Determine future value if holds onto business


Jessie Jones thinks her hair salon is worth $20,000 and evaluates that its value will grow at 10% per year compounded annually for next three years. If she sells business, funds will be invested at 8% compounded quarterly. i) Determine future value if she holds onto business. ii) What price must she insist on now if she sells business?

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Mathematics: Determine future value if holds onto business
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