First City Bank pays 7 percent simple interest on its savings account balances, whereas Second...
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First City Bank pays 7 percent simple interest on its savings account balances, whereas Second City Bank pays 7 percent interest compounded annually. If you made a deposit of $14,000 in each bank, how much more money would you earn from your Second City Bank account at the end of 12 years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Difference For each of the following, compute the future value: (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Years Future Value Interest Rate 12 % 10 Present Value $ 2,950 8,853 93,305 231,382 23 10 17 5 33 3 3 For each of the following, compute the present value: (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Present Value Years 12 4 Interest Rate Future Value 4 %$ 18,528 9 42,717 12 802,382 11 659,816 16 21
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