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# Mathematics - Interest and Loan Repayment

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1.21) Geometric Series- Intro to Finance

10
&#8721; 500
I=1 1.12 * 2825.11

TOPIC: TIME VALUE OF MONEY INTRO TO FINANCE

2.34)
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.
*\$174,114.73

2.48)
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

2.50)
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.
* 14.54%