Kirk van houten, who has been married 21 years, would like to buy his wife an expensive diamond ring with a platinum setting on their 30-year wedding anniversary. Assume that the cost of the ring will be $13,000 in 9 years. Kirk currently has $4,507 to invest. What annual rate of return must kirk earn on his investment to accumulate enough money to pay for the ring?
Kirk van houten, who has been married 21 years, would like to buy his wife an expensive diamond ring with a platinum setting on their 30-year wedding anniversary. Assume that the cost of the ring will be $13,000 in 9 years. Kirk currently has $4,507 to invest. What annual rate of return must kirk earn on his investment to accumulate enough money to pay for the ring?
Excel Applications for Accounting Principles
4th Edition
ISBN:9781111581565
Author:Gaylord N. Smith
Publisher:Gaylord N. Smith
Chapter27: Time Value Of Money (compound)
Section: Chapter Questions
Problem 6E
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