Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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| Use the table below to answer the following questions: | |||||
| Present Value of an |
|||||
| Period | 1/2 Yr | Full-Yr | 1/2 Yr | Full-Yr | |
| 1 | 0.9578 | 0.9174 | 0.9578 | 0.9174 | |
| 2 | 0.9174 | 0.8417 | 1.8753 | 1.7591 | |
| 3 | 0.8787 | 0.7722 | 2.7540 | 2.5313 | |
| 4 | 0.8417 | 0.7084 | 3.5957 | 3.2397 | |
| 5 | 0.8062 | 0.6499 | 4.4019 | 3.8897 | |
| 6 | 0.7722 | 0.5963 | 5.1740 | 4.4859 | |
| Assumption: Required annual effective |
| If an investment pays you $54,000 every 6 months for 3 years, what is its present value? |
$279,396
$250,193
$273,380
$291,703
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