An investment of $4838.57 earns interest at 4.9% per annum compounded annually for 2 years. At that time the interest rate is changed to 5.5% compounded semi-annually. How much will the accumulated value be 4.5 years after the change?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 29P
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An investment of $4838.57 earns interest at 4.9% per annum compounded annually for 2 years. At that time the interest rate is changed to 5.5% compounded semi-annually. How much will the
accumulated value be 4.5 years after the change?
The accumulated value is $
Transcribed Image Text:An investment of $4838.57 earns interest at 4.9% per annum compounded annually for 2 years. At that time the interest rate is changed to 5.5% compounded semi-annually. How much will the accumulated value be 4.5 years after the change? The accumulated value is $
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