Time-value of money, The LPD company has a $10,000 note

Time-value of money

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Time-Value of Money (Show Formulas)

The LPD company has a $10,000 note receivable from a customer due in three years.

a) How much is the note worth today if the interest rate is 9%?

b) What interest rate is implied if you buy a TV for $750 and pay in monthly installments of $66.64 for one year? Compute the APR and the effective annual rate.

c) At what rate of interest does the money double in 5-years?

Reference no: EM131012358

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