Multiple Choice
You have the option receiving $4,000 at the end of every six months for 15 years or a single lump sum of $250,000 at the end of the 15 years. What effective interest rate would make the two options equal in value?
A) 9.500%
B) 4.642%
C) 9.770%
D) 5.250%
E) 9.285%
Correct Answer:
Verified
Correct Answer:
Verified
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