Your favorite uncle wants to give each of his favorite nieces and nephews $30,000 now while he is still alive so he can appreciate the benefit of the gratitude. Your goal is to save the money he gives you so when you get older you'll have money to start a business. What will be the value of your investment if the rate you can earn on your investment is 10% compounded semi annually for 7 years?
Your favorite uncle wants to give each of his favorite nieces and nephews $30,000 now while he is still alive so he can appreciate the benefit of the gratitude. Your goal is to save the money he gives you so when you get older you'll have money to start a business. What will be the value of your investment if the rate you can earn on your investment is 10% compounded semi annually for 7 years?
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 10P
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Your favorite uncle wants to give each of his favorite nieces and nephews $30,000 now while he is still alive so he can appreciate the benefit of the gratitude. Your goal is to save the money he gives you so when you get older you'll have money to start a business. What will be the value of your investment if the rate you can earn on your investment is 10% compounded semi annually for 7 years?
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