The maturity value for a loan of $2,000 at 9% interest for two years was found to
Question:
MV = P(1 + RT)
MV = $2,000(1 + 0.09 × 2)
MV = $2,000(1.09 × 2)
MV = $2,000(2.18)
MV = $4,360
Maturity
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...
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Related Book For
Business Math
ISBN: 978-0133011203
10th edition
Authors: Cheryl Cleaves, Margie Hobbs, Jeffrey Noble
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