Calculate the annualised rate of return of an investment that, for an nitial investment of £ 3050, produces a single payment of £4120 after 3 years, taxed at the rate of

EBK CFIN
6th Edition
ISBN:9781337671743
Author:BESLEY
Publisher:BESLEY
Chapter4: Time Value Of Money
Section: Chapter Questions
Problem 15PROB
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9

Calculate the annualised rate of
return of an investment that, for an
initial investment of £ 3050,
produces a single payment of £4120
after 3 years, taxed at the rate of
10%. State your answer as a
percentage to 3 significant figures.
Transcribed Image Text:Calculate the annualised rate of return of an investment that, for an initial investment of £ 3050, produces a single payment of £4120 after 3 years, taxed at the rate of 10%. State your answer as a percentage to 3 significant figures.
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