Question
a. if the one year discount factor is 0.9107, what is the one-year interest rate? (Round to 2 decimal places) b. if the two-year interest
a. if the one year discount factor is 0.9107, what is the one-year interest rate? (Round to 2 decimal places)
b. if the two-year interest rate is 9.8%, what is the two year discount factor? (Round to 4 decimal places)
c. Given these one- and two-year discount factors, calcuate the two year annuity factor. (Round your answer to 4 decimal places)
d. If the PV of $10 a year for three years is $24.96, what is the three-year annuity factor? (Round to 4 decimal places)
e. From your answers to (c) and (d), calculate the three0year discount factor. (round to 4 decimal places
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A. interest rate = ? %
B. Discount factor = ?
C. Annuity factor = ?
D. Annuity factor = ?
E. Discount Factor = ?
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