Question
1) What is the value at maturity of a 5-year certificate of deposit (CD) of $60,000 in present dollars that compounds annually at an annual
1) What is the value at maturity of a 5-year certificate of deposit (CD) of $60,000 in present dollars that compounds annually at an annual interest rate of 3.0%?
2) What is the value at maturity of a 5-year certificate of deposit (CD) of $60,000 in present dollars that compounds monthly at an annual interest rate of 3.0%?
3) You desire to save $800,000 over the next 18 years for your childs college education. If the interest rate is 3.25% compounded annually, how much of a single lump sum must you put in the account today to achieve your goal of $800,000 in Year 18?
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Finance Introduction To Institutions Investments And Management
Authors: Ronald W. Melicher, Edgar A. Norton
12th Edition
0471675792, 9780471675792
