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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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7. If you deposit P16,000 per year for 12 years (each deposit is made at the end of
each year) in an account that pays an annual interest rate of 14%. This best illustrates
what kind of payment?
Single Payment
Annuity Due
Ordinary Annuty
Mixed Stream
Drouiouc
Dlout
Transcribed Image Text:7. If you deposit P16,000 per year for 12 years (each deposit is made at the end of each year) in an account that pays an annual interest rate of 14%. This best illustrates what kind of payment? Single Payment Annuity Due Ordinary Annuty Mixed Stream Drouiouc Dlout
6. How much should be invested today if the interest rate per annum is 8%
compounded yearly so that an amount of P250,000 is expected after 6 years? Round
off you final answer to 2 decimal places. No need to add comma (,) for thousands and
above value when you answer but make sure to add the period (.) if there are
decimals. Please see example on how to answer.
(Example 1: For One Thousand Pesos ONLY, you can simply type 1000 --> no comma)
(Example 2: For One Thousand Pesos and Fifty Centavos, you can type 1000.50 -->
with decimal point)
Transcribed Image Text:6. How much should be invested today if the interest rate per annum is 8% compounded yearly so that an amount of P250,000 is expected after 6 years? Round off you final answer to 2 decimal places. No need to add comma (,) for thousands and above value when you answer but make sure to add the period (.) if there are decimals. Please see example on how to answer. (Example 1: For One Thousand Pesos ONLY, you can simply type 1000 --> no comma) (Example 2: For One Thousand Pesos and Fifty Centavos, you can type 1000.50 --> with decimal point)
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