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Suppose you will receive $14,000 in 11 months and another $7,000 in 23 months. If the discount rate is 7% per annum (compounding monthly)
Suppose you will receive $14,000 in 11 months and another $7,000 in 23 months. If the discount rate is 7% per annum (compounding monthly) for the first 14 months, and 13% per annum (compounding monthly) for the next 9 months, what single amount received today would be equal to the two proposed payments? (answer to the nearest whole dollar; don't include the $ sign or commas) Answer:
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MIS Essentials
Authors: David M. Kroenke
4th edition
978-0133546590, 133546594, 978-0133807479
