Question 8 Find the value of P for which the inflows will equal the outflows. Find the effective rate first. Rate pycd 8% Inflows Year Outflows 0 -P 12348 6 9 10 -2P -4P -8P -16P $3,786 O $4,376 O $5,172 O $5,246 $24,000 $30,000 $36,000 $42,000 $48,000 $54,000

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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Question 8
Find the value of P for which the inflows will equal the outflows. Find the effective rate first.
Rate
pycd
8%
Inflows
Year Outflows
0 -P
1
2
3
4
5
6
7
8
9
10
-2P
-4P
-8P
-16P
O $3,786
O $4,376
O $5,172
O $5,246
$24,000
$30,000
$36,000
$42,000
$48,000
$54,000
Transcribed Image Text:Question 8 Find the value of P for which the inflows will equal the outflows. Find the effective rate first. Rate pycd 8% Inflows Year Outflows 0 -P 1 2 3 4 5 6 7 8 9 10 -2P -4P -8P -16P O $3,786 O $4,376 O $5,172 O $5,246 $24,000 $30,000 $36,000 $42,000 $48,000 $54,000
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