In order to raise fund worth Php10, 000,000, a man started depositing Php50, 000 at the end of every month in a bank that offers interest rate of 16% compounded monthly. After two years of depositing, the mian felt he could hardly sustain his monthly deposit so he reduced it to Php20, 000. With the new deposit, how much more time is added to the original time it would have taken him to raise the target amount if only he has maintairied his original deposit?
In order to raise fund worth Php10, 000,000, a man started depositing Php50, 000 at the end of every month in a bank that offers interest rate of 16% compounded monthly. After two years of depositing, the mian felt he could hardly sustain his monthly deposit so he reduced it to Php20, 000. With the new deposit, how much more time is added to the original time it would have taken him to raise the target amount if only he has maintairied his original deposit?
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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