Business, 21.02.2020 18:29 esekvng4342

) Find the amount to be paid at the end Of eight years that is equivalent to a payment Of $400 now and a payment Of $300 at the end Of four years (a) if 6% simple interest is earned from the date each payment is made and use a comparison date of right now. (b) if 6% simple interest is earned from the date each payment is made and use a comparison date of eight years from now. (c) Explain why the fact you get different answers in parts (a) and (b) does not contradict the fact that equations of value at different times are equivalent equations. (d) Repeat parts (a) and (b) except replace "simple interest" with "compound interest."

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