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Hi, I do not understand how to determine the responses to the following questions and if this is TVM. 5-15. If we receive $5,000 eight
Hi, I do not understand how to determine the responses to the following questions and if this is TVM.
5-15. If we receive $5,000 eight years from now, how much is that equivalent to today if we believe that we can earn 5 percent on other opportunities?
5-16. If you have $8,500 today and you could earn 3 percent interest per year, how many years would it be before you would accumulate $10,000? Assume annual compounding.
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