Question
Ten years ago, Hailey invested $1,200 and locked in a 9 percent annual interest rate for 30 years (end 20 years from now). Aidan can
Ten years ago, Hailey invested $1,200 and locked in a 9 percent annual interest rate for 30 years (end 20 years from now). Aidan can make a 20-year investment today and lock in a 10 percent interest rate.
How much money should he invest now in order to have the same amount of money in 20 years as Hailey?
Present value= ?
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Fixed Income Markets And Their Derivatives
Authors: Suresh Sundaresan
3rd Edition
0123850517, 978-0123704719
