Find semi-annual discount rate of growing annuity


Problem: Consider a growing annuity that makes semiannual payments, and whose first payment is 50 dollars. The growing annuity payment grows by 2% every six months, and the payments go on for 10 years. Find the semi- annual discount rate of this growing annuity if its present value is $700.

 

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Finance Basics: Find semi-annual discount rate of growing annuity
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