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2. Bonds and interest rates In the following three scenarios, calculate the minimum number of years that you have to wait before a 1M investment
2. Bonds and interest rates In the following three scenarios, calculate the minimum number of years that you have to wait before a 1M investment triples in value, given that the annual interest rate is 5%. a) You cannot do compounding within a year. (10 marks) b) You can do compounding at half-year. (10 marks) c) You can do compounding continuously. (20 marks)
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