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Schach [20]
3 years ago
9

How much is ​$100 to be received in exactly one year worth to you today if the interest rate is 20​%?

Business
1 answer:
laiz [17]3 years ago
5 0

Answer:

Final Value= $120

Explanation:

Giving the following information:

How much is ​$100 to be received in exactly one year worth to you today if the interest rate is 20​%.

We need to calculate the future value of the principal and the compounded interest:

FV= PV*(1+i)^n

FV= 100*1.20^1= $120

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