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QUESTION 7 Theo needs $40,000 as a down payment for a house 6 years from now. He earns 3.5 percent on his savings. Theo can
QUESTION 7
- Theo needs $40,000 as a down payment for a house 6 years from now. He earns 3.5 percent on his savings. Theo can either deposit one lump sum today for this purpose or he can wait a year and deposit a lump sum. How much additional money must he deposit if he waits for one year rather than making the deposit today?
- $878.98
- $911.13
- $1,138.90
- $1,348.03
- $1,420.18
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Foundations of Financial Management
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta
10th Canadian edition
1259261018, 1259261015, 978-1259024979
