Question: I dont understand why i'm getting the two numbers wrong in the cash flow diagram. Please help. Aurora deposits $1,500 in a bank account that
I dont understand why i'm getting the two numbers wrong in the cash flow diagram. Please help.
Aurora deposits $1,500 in a bank account that pays 9% interest. In 8 years, how much does she have in this account? Time Value of Money (TVM) Framework - c compounding - n number of time periods - i interest rate - PV present value or the amount at time t=0 - PMT annuity value - FV future value or the amount at the end or final time period - type "ordinary annuity" = PMT at beginning of each period vs "annuity due" = PMT at end of each period - CPT the value that is computed
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
