Although interest rates are expressed annually, compounding may be expressed in something other that annual periods. What is meant by compounding and give several examples of something other than annual compounding.
What will be an ideal response?
In time value of money problems or questions, time is usually expressed in something other than years, such as quarters, months, weeks, or even days. You must adjust the number of compounding periods by multiplying the number of years by the number of annual compounding periods per year. For example, to determine the length of a car loan with monthly payments for three years, total periods would be 36 or 3 years multiplied by 12 months per year.
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A check is a special type of draft.
Answer the following statement true (T) or false (F)
The internal rate of return will equal the discount rate when the net present value equals zero
Indicate whether the statement is true or false
Marriott requires that trainees have adequate child care, transportation, and housing arrangements for its welfare-to-work program. These standards resulted from which type of analysis, as discussed in the text?
A. discrepancy analysis B. task analysis C. support analysis D. person analysis
An earned income credit is a special credit that reduces the amount of taxes owed by taxpayers who earn high incomes
Indicate whether the statement is true or false.