Question
Given the following two sets of cash flows: Option A: $25,360.32 in 5 years plus $Y in 10 years time. Option B: $34,048.49 8
Given the following two sets of cash flows: Option A: $25,360.32 in 5 years plus $Y in 10 years time. Option B: $34,048.49 8 years from today. The nominal rate (52) = 2.481% makes the present value of these two options the same. What is the value of Y?
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Introduction To Mathematical Statistics And Its Applications
Authors: Richard J. Larsen, Morris L. Marx
5th Edition
321693949, 978-0321694027, 321694023, 978-0321693945
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