Question 1: How much money was deposited each year for 5 years if the account is now worth $100,000 and the last deposit was made 10 years ago? Assume the account earned interest at 7% per year.
Question 2: What nominal interest rate per year is equivalent to an effective 16% per year compounded semiannually?
Question 3: Deposits of $100 per week are made into a savings account that pays interest of 6% per year, compounded quarterly. Identify the payment and compounding periods.
Question 4: A company that specializes in online security software development wants to have $85 million available in 3 years to pay stock dividends. How much money must the company set aside now in an account that earns interest at a rate of 8% per year, compounded quarterly?
Question 5: What effective interest rate per year, compounded continuously, is equivalent to a nominal rate of 13% per year?