3. Julius deposits N$ 1 000 today and another N$ 3 000 in five years into...
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3. Julius deposits N$ 1 000 today and another N$ 3 000 in five years into the fund that paying simple interest of 11% per year. Julia will make the same two deposits, but the N$ 1 000 will be deposited t years from today and the N$ 3 000 will be deposited 2t years from today. Julia's deposits earn an effective annual rate of 9.15%. At the end of 10 years, the accumulated amount of Julia's deposits equals the accumulated amount of Julius's deposits. Calculate t 3. Julius deposits N$ 1 000 today and another N$ 3 000 in five years into the fund that paying simple interest of 11% per year. Julia will make the same two deposits, but the N$ 1 000 will be deposited t years from today and the N$ 3 000 will be deposited 2t years from today. Julia's deposits earn an effective annual rate of 9.15%. At the end of 10 years, the accumulated amount of Julia's deposits equals the accumulated amount of Julius's deposits. Calculate t
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To start we need to calculate the effective annual rate EAR for both Julius and Julia For Julius the ... View the full answer
Related Book For
Microeconomics An Intuitive Approach with Calculus
ISBN: 978-0538453257
1st edition
Authors: Thomas Nechyba
Posted Date:
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