The real worth of P5000 investment is calculated at P6,445.71 five years from now, What is the nominal earning rate of the investment compounded monthly if the annual inflation during that period is 5% pa? Select the correct response: 10.47% pa cmpd monthly 10.08% pa cmpd monthly 10.00% pa cmpd monthly 9.65% pa cmpd monthly O .10.15% pa cmpd monthly

EBK CFIN
6th Edition
ISBN:9781337671743
Author:BESLEY
Publisher:BESLEY
Chapter4: Time Value Of Money
Section: Chapter Questions
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The real worth of P5000 investment is
calculated at P6,445.71 five years from now,
What is the nominal earning rate of the
investment compounded monthly if the annual
inflation during that period is 5% pa?
Select the correct response.:
10.47% pa cmpd monthly
10.08% pa cmpd monthly
O 10.00% pa cmpd monthly
O.9.65% pa cmpd monthly
.10..15% pa cmpd monthly
Transcribed Image Text:The real worth of P5000 investment is calculated at P6,445.71 five years from now, What is the nominal earning rate of the investment compounded monthly if the annual inflation during that period is 5% pa? Select the correct response.: 10.47% pa cmpd monthly 10.08% pa cmpd monthly O 10.00% pa cmpd monthly O.9.65% pa cmpd monthly .10..15% pa cmpd monthly
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