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Suppose that you invest $100 in an account for 20n years. This account will credit you 5% annual effective rate of interest for the first
Suppose that you invest $100 in an account for 20n years. This account will credit you 5% annual effective rate of interest for the first 5 years, 5% annual effective rate of discount for the send 5 years, 5% simple interest for the third 5 years, and 5% simple rate of discount for the last 5 years. How much will you have at the end of the 20 years?
*hint use equations for from these chapters*
simple interest: P+Prt
compount: P(1+r)^t
simple discount: 1/(1-dt)
compound discount: 1/[(1-d)^t]
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