You have made an investment that pays you 2000 at the end


1) What is the effective interest rate per payment, for payments that occur once every six months, when the interest rate is an annual 20% that is compounded weekly?

2) You have made an investment that pays you $2,000 at the end of the first year, and then decreases by 9% each year for 4 more years (5years total). What is the FUTURE worth of this investment? (interest rate= 9%).

3) You receive a $1,100 cash flow at Present which will repeat itself every THREE years to infinity. Assuming an annual interest rate of 10%, what would be the Capitalized Equivalent (CE)?

4) You took a $5,000 48-month car loan with 10% nominal annual interest rate. How much money do you still owe after the 23rd payment? (Assume monthly compounding on your interest rate and equal monthly payment).

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Basic Statistics: You have made an investment that pays you 2000 at the end
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