Chapter B - Pre-Requisite Finance
26

Example 4

 

  $10,500.00
$500 (1.03)2 = $530.45
$500 (1.025)2 (1.03)2 = $557.30
$500 (1.02)2 (1.025)2 (1.03)2 = $579.82
-$10,000 (1.015)2 (1.02)2 (1.025)2 (1.03)2 =  - $11,946.88
  $220.69
27

Example 5:

 

-$10,000.00  
$485.33 =       $500 (1.015)-2
$466.48 =       $500 (1.015)-2 (1.02)-2
$444.01 =       $500 (1.015)-2 (1.02)-2 (1.025)-2
$8,788.90 = $10,500 (1.015)-2 (1.02)-2 (1.025)-2 (1.025)-2
$184.72