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emmasim [6.3K]
2 years ago
10

Assume Sheryl Jenkins wants to accumulate $ 13,241.39 in two years. She currently has $ 10,621.36 to invest. What interest rate

must she earn on her investment (that is, if she deposits $ 10,621.36 today) to have $ 13,241.39 exactly two years from today?
Business
1 answer:
WITCHER [35]2 years ago
8 0

Answer: 11.65%

Explanation:

The $13,241.39 is a future value amount as it is what is to be accumulated in 2 years.

Future value formula therefore applies:

Future value = Current value * ( 1 + interest rate) ^ no. of years

13,241.39 = 10,621.36 * ( 1 + i) ²

(1 + i)² = 13,241.39 / 10,621.36

(1 + i)² = 1.24667556697

1 + i = √1.24667556697

i = 1.116546267 - 1

i = 11.65%

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Answer:

d. Claims exchange transaction

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Claims exchange transaction -

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In this case the claim of one reduces and others increases and hence the total claim remains constant .

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The correct option is d. Claims exchange transaction .

6 0
3 years ago
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Answer:

Explanation:

Let we assume the number of CD produced be X

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4 0
2 years ago
Suppose interest rates in the UK fall. This will affect the side of the foreign exchange market and cause exchange rates to
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A fall in the interest rates in the UK, would cause the exchange rate of the UK to decline.

<h3>What is the impact of a fall in interest rate on exchange rate?</h3>

Exchange rate is the rate at which one currency is exchanged for another currency. Interest rate is the return earned by investors for allowing business owners use their funds.

When interest rate declines, the return earned by investors would fall. This would discourage investors from investing. This would lead to a decline in the demand for the UK currency. This would depress the exchange rate.

To learn more about exchange rate, please check: brainly.com/question/25780725

5 0
1 year ago
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Answer:

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Answer:

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