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Finding an interest rate.? |
An investment requires an upfront payment fo $14500. In return, it promises to pay $1500 per year for 6 years followed by $2000 per year for 8 years. Payments will occur at the end of each year. What rate is implied by this investment? The formula to use is: 14500 = sum over the years (cash flow/ (1+r)^k) |
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