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Solve each situation separately, where P = principal; r = interest rate; t = time in years; I = interest and future value FV =

A) P = $ 10.800; r = 6.50%; t = 7 years; I =?

B) I = $ 1.550; t = 11 months r = 7.75%; P =?

C) P = $ 30.500; r = 6.75%; t = 10; VF =

D) FV = $ 320,000; r = 5.40% compounded monthly; t = 30; P =?

Problem:

You want to start a bakery business. For this, you will need a capital of $ 75,000 to start operating. If you have to operate within four years. What sum must now invest 12% quarterly composite, the amount needed to keep and operate your business?

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M91600962

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