How much should your creditor be willing to accept

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Reference no: EM13980772

1. Suppose you owe a creditor $10,000 due in a single payment in 5 years. How much should your creditor be willing to accept now if he can earn 8% on his money?

2. About how many years will it take for $100,000 placed in a bank account at 7% interest rate compounded annually to double?

Reference no: EM13980772

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