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j. Find the PV and the FV of an investment that makes the following end-of-year payments. The interest rate is 11%. Round your answers to
j. Find the PV and the FV of an investment that makes the following end-of-year payments. The interest rate is 11%. Round your answers to the nearest cent. PV of investment: \$ FV of investment: \$ k. Five banks offer nominal rates of 9% on deposits, but A pays interest annually, B pays semiannually, C pays quarterly 1. What effective annual rate does each bank pay? If you deposit $3,000 in each bank today, how much will you ha 2. If the TVM is the only consideration, what nominal rate will cause all of the banks to provide the same effective a 3. Suppose you don't have the $3,000 but need it at the end of 1 year. You plan to make a series of deposits - ann 4. Even if the five banks provided the same effective annual rate, would a rational investor be indifferent between the It is more likely that an investor would prefer the bank that compounded [] frequently. I. Suppose you borrow $16,000. The interest rate is 11%, and it requires 4 equal end-of-year payments. Set up an amo Choose the correct graph that shows how the payments are divided between interest and principal repayment over time
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