Asked by Victoria Grose on Jul 15, 2024
Verified
What will be the maturity value in 15 months of a $4,500 loan at a simple interest rate of 11.9%?
Maturity Value
The amount payable to an investor at the end of a fixed term investment, including the principal and any accrued interest.
Simple Interest Rate
The interest rate applied to the principal amount only, without compounding over a period.
- Understand the calculation of maturity values and payments for fixed-term loans or deposits at given interest rates.
Verified Answer
JH
Learning Objectives
- Understand the calculation of maturity values and payments for fixed-term loans or deposits at given interest rates.