Questions from Business Mathematics

Q: Using the information given in Problem 16, how much would have

Using the information given in Problem 16, how much would have to be initially invested in each GIC to have a maturity value of $20,000? Data from Problem 16: On the same date that the CIBC advertise...

Q: How much will you need 20 years from now to have the

How much will you need 20 years from now to have the purchasing power of $100 today if the (compound annual) rate of inflation during the period is: 1. 2%? 2. 3%? 3. 4%?

Q: Eric invested $22,000 in a five-year regular

Eric invested $22,000 in a five-year regular-interest GIC earning 4.5% payable monthly. What is each monthly interest payment?

Q: How much money was needed 15 years ago to have the purchasing

How much money was needed 15 years ago to have the purchasing power of $1000 today if the (compound annual) rate of inflation has been: 1. 2%? 2. 4%?

Q: If the inflation rate for the next 10 years is 3.

If the inflation rate for the next 10 years is 3.5% per year, what hourly rate of pay in 10 years will be equivalent to $15/hour today?

Q: Venezuela’s political crisis during the late 2010s resulted in hyperinflation. By

Venezuela’s political crisis during the late 2010s resulted in hyperinflation. By November of 2018, the annual inflation rate stood at 1,300,000%! Prices were doubling every 19 days on average. The go...

Q: Mr. and Mrs. Rasuli would like to retire in 15

Mr. and Mrs. Rasuli would like to retire in 15 years at an annual income level that would be equivalent to $35,000 today. What is their retirement income goal if, in the meantime, the annual rate of i...

Q: According to the 2016 census Warman, Saskatchewan, was the fastest

According to the 2016 census Warman, Saskatchewan, was the fastest growing municipality in Canada, with a population of 11,020 in 2016. If the population grew 9.17% per year from 2011 to 2016, what wa...

Q: Allison’s regular hourly rate of pay is $17.70.

Allison’s regular hourly rate of pay is $17.70. She is paid time and a half for all work on weekends and for any time over 7.5 hours on weekdays. Calculate her gross earnings for a week in which she w...

Q: A $1000 face value strip bond has 22 years remaining until

A $1000 face value strip bond has 22 years remaining until maturity. What is its price if the market rate of return on such bonds is 2.5% compounded semiannually?