Calculate the value of perpetuity

Reference no: EM1312398

Find the value of the financial instrument, a perpetuity that pays $15 per year forever; the discount rate is 10%, using excel functions.

With Same amount of money what rate compounded semi-annually equate when the same amount compound at quarterly rate of 5.5%

You have $10,000 to invest. The Big Federal Bank offers one-year certificates of deposit with a stated rate of 5.50% compounded quarterly. What rate, compounded semi-annually, would provide you with the same amount of money at the end of one year?

Reference no: EM1312398

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