Asked by Raquel Placito-Tovar on May 01, 2024
Verified
$12,800 was invested in a 237-day term deposit earning 3.75%. What was its maturity value?
Term Deposit
A banking term for a fixed-term investment where money is deposited at an agreed interest rate and cannot be withdrawn until the term has expired without incurring a penalty.
Maturity Value
The total amount that will be paid to an investor at the end of a bond's term or upon maturity of an investment.
- Determine the maturity value of investments and loans, including term deposits and overdue invoices.
- Understand and apply the concept of simple interest to various financial scenarios.
Verified Answer
ZK
Learning Objectives
- Determine the maturity value of investments and loans, including term deposits and overdue invoices.
- Understand and apply the concept of simple interest to various financial scenarios.