Suppose Zarma Corporation puts $10,000 into a Certificate of Deposit (CD) with an APR of 3%....

Suppose Zarma Corporation puts $10,000 into a Certificate of Deposit (CD) with an APR of 3%. How much will it withdraw after 3 years?

a. N =

I =

PV =

PMT =

FV =

P/Y =

b. Allocate the FV between:

Total Interest
Simple Interest
Compound Interest

Solutions

Expert Solution

N=3
I=3
PMT=0
PV=-10000
P/Y=1
CPT FV=10927.2700

Total interest=927.2700

Simple interest=900

Compound interest=27.2700

jeff jeffy answered 1 year ago

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