An A&E firm planning for a future expansion deposited $44,000 each year for 5 years into a sinking (investment) fund that was to pay an unknown rate of return. If the account had a total of $457,000 immediately after the fifth deposit, what rate of return did the company make on these deposits? The rate of return that the company made was | ]%.
An A&E firm planning for a future expansion deposited $44,000 each year for 5 years into a sinking (investment) fund that was to pay an unknown rate of return. If the account had a total of $457,000 immediately after the fifth deposit, what rate of return did the company make on these deposits? The rate of return that the company made was | ]%.
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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![An A&E firm planning for a future expansion deposited $44,000 each year for 5 years into a sinking (investment) fund that was
to pay an unknown rate of return. If the account had a total of $457,000 immediately after the fifth deposit, what rate of return
did the company make on these deposits?
The rate of return that the company made was |
]%.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fd53de5e4-cf7a-4795-870f-979ce171e2a1%2F9dbd188c-2cd7-458d-be05-1e264a48e6e6%2Fy5a9fc.png&w=3840&q=75)
Transcribed Image Text:An A&E firm planning for a future expansion deposited $44,000 each year for 5 years into a sinking (investment) fund that was
to pay an unknown rate of return. If the account had a total of $457,000 immediately after the fifth deposit, what rate of return
did the company make on these deposits?
The rate of return that the company made was |
]%.
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