Ms. Vanellope asks BOB to give her a loan of Rs. 100 today. However, she says she
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Question:
Ms. Vanellope asks BOB to give her a loan of Rs. 100 today. However, she says she will not be able to pay any amount at the end of the first, second, & third year and will be able to pay the entire loan amount due at the end of the fourth year.
Tenor | Borrowing/Lending Rates |
1 yr | 4% |
2 yr | 6% |
3 yr | 8% |
4 yr | 10% |
What combination of products would enable Ms. Vanellope to ascertain the amount that should be repaid at the end of 4 years?
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