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The proceeds of a $9,000 8-year promissory note eaming 5% compounded semi-annually were $10,474. How many years before maturity date was the note sold if the discounted rate was 7.2% compounded annually. 4.5 years 7.5 years 5.5 years 6.5 years 3.5 years

The proceeds of a $9,000 8-year promissory note eaming 5% compounded semi-annually were $10,474. How many years before maturity date was the note sold if the discounted rate was 7.2% compounded annually. 4.5 years 7.5 years 5.5 years 6.5 years 3.5 years

Essentials Of Investments
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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The proceeds of a $9,000 8-year promissory note eaming 5% compounded semi-annually were $10,474. How many years before maturity date was the note sold if the discounted rate was 7.2% compounded annually. 4.5 years 7.5 years 5.5 years 6.5 years 3.5 years
Transcribed Image Text:The proceeds of a $9,000 8-year promissory note eaming 5% compounded semi-annually were $10,474. How many years before maturity date was the note sold if the discounted rate was 7.2% compounded annually. 4.5 years 7.5 years 5.5 years 6.5 years 3.5 years
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