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Suppose you are going to receive $6,000 per year for 8 years. The appropriate interest rate is 12 percent. a. What is the present value
| Suppose you are going to receive $6,000 per year for 8 years. The appropriate interest rate is 12 percent. |
| a. | What is the present value of the payments if they are in the form of an ordinary annuity? |
| b. | What is the present value if the payments are an annuity due? |
| c. | Suppose you plan to invest the payments for 8 years, what is the future value if the payments are an ordinary annuity? |
| d. | Suppose you plan to invest the payments for 8 years, what is the future value if the payments are an annuity due? |
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Personal Finance Turning Money Into Wealth
Authors: Arthur J. Keown
6th Edition
0132719169, 978-0132719162
