Suppose we were examining an asset that promised to pay $500 at the end of each of the next a few years. The cash flows from this asset are in the form of a n-year, $500 annuity. In 4 years, the rate of return is 15% and you will receive total $2000.

What is the number of years of this investment?

Answer rating: 100% (QA)

To determine the number of years for this investment we can use the present value of an ... View the full answer