Answer Happy

Read the 'Mini-Case' below which presents a real-world scenario
for the application of financial mathematics concepts. Complete the
calculations indicated in each subsequent part. For each
calculation/part, be sure to show your work (the values used to
obtain your answer along with any relevant timelines) and a final
statement. Be sure your work
is clear and professional throughout!
Mini-Case
Jagmeet is hoping to start a non-profit organization to help
families with critically ill children pay for the travel and
accommodation costs associated with seeking medical care outside of
the Greater Sudbury Area. As a graduate of of the General Business
program at Cambrian College, he applied for and received a large
grant. During the planning phase of his venture, he
invested all of this grant money
at {A} compounded {B}.
After two years of compound interest, the invested grant money
accumulated to {C}. Conveniently, this was
the exact amount needed to fund his non-profit, and to
begin helping the community.
PART A
What was the original grant amount invested?
PART B
What rate, compounded annually, would have resulted in the same
accumulated value {C}?
PART C
Using your answer from PART A, how long
(in months) would it have taken for Jagmeet's grant to accumulate
to {D} if he did not use/withdraw any of
the funds? Assume the same interest rate
of {A} compounded {B} throughout
this period.
PART D
If Jagmeet had invested the grant money (calculated
in PART A) in
a different local bank, it would have
accumulated
to {E} in {F} months
instead of in 2 years (24 months). What is the interest rate
compounded {G} charged by
the different local bank?
PART E
Using your answer from PART A, and
assuming no withdrawals or deposits occur, how much would Jagmeet
have after two years if the investment
earned {A} compounded {B} for
the first year,
and {H} compounded {I} for
the second year?
4.27 % Woo仰但冊們叫母 {A} } {C} {D}s E} $ {F} G} } {} monthly 249,427.00 267,982.00 260,538.00 24 months quarterly 5.77 % semi-annually