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Chapter 6, Section 6.5, Question 004 Assuming an interest rate of 2% compounded continuously, answer the following questions. (a) Find the future value in 10
Chapter 6, Section 6.5, Question 004 Assuming an interest rate of 2% compounded continuously, answer the following questions. (a) Find the future value in 10 years of a payment of $11,000 made today. Round your answer to two decimal places. (b) Find the future value of an income stream of $1100 per year over 10 years. Round your answer to two decimal places. (c) Which is larger, the future value from the lump sum in part (a) or from the income stream in part (b)? Why does this make sense financially? is larger. The future value from the This makes sense because 0. Click if you would like to Show Work for this question: Open Show Work
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