ii. iii. Calculate the equivalent level effective rate of return over the four year-period. If RM7500 is invested in the year 2016, under the same interest environment, calculate the return of investment in the year 2020.
ii. iii. Calculate the equivalent level effective rate of return over the four year-period. If RM7500 is invested in the year 2016, under the same interest environment, calculate the return of investment in the year 2020.
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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Transcribed Image Text:ii.
iii.
Calculate the equivalent level effective rate of return over the four year-period.
If RM7500 is invested in the year 2016, under the same interest environment, calculate
the return of investment in the year 2020.
Transcribed Image Text:Consider the return of investment as given in the following table:
Year
2016
2017
2018
2019
2020
Amount (RM)
5000
5175
5394.94
5705.15
6047.46
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