At what periodic interest rate is a $2,000 cash receipt occurring at the beginning of year 1

Question:

At what periodic interest rate is a $2,000 cash receipt occurring at the beginning of year 1 equivalent to four annual $600 cash disbursements? The first cash disbursement occurs at the end of year 1, the second occurs at the end of year 2, the third occurs at the end of year 3, and the fourth occurs at the end of year 4. The periodic interest rate is compounded annually.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question
Question Posted: