Question

What discount rate would make you indifferent between receiving $3,035.00 per year forever and $5,837.00 per year for 29.00 years? Assume the first payment of both cash flow streams occurs in one year.

Answer format: Percentage Round to: 2 decimal places (Example: 9.24%, % sign required. Will accept decimal format rounded to 4 decimal places (ex: 0.0924))

Suppose you deposit $2,054.00 into an account today. In 7.00 years the account is worth $3,935.00. The account earned ____% per year.

Answer format: Percentage Round to: 2 decimal places (Example: 9.24%, % sign required. Will accept decimal format rounded to 4 decimal places (ex: 0.0924))

Answer 1