Hint: Assume that there are 365 days in a year. When calculating the future value of $1,000, compounded daily for 7 year
Posted: Sun Jul 03, 2022 12:54 pm
- Hint Assume That There Are 365 Days In A Year When Calculating The Future Value Of 1 000 Compounded Daily For 7 Year 1 (19.19 KiB) Viewed 20 times
Hint: Assume that there are 365 days in a year. When calculating the future value of $1,000, compounded daily for 7 years, you would enter a value of for I/Y. for N, a value of Using the keystrokes you just identified on your financial calculator, the future value of $1,000, compounded daily for 7 at the given nominal interest rate, yields a future value of Based on the results of your calculations, you can conclude that (all else equal) more frequent compounding leads to a higher This is due to a lower periodic interest for more frequent compounding. future value.