Mr. Fish wants to build a house in 10 years. He estimates that the total cost will be $170,000. - 4693

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Mr. Fish wants to build a house in 10 years. He estimates that the total cost will be $170,000. If he can put aside $10,000 at the end of each year, what rate of return must he earn in order to have the amount needed? 

A) Between 11% and 12% 

B) Between 8% and 9% 

C) 17% 

D) None of the above 

 

Answer: A Difficulty: Medium Type: Application 

 

 

Chapter 10 Valuation and Rates of Return

 
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