Must use formula for compound interest and geometric series, Financial Management

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Must use formula for compound interest and geometric series

1. If debt ratio is 60% for ABC company, what is the firm's equity multiplier, if debt and common equity finance the firm? 0.40 1.67 2.00 2.50 Cannot be determined without additional information

2. Suppose you invest £105 savings at the start of each month with interest paid monthly and compounded with a savings rate of 3%. Work out total savings for 6 and 12 months. Must use formula for compound interest and Geometric series to calculate total investment.

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Financial Management: Must use formula for compound interest and geometric series

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Financial Management: Must use formula for compound interest and geometric series

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