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4. How much could you borrow today if you make semi-annual payments of $1,000 for 5 years at an 8% market interest rate? 5. How
4. How much could you borrow today if you make semi-annual payments of $1,000 for 5 years at an 8% market interest rate?
5. How much would you pay for an investment that provides $100 semiannually for five years and at the end of five years it would also provide $5,000? At the time of your decision, the market rate of interest is 3.5%.
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