If $2500 were invested for 5 years at 10% nominal interest compounded daily, what would be the future amount?

Select one:

a. $4121.73

b. $3121.73

c. $6521.73

d. $5121.73

$5000 at time 0 is equivalent to:

Select one:

a. $7800 at the end of year 7 , i=8% simple interest rate

b. $7346.64 at the end of year 5, i=8% compound interest rate

c. $6800 at the end of year 6, i=6% simple interest rate

d. all the above

The sign of various amounts at different points in time in a cash flow diagram is to be decided based on the type of the decision problem

Select one:

True

False