Question
1. How much would you have to invest today to fund two equal payments in years 1 and 2 of $500 each if the interest
1. How much would you have to invest today to fund two equal payments in years 1 and 2 of $500 each if the interest rate is 5% APR (compounded annually)?
| A. | $931.77 |
| B. | $915.38 |
| C. | $928.51 |
| D. | $914.64 |
| E. | $929.71 |
2. How much would you pay today for an annuity that pays $679 each month, starting next month, for 34 months if the interest rates are 3.4% APR compounded monthly?
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Fundamentals of Financial Management
Authors: Eugene F. Brigham
Concise 9th Edition
1305635937, 1305635930, 978-1305635937
