Question
muhammad wants to save $372,000.00 to buy a new sports car. he makes deposits of $3,705.50 every year into an investment account (at the start
muhammad wants to save $372,000.00 to buy a new sports car. he makes deposits of $3,705.50 every year into an investment account (at the start of each period) and it takes 33 periods to reach the target amount. What nominal interest rate i(1) does his investment account pay? (Answer to the nearest 0.1%.)
a. i = 5.5975%.
b. i = 5.8675%.
c. i = 6.0075%.
d. i = 6.2575%
e. i = 6.3275%.
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Foundations of Financial Management
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen
15th edition
77861612, 1259194078, 978-0077861612, 978-1259194078
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