R150 000 is invested at a compound interest rate that is compounded quarterly. After 6 years the investment matures. R6 000 is subtracted to the investment and the money is reinvested for a period of 7 years at 7.5% p.a.(cc). At the end of the investment period the investment is worth R 397 706.79 At what initial interest rate was the money invested? Answer the question by completing the answer boxes below. N for the first investment period: Initial interest rate for the first investment: % Present Value for second investment (round your answer to 2 decimal places): R
R150 000 is invested at a compound interest rate that is compounded quarterly. After 6 years the investment matures. R6 000 is subtracted to the investment and the money is reinvested for a period of 7 years at 7.5% p.a.(cc). At the end of the investment period the investment is worth R 397 706.79 At what initial interest rate was the money invested? Answer the question by completing the answer boxes below. N for the first investment period: Initial interest rate for the first investment: % Present Value for second investment (round your answer to 2 decimal places): R
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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