Assume you make monthly deposits of $3,000 now into an account that pays 12% per year, compounded monthly. If you want to know the total amount after 2 years, the value of interest rate (i) you should use in the F/P factor is: Select one: а. 1% b. 3% C. 12% d. 24%
Assume you make monthly deposits of $3,000 now into an account that pays 12% per year, compounded monthly. If you want to know the total amount after 2 years, the value of interest rate (i) you should use in the F/P factor is: Select one: а. 1% b. 3% C. 12% d. 24%
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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![Assume you make monthly deposits of $3,000 now into an account that pays 12% per year,
compounded monthly. If you want to know the total amount after 2 years, the value of interest
rate (i) you should use in the F/P factor is:
Select one:
a. 1%
b. 3%
с. 12%
d. 24%](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3e585a29-d729-42b3-aa9c-d26eec89591a%2Fa19e7a82-356e-4ef7-9ecf-bb3406789128%2Fwl6ald_processed.png&w=3840&q=75)
Transcribed Image Text:Assume you make monthly deposits of $3,000 now into an account that pays 12% per year,
compounded monthly. If you want to know the total amount after 2 years, the value of interest
rate (i) you should use in the F/P factor is:
Select one:
a. 1%
b. 3%
с. 12%
d. 24%
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