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In a book named Cases in Financial Management, David, Michaels, and Company case 1 question 1a and question 1b. Question to consider a 1-year, $10,000
In a book named "Cases in Financial Management," David, Michaels, and Company case 1 question 1a and question 1b. Question to consider a 1-year, $10,000 CD. a.) What is its value at maturity (future value) if it pays 10 percent (annually) interest? What would be the future value if the CD pays 5 percent? If it pays 15 percent? Press: 1N 10 I/Y 10000 + I-(I key to make it a negative number - calculator assumes a cash outflow) PV 0 PMT CPT FV (answer = $11,000). then change 5 to 1 and 15 to 20.
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