Question
A payment of $4,500 was made into an account at the end of every 3 months for 12 years. a. If the interest rate for
A payment of $4,500 was made into an account at the end of every 3 months for 12 years.
a. If the interest rate for the first 6 years was 4.00% compounded monthly, calculate the future value at the end of the first 6 years.
Round to the nearest cent
b. If the interest rate for the next 6 years was 3.00% compounded annually, calculate the future value at the end of the 12 year term.
Round to the nearest cent
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Introduction To Mathematical Finance Discrete Time Models
Authors: Stanley R. Pliska
1st Edition
1557869456, 9781557869456
