What effect more frequent compounding have on present values

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Reference no: EM131339051

1. What type of contract might require the use of annuity due computations?

2. What effect does more frequent compounding have on present values?

3. Why should each of the following be familiar with compounding and present value concepts?
a. A marketing manager

b. A personnel manager

4. Explain what is meant by the "Rule of 72." How can it be used in finance applications?

Reference no: EM131339051

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