1A) CAM Precision Sdn. Bhd. is an advanced manufacturing company listed in Top 100 hi-tech global ranking. This company shows a potential investment with interest return rate of8% per year. Your family plan to invest RM (200 x 1,000) + 15,000. Apply the simple interestand compound interest approach to calculate the total investment after FOUR (4) years.Assume that your family do not withdraw the money earned at the end of each year, butinstead let it accumulate.1b) Based on the compound interest approach and its result from Q1(a), after the 4th year,the company increase its return rate to 10% per year compounded every 6 months. Applythe effective interest rate per year to determine the total investment at the end ofEIGHT(8) year

Investment RM(200*1,000)+15000 Interest Rate 8% Time Period 4 1b) Interest…

CAM Precision Sdn. Bhd. is an advanced manufacturing company listed in Top 100 hi- n global ranking. This company shows a potential investment with interest return rate of per year. Your family plan to invest RM (200 x 1,000) + 15,000. Apply the simple interest I compound interest approach to calculate the total investment after FOUR (4) years. ume that your family do not withdraw the money earned at the end of each year, but ead let it accumulate. Based on the compound interest approach and its result from Q1(a), after the 4th year, company increase its return rate to 10% per year compounded every 6 months. Apply effective interest rate per year to determine the total investment at the end of HT(8) year

CAM Precision Sdn. Bhd. is an advanced manufacturing company listed in Top 100 hi- n global ranking. This company shows a potential investment with interest return rate of per year. Your family plan to invest RM (200 x 1,000) + 15,000. Apply the simple interest I compound interest approach to calculate the total investment after FOUR (4) years. ume that your family do not withdraw the money earned at the end of each year, but ead let it accumulate. Based on the compound interest approach and its result from Q1(a), after the 4th year, company increase its return rate to 10% per year compounded every 6 months. Apply effective interest rate per year to determine the total investment at the end of HT(8) year

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter5: The Time Value Of Money

Section: Chapter Questions

Problem 22P

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