a) What would be the future value of $18,000 invested now if the money remains deposited for eight years, the annual interest rate is 18 percent, and interest on the investment is compounded semi-annually? b) How would your answer for (a) change if quarterly compounding were used?
a) What would be the future value of $18,000 invested now if the money remains deposited for eight years, the annual interest rate is 18 percent, and interest on the investment is compounded semi-annually? b) How would your answer for (a) change if quarterly compounding were used?
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 7P
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a) What would be the
b) How would your answer for (a) change if quarterly compounding were used?
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