Example 4 Continuous Versus Annual Compounding of Interest Chapter 5.5 a.For each of 9 years, compare the future value of an investment of $1000 at 8%
Objectives Find future value of investments when interest is compounded n times per year Find future value of investments when interest is compounded.
Finan Chapter 3: Valuing Firm Output and Pricing Securities How do you assign values to investments and opportunities and how do you compare them?