This preview shows pages 1–2. Sign up to view the full content.
This preview has intentionally blurred sections. Sign up to view the full version.
View Full Document
Unformatted text preview: System Homepage Class Homepage Student Details Student Assignment Details ActSci 231 W09 : Gradebook Welcome PoWei Chuang [ My Profile ] Assignment detail for PoWei Chuang in Assignment 3: PoWei Chuang Login: pchuang Email: pchuang@uwaterloo.ca Student ID: 20260696 Assignments completed: 9 Assignments active: Question Grade 1 Payments of $9,000 now and $19,000 7years from now are equivalent to a payment of $27,000 3.5years from now at either rate i or rate j. Find ij. Your Answer: 0.16148 Correct Answer: .16148351 Comment: We have a quadratic equation with a=9,000, b=27,000 and c=19,000. Make sure to take the 3.5 th root of your answer. This gives us i=0.196318 and j=0.034834 Instructors Comment: 1.0 2 A loan is negotiated with the lender agreeing to accept $5,000 after one year, $6,000 after two years, and $30,000 after four years in full repayment of the loan. The loan is renegotiated so that the borrower makes a single payment of $40,173 at time T and this results the same present value of payment when...
View
Full
Document
This note was uploaded on 03/24/2010 for the course ACTSC 231 taught by Professor Chisholm during the Winter '09 term at Waterloo.
 Winter '09
 Chisholm

Click to edit the document details