If Karen placed an amount of 9,700 Php in an investment that pays an interest rate of 12%, compounded semi-annually. She wants her money to grow to a total amount of 50,000 Php. What is the rate of interest and initial or principal amount? Then how many times is compounding done in a year?

If Karen placed an amount of 9,700 Php in an investment that pays an interest rate of 12%, compounded semi-annually. She wants her money to grow to a total amount of 50,000 Php. What is the rate of interest and initial or principal amount? Then how many times is compounding done in a year?

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter4: Time Value Of Money

Section: Chapter Questions

Problem 18PROB

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If Karen placed an amount of 9,700 Php in an investment that pays an interest rate of 12%, compounded semi-annually. She wants her money to grow to a total amount of 50,000 Php.

What is the rate of interest and initial or principal amount? Then how many times is compounding done in a year?

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