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Answer the following problems: If you made today a time deposit of $ 10,000, how much you will receive after 2 years if the interest
Answer the following problems:
- If you made today a time deposit of $ 10,000, how much you will receive after 2 years if the interest rate is 10% (simple)? And how much the amount will be after 2 years if the interest is compound instead of simple?
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- If you are expecting to receive an amount of $ 10,000 but after 2 years, how much the present value would be today if the discount rate is 10%?
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- A $ 1,000 coupon bond, 3 years maturity, & give 10% interest, for how much would you buy it if the market rate is 12%?
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- A zero-coupon bond of $ 1,000, maturing in 3 years, how much would you pay for it if the market rate is 10%?
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