LO 45. Calculating the Number of Periodsin each of the following:Solve for the unknown number of yearsPresent ValueYearsInterest RateFuture Value241958%%248732,10547,800113,50010326,50038,65015213,380

Years = ln(Future value / Present value) / ln(1 + Rate) 1) Years = ln($873 / $195) / ln 1.08 = 19.48…

Calculating the Number of Periods Solve for the unknown number of years in each of the following: Present Value Years Interest Rate Future Value $ 195 8% $ 873 2,105 11 3,500 326,500 47,800 10 38,650 15 213,380

Calculating the Number of Periods Solve for the unknown number of years in each of the following: Present Value Years Interest Rate Future Value $ 195 8% $ 873 2,105 11 3,500 326,500 47,800 10 38,650 15 213,380

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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Question

LO 4
5. Calculating the Number of Periods
in each of the following:
Solve for the unknown number of years
Present Value
Years
Interest Rate
Future Value
24
195
8%
%24
873
2,105
47,800
11
3,500
10
326,500
38,650
15
213,380

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