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2.22 Mr. Doe borrowed $1000 from his bank at 8% per year, compounded annually. He can (1) repay the S1000 together with the interest at

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2.22 Mr. Doe borrowed $1000 from his bank at 8% per year, compounded annually. He can (1) repay the S1000 together with the interest at the end of 3 years, or (ii) pay the interest at the end of each year and repay the $1000 at the end of 3 years. By how much is (ii) better than 0? Ans. $259.71 - $240.00 - $19.71

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