.Find the present worth of $1200 in year 1 and amounts increasing by 5% per year through year 6. Use an interest rate of 20% per year Pg i = 20% Year 1200 1260 1323 1389 15 14586 15315 g =5%
.Find the present worth of $1200 in year 1 and amounts increasing by 5% per year through year 6. Use an interest rate of 20% per year Pg i = 20% Year 1200 1260 1323 1389 15 14586 15315 g =5%
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:Find the present worth of $1200 in year 1 and amounts increasing by 5% per year through year 6. Use an interest
rate of 20% per year
i= 20%
2.
6 Year
1200
1260
1323
1389 15
1458.6
1531 5
g=5%
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