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Problem 2.2 At time t = 0, $1 is deposited into Fund A and Fund B. Fund A accumulates at a force of interest (t)

Problem 2.2 At time t = 0, $1 is deposited into Fund A and Fund B. Fund A accumulates at a force of interest (t) = t 2/k for some k > 0. Fund B accumulates at a nominal annual rate of discount of 8% convertible semi-annually. At time t = 5 the accumulation in both funds is the same. Find k.

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