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Unformatted text preview: Name: “3; (Surname) (First Name) 1. Find the value at t=6 of $5000 to be paid at time t=12 if a(t) = (1  .06t)'1.‘ (answers to the nearest cent) faoo (59.2 t; 5059 ’f'aé(6}] *" 6‘00 fml’W'Qé {'2}?
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(real rate of interest) is 2.11%. Find the annual effective rate of inflation. (answer to 4 significant digits) ’ H; WM“ 1, ; annual e703. rate a? F‘n+€r&+ w I 7:}; ) r; annual 6%? rva al‘ mfmﬂm
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6% compounded monthly. Sidney repays $10,000 at v the end of one year, X at the end of two years and $5000
at the end of three years in order to exactly pay off the loan. Find X. (answer to the nearest cent) 10/0510 4W “X "€500 LT): ﬁg”: : agz
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(real rate of interest) is 6.33%. Find the annual effective rate of inflation. (answer to 4 significant digits) WE Luke”? 2/: awn”? F25}! 0'; I‘h‘ienzm‘ I+3=/ I‘l‘Y‘ ’ Y"; Qr'lﬂbmi Ware «7‘; ,‘r'wﬂbﬁm
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5. Sidney borrows $20,000. The loan is governed by compound interest and the annual nominal rate of interest is 6% compounded quarterly. Sidney repays $10,000 at . . the end ofone year, Xat the end of two years and
$5000 at the end ofthree years in order to exactly pay off the loan. Find X. (answer to the nearest cent) mm d 0 6A .. 16/
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 Spring '09
 Chisholm
 Time Value Of Money, Interest, Nominal Interest Rate, Mortgage loan, Sidney

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