£6000 is deposited at a nominal rate of interest of 3.5% per annum, calculate the number of years that deposit has been doubled if interest is compound (i) semiannually, (ii) monthly, and (iii) continuously. (keep two decimal places)(b) The net cash flow for a project is given as follows: Year 0 1 2 3 4 Project A -10,000 -3,000 4,000 6,000 8,000 Calculate the IRR. State the conditions for this project to be profitable.
£6000 is deposited at a nominal rate of interest of 3.5% per annum, calculate the number of years that deposit has been doubled if interest is compound (i) semiannually, (ii) monthly, and (iii) continuously. (keep two decimal places)(b) The net cash flow for a project is given as follows: Year 0 1 2 3 4 Project A -10,000 -3,000 4,000 6,000 8,000 Calculate the IRR. State the conditions for this project to be profitable.
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
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£6000 is deposited at a nominal rate of interest of 3.5% per annum, calculate the number of years that deposit has been doubled if interest is compound (i) semiannually, (ii) monthly, and (iii) continuously. (keep two decimal places)(b) The net cash flow for a project is given as follows: Year 0 1 2 3 4 Project A -10,000 -3,000 4,000 6,000 8,000 Calculate the
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