What is the future value in 11 years of $1,200 invested in an account with an APR

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What is the future value in 11 years of $1,200 invested in an account with an APR of 7.8 percent:

a. Compounded annually?
b. Compounded semiannually?
c. Compounded monthly?
d. Compounded continuously?
e. Why does the future value increase as the compounding period shortens?

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Corporate Finance

ISBN: 9781260772388

13th Edition

Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe

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Question Posted: Nov 11, 2022 04:59 AM

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What is the future value in 11 years of $1,200 invested in an account with an APR

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Answer and thorough explanation a Compounded annually The future value is FV PV1rn where PV is the p...View the full answer

Corporate Finance

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