Find the following values using the equations and then a financial calculator. Compounding/discounting occurs annually. Do not round intermediate calculations. Round your answers to thenearest cent.a. An initial $800 compounded for 1 year at 9%.$b. An initial $800 compounded for 2 years at 9%.$c. The present value of $800 due in 1 year at a discount rate of 9%.$d. The present value of $800 due in 2 years at a discount rate of 9%.$

Option AOption BPresent value$800$800Interest rate9%9%Number of years12Option COption DFuture…

nearest cent. a. An initial $800 compounded for 1 year at 9%. $ b. An initial $800 compounded for years at 9%. $ c. The present value of $800 due in 1 year at a discount rate of 9%. $ d. The present value of $800 due in 2 years at a discount rate of 9%.

nearest cent. a. An initial $800 compounded for 1 year at 9%. $ b. An initial $800 compounded for years at 9%. $ c. The present value of $800 due in 1 year at a discount rate of 9%. $ d. The present value of $800 due in 2 years at a discount rate of 9%.

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Question

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Find the following values using the equations and then a financial calculator. Compounding/discounting occurs annually. Do not round intermediate calculations. Round your answers to the
nearest cent.
a. An initial $800 compounded for 1 year at 9%.
$
b. An initial $800 compounded for 2 years at 9%.
$
c. The present value of $800 due in 1 year at a discount rate of 9%.
$
d. The present value of $800 due in 2 years at a discount rate of 9%.
$

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