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Problem 2: If you invest $9,000 today, how much will you have: a. In 2 years at 9 percent? b. In 7 years at 12
Problem 2: If you invest $9,000 today, how much will you have: a. In 2 years at 9 percent? b. In 7 years at 12 percent? c. In 25 years at 14 percent? d. In 25 years at 14 percent (compounded semiannually)? Problem 3: Your uncle offers you a choice of $30,000 in 50 years or $95 today. If money is discounted at 12 percent, which should you choose? Problem 4: Your aunt offers you a choice of $60,000 in 40 years or $850 today. If money is discounted at 11 percent, which should you choose?
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