Answer:
Amount = $14,024 (Approx)
Step-by-step explanation:
Given:
Amount received P = $13,500
Rate r = 7% = 0.07
Time t = 15 month = 15/12 = 1.25 = year
Discount rate = 6% = 0.06
Computation:
Maturity value = P[1+rt]
Maturity value = 13,500[1+(0.07)(1.25)]
Maturity value = $14,685.61
Time = 15 month - 6 month
Time = 9 month = 9/12 = 0.75 year
Amount = MV[1-dt]
Amount = 14,685.61[1-(0.75)(0.06)]
Amount = $14,024 (Approx)
