Two years ago, Christopher invested $1,530.00. He has earned and will earn compound interest of 8.06 percent per year. It Charles invests $1,630.00 in 1 year from today and earns simple interest, then how much simple interest per year must Charles earn to have the same amount of money in 6 years from today as Christopher will have in 6 years from today? Answer as an annual rate. A rate equal to or greater than 15.52% but less than 16.66% A rate equal to or greater than 56.04% but less than 58.32% A rate equal to or greater than 16.66% but less than 36.04% O A rate less than 15.52% or a rate greater than 58.32% O A rate equal to or greater than 36.04% but less than 56.04%
Two years ago, Christopher invested $1,530.00. He has earned and will earn compound interest of 8.06 percent per year. It Charles invests $1,630.00 in 1 year from today and earns simple interest, then how much simple interest per year must Charles earn to have the same amount of money in 6 years from today as Christopher will have in 6 years from today? Answer as an annual rate. A rate equal to or greater than 15.52% but less than 16.66% A rate equal to or greater than 56.04% but less than 58.32% A rate equal to or greater than 16.66% but less than 36.04% O A rate less than 15.52% or a rate greater than 58.32% O A rate equal to or greater than 36.04% but less than 56.04%
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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Transcribed Image Text:Two years ago, Christopher invested $1,530.00. He has earned and will earn compound interest of 8.06 percent per year. If
Charles invests $1,630.00 in 1 year from today and earns simple interest, then how much simple interest per year must Charles
earn to have the same amount of money in 6 years from today as Christopher will have in 6 years from today? Answer as an
annual rate.
A rate equal to or greater than 15.52% but less than 16.66%
A rate equal to or greater than 56.04% but less than 58.32%
A rate equal to or greater than 16.66% but less than 36.04%
A rate less than 15.52% or a rate greater than 58.32%
A rate equal to or greater than 36.04% but less than 56.04%
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