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Problem set 2 mba 503
Essay specific features
Written by:
Christopher O
Date added:
October 1, 2012
Level:
University
Grade:
A
No of pages / words:
4 / 1120
Was viewed:
2185 times
Rating of current essay:
Essay content:
With the certificate of deposit, you make an initial investment at the beginning of the first year.
a. What single payment could be made at the beginning of the first year to achieve this objective?
Appendix b
PV=FV X PVif(8%, 10 periods)
=28,974 x .463 = 13,415
b. What amount could you pay at the end of each year annually for 10 years to achieve this same objective? Apendix C
A=FVA/FV(IFA) = 28,974/14...
displayed 300 characters
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With the certificate of deposit, you make an initial investment at the beginning of the first year.
a. What single payment could be made at the beginning of the first year to achieve this objective?
Appendix b
PV=FV X PVif(8%, 10 periods)
=28,974 x .463 = 13,415
b. What amount could you pay at the end of each year annually for 10 years to achieve this same objective? Apendix C
A=FVA/FV(IFA) = 28,974/14...
displayed 300 characters
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