirates. The fund has undertaken to pay him R1 200 000 now. Samson prefers to receive three payments: one three years from now; one twice the size of the first payment six years from now, and one four times the size of the first payment ten years from now. The amount of money to the nearest rand that Samson can expect to receive six years from now if the interest rate applicable is 8,6% per year, compounded quarterly, will be

Three years ago Lilly borrowed R10 000 from Faith on condition that she should pay her back two years from now. She also owes Faith R6 000 payable five years from now. The applicable interest rate for both transactions is 13,75% per year, compounded every six months. After considering her payback schedule, Lilly asks Faith if she can pay her R9 000 now and the rest in four years' time. She agrees on condition that the new agreement will run from now and that an interest rate of 16,28% per year, compounded monthly, will be applicable from now. The amount that Lilly will have to pay Faith four years from now is

An interest rate of 14,90% per year, compounded every 3 months, is equivalent to a weekly compounded interest rate of

Three years ago Lilly borrowed R10 000 from Faith on condition that she should pay her back two years from now. She also owes Faith R6 000 payable five years from now. The applicable interest rate for both transactions is 13,75% per year, compounded every six months. After considering her payback schedule, Lilly asks Faith if she can pay her R9 000 now and the rest in four years' time. She agrees on condition that the new agreement will run from now and that an interest rate of 16,28% per year, compounded monthly, will be applicable from now. The amount that Lilly will have to pay Faith four years from now is

Lindiwe de ides that she would like to buy her daughter, Mbali, a ar when she turns 21 in six years' time. She deposits R6 000 ea h month into an a ount earning 8,94% interest per year, ompounded monthly. The amount that Lindiwe (rounded to the nearest rand) will have available six years from now is [1℄ R432 000. [2℄ R335 896. [3℄ R573 187. [4℄ R568 948

Lindiwe de

ides that she would like to buy her daughter, Mbali, a

ar when she turns 21 in six years' time.

She deposits R6 000 ea

h month into an a

ount earning 8,94% interest per year,

ompounded monthly. The

amount that Lindiwe (rounded to the nearest rand) will have available six years from now is

a nominal interest rate of 19,40% per year, compounded monthly, is equivalent to a continuous compounding rate of

Shiro’s grandfather has just announced that he’s opened a saving account for

Shiro with a deposit of RM10,000. Moreover, he intends to make another nine

similar deposit for the rest nine years at beginning of each year. If the savings

account pays 8 percent interest, determine the amount Shiro accumulated at

the beginning of 10 years.

Analyse the following transactions for Surprise Ltd. using the concept of Accounting Equation comprising of Assets, Liabilities and Equity 1.Commenced business with cash of ₹ 5,00,000. Purchased equipment for cash ₹ 2,00,000. 3. Purchased furniture worth ₹50,000 on credit from IndiMart. 4. Purchased raw materials for ₹25,000 against cash from XYZ Suppliers. 5. Deposited cash of ₹ 1,25,000 in the current account. 6. Sold goods for ₹75,000 and received a cheque against the same