Which interest gives the lowest present value? (Compounding Monthly) a. 5,000 monthly, nominal interest of 8%, 5 years b. 15,000 quarterly, effective interest per period of 2.30%, 5 years c. 5,000 monthly, interest rate per period of 0.8%, 5 years
Which interest gives the lowest present value? (Compounding Monthly) a. 5,000 monthly, nominal interest of 8%, 5 years b. 15,000 quarterly, effective interest per period of 2.30%, 5 years c. 5,000 monthly, interest rate per period of 0.8%, 5 years
Chapter4: Time Value Of Money
Section: Chapter Questions
Problem 5PROB
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Which interest gives the lowest present value? (Compounding Monthly)
a. 5,000 monthly, nominal interest of 8%, 5 years
b. 15,000 quarterly, effective interest per period of 2.30%, 5 years
c. 5,000 monthly, interest rate per period of 0.8%, 5 years
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