1. At the end of two (2) years, a savings account has a balance of $1,172.60 and he interest rate is compounded monthly at 3.2%. What was the original amount that was deposited two years ago?
2. $100,000 is invested in a 6.5% interest-bearing certificate compounded semi-annually. Find the amount of money in the account at 0, 4, 8 and 10 years.
3. $2,000 is invested in my new loan program at interest rate (r). I compound continuously and the funds are grown to $2,983.65 in 5 years. What was the interest rate (r) used? (Hint - use ln)
4. Looking at Problem 3, please determine:
(a) What will the balance be in ten (10) years?
(b) How long will it take to double the funds (to $4,000) at the interest rate you calculated above?