You have the opportunity to invest $10,000 in a scheme that would return $3500 after the first year and $2500 after each of years 2, 3, and 4. Suppose that your bank offers an annual rate of 6%...


You have the opportunity to invest $10,000 in a scheme that would return $3500 after the first year and $2500 after each of years 2, 3, and 4. Suppose that your bank offers an annual rate of 6% compounded continuously. Should you invest in the scheme or deposit the money in your bank?



May 04, 2022
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