None Mr. Denfine has just borrowed $1000 from Mr. Black. Mr. Denfine agreed to payMr. Black $300 in one week, $400 in two weeks, and $500 in three weeks. If theinterest rate is 1% per week, what is the future value of this payment flow in 3weeks? OPTIONS: 1210.03 1222.13 1178.34

Step 1: Given Value for Calculation Payment for week 1 = p1 = $300Payment for week 2 = p2 =…

Answered: Mr. Denfine has just borrowed $1000…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Mr. Denfine has just borrowed $1000 from Mr. Black. Mr. Denfine agreed to pay Mr. Black $300 in one week, $400 in two weeks, and $500 in three weeks. If the interest rate is 1% per week, what is the future value of this payment flow in 3 weeks? OPTIONS: 1210.03 1222.13 1178.34