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A national advertising program that costs $200,000 today is expected return a profit (like interest) of $72,000 in 6 years. Determine: (4 marks) a.
A national advertising program that costs $200,000 today is expected return a profit (like interest) of $72,000 in 6 years. Determine: (4 marks) a. The rate of return (interest) using simple interest. b. The rate of return (interest) using compound interest (compounded annually), where the Future Value would be $200,000 and $72,000 added together.
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Managerial Accounting An Integrative Approach
Authors: C J Mcnair Connoly, Kenneth Merchant
2nd Edition
099950049X, 978-0999500491
