Question
Question 1: Stanley Roper has $2,300 that he is looking to invest. His brother approached him with an investment opportunity that could give Patrick $4,700
Question 1:
Stanley Roper has $2,300 that he is looking to invest. His brother approached him with an investment opportunity that could give Patrick $4,700 in 4 years. What interest rate would the investment have to yield in order for Stanleys brother to deliver on his promise? (Answer needs to be stated as a decimal. For example: .1192
And
Question 2
Chuck Brown will receive from his investment cash flows of $3,125, $3,490, and $3,850 at the end of years 1, 2 and 3 respectively. If he can earn 7.5 percent on any investment that he makes, what is the future value of his investment cash flows at the end of three years? (Round to the nearest dollar.)
I'm missing something in my formulas, can you help me solve and provide the formula?
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