Question
Your client has a debt that she may repay by paying $5,000 now or $10,000 in four years time. If the interest rate is 14%
Your client has a debt that she may repay by paying $5,000 now or $10,000 in four years time. If
the interest rate is 14% p.a. compounded monthly, would you advise her to repay the debt now or
in four years?
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Intermediate Financial Management
Authors: Eugene F Brigham, Phillip R Daves
14th Edition
0357516664, 978-0357516669
