Please see the attached file for the fully formatted problems.
1.21) Geometric Series- Intro to Finance
I=1 1.12 * 2825.11
TOPIC: TIME VALUE OF MONEY INTRO TO FINANCE
Suppose you put$250 at the beginning of every month into savings that credits interest at the annual rate of 6% per annum, but compounds it monthly. Find the amount in this account after 25 years.
Adana Corporation is interested in buying a building for $500,000 in cash or it may pay for it in 50 monthly installments of $12,000 each. If the cost of capital for Adana's is 9%, which method should it use?
? Installment- show work for answer
Akron Corporation has borrowed 1 million from Canton Bank with the understanding that Akron will pay the loan back in 12 monthly installments of $90,000 each. Find the annual rate of interest charged by the bank.
Complete, Neat and Step-by-step Solutions are provided in the attached file.