at 070 Compoundedrquau d. $14,000 each quarter for 4 years at 12% compounded monthly.
at 070 Compoundedrquau d. $14,000 each quarter for 4 years at 12% compounded monthly.
Advanced Engineering Mathematics
10th Edition
ISBN:9780470458365
Author:Erwin Kreyszig
Publisher:Erwin Kreyszig
Chapter2: Second-order Linear Odes
Section: Chapter Questions
Problem 1RQ
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Question
The answer is NOT 156006

Transcribed Image Text:D.
ompo
d.
$14,000 each quarter for 4 years at 12% compounded monthly.

Transcribed Image Text:IMuniny.
5. What is the present value of the following series of prospective payments?
a.
00 a month
Expert Solution

Step 1
The present value and future value of a certain amount of deposit are evaluated using the formula for compound interest. In this formula, the present value is considered the principal value, and the future value is considered the total amount. When the rate of interest is compounded times over a period of years, then,
.
This formula implies the following:
The future and value and rate of interest are given.
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