Algoe expects to invest $2,500 annually for 15 years to yield an accumulated value of $62,822.50 on the date of the last investment. For this to occur, what rate of interest must Algoe earn? (PV of $1. FV of $1. PVA of $1, and FVA of $1) Note: Use appropriate factor(s) from the tables provided. Round "Table Factor" to 4 decimal places. Future Value Annuity Payment Table Factor Interest Rate %
Algoe expects to invest $2,500 annually for 15 years to yield an accumulated value of $62,822.50 on the date of the last investment. For this to occur, what rate of interest must Algoe earn? (PV of $1. FV of $1. PVA of $1, and FVA of $1) Note: Use appropriate factor(s) from the tables provided. Round "Table Factor" to 4 decimal places. Future Value Annuity Payment Table Factor Interest Rate %
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:Algoe expects to invest $2,500 annually for 15 years to yield an accumulated value of $62,822.50 on the date of the last investment.
For this to occur, what rate of interest must Algoe earn? (PV of $1, FV of $1, PVA of $1, and FVA of $1)
Note: Use appropriate factor(s) from the tables provided. Round "Table Factor" to 4 decimal places.
Future Value
Annuity Payment
Table Factor
Interest Rate
%
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