Ex. You anticipate a tuition liability of $40,000 per year at the end of 3 and 4 years from now. What are two ways of providing for it that are immune to interest rate risk? The current market interest rate is 8%.

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter19: Lease And Intermediate-term Financing
Section: Chapter Questions
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Ex. You anticipate a tuition liability of $40,000 per year at the end of 3 and 4 years from now. What are two
ways of providing for it that are immune to interest rate risk? The current market interest rate is 8%.
Transcribed Image Text:question 9 Ex. You anticipate a tuition liability of $40,000 per year at the end of 3 and 4 years from now. What are two ways of providing for it that are immune to interest rate risk? The current market interest rate is 8%.
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