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3. If you wish to renovate your house in about 4 years and you need a budget of say $100,000, how much do you need to save in a recurring deposit scheme that gives you the compound interest of 4% per annum (compounded monthly) to yield the amount required after 4 years? If the interest is compounded on a daily basis, would there be any difference in your saving regime? 3. If you wish to renovate your house in about 4 years and you need a budget of say $100,000, how much do you need to save in a recurring deposit scheme that gives you the compound interest of 4% per annum (compounded monthly) to yield the amount required after 4 years? If the interest is compounded on a daily basis, would there be any difference in your saving regime?
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If the savings in the recurring deposit scheme is made every month then the amount saved is found u... View the full answer
Related Book For
Financial Theory and Corporate Policy
ISBN: 978-0321127211
4th edition
Authors: Thomas E. Copeland, J. Fred Weston, Kuldeep Shastri
Posted Date:
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