Question
A choice between a payment of $10,000 in seven years or a payment of $6,705.50 today. You know of a risk free investment that compounds
A choice between a payment of $10,000 in seven years or a payment of $6,705.50 today. You know of a risk free investment that compounds quarterly at a rate of 5.75% for seven years. Which payment is the best choice?
A) $10,000.
B) $6,705.50.
C) Either as they are equal in value.
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Personal Finance Building Your Future
Authors: Robert Walker, Kristy Walker
2nd Edition
0077861728, 9780077861728
