babypeculiar
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- Mar 10, 2010
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The force of interest at time t is : a+be^0.2t
where a and b are constants.An amount of £100 invested at time t=0 accumulates to £140 at time t=5 and accumulates to £180 at time t=10.
Calculate the values of a and b
calculate the constant force force of interest that would give rise to the same accumulation from time t=0 to time t=5
calculate the annual effective rate of discount that would give rise to the same accumulation from time t=5 to time t=10.
where a and b are constants.An amount of £100 invested at time t=0 accumulates to £140 at time t=5 and accumulates to £180 at time t=10.
Calculate the values of a and b
calculate the constant force force of interest that would give rise to the same accumulation from time t=0 to time t=5
calculate the annual effective rate of discount that would give rise to the same accumulation from time t=5 to time t=10.