14. A man made ten annual end-of-year purchases of P1,000 common stock. At the end of 10th year he sold all the stock for P12,000. What interest rate did he obtain on his investment?

Essentials of Economics (MindTap Course List)
8th Edition
ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter19: The Basic Tools Of Finance
Section: Chapter Questions
Problem 1CQQ
icon
Related questions
Question
14. A man made ten annual end-of-year purchases of P1,000 common stock. At the end of
10th year he sold all the stock for P12,000. What interest rate did he obtain on his investment?
Transcribed Image Text:14. A man made ten annual end-of-year purchases of P1,000 common stock. At the end of 10th year he sold all the stock for P12,000. What interest rate did he obtain on his investment?
Expert Solution
steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Present Discounted Value
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Essentials of Economics (MindTap Course List)
Essentials of Economics (MindTap Course List)
Economics
ISBN:
9781337091992
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Brief Principles of Macroeconomics (MindTap Cours…
Brief Principles of Macroeconomics (MindTap Cours…
Economics
ISBN:
9781337091985
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Principles of Economics 2e
Principles of Economics 2e
Economics
ISBN:
9781947172364
Author:
Steven A. Greenlaw; David Shapiro
Publisher:
OpenStax