Business: A money market security that has a par value of $10,000 sells for $8,924.70. Given that the security has a maturity of two years, what is the investor s required rate of return?

A money market security that has a par value of $10,000

Ответ:

cwsmith8026

21.08.2021

The answer is "5%".

Explanation:

$\to \$8,924.70 = \frac{10,000}{(1 + r )^2}\\\\\to \$8,924.70 (1+r)^2= 10,000\\\\\to (1+r)^2= \frac{10,000}{\$8,924.70}\\\\\to (1+r)^2= \frac{10,000}{\$8,924.70}\\\\\to (1+r)^2= 1.1204\\\\\to (1+r)= 1.05\\\\\to r= 1.05-1\\\\\to r=0.05\\\\\to r=5\%\\\\$

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Ответ:

jojo8617

26.09.2022

Business

Explanation:

The presentation should focus on the technology that will go into a new product or service because investors want assurance that the venture is based on sound technology.

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A money market security that has a par value of $10,000 sells for $8,924.70. Given that the security has a maturity of two years, what is the investor's required rate of return?

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