At an inflation rate of 9 percent, the purchasing power of 1 ...

[jace]

At an inflation rate of 9 percent, the purchasing power of 1 would be cut in half in 8.04 years. How long to the nearest year would it take the purchasing power of 1 to be cut in half if the inflation rate were only 4 percent?

Question 2

Given a positive interest rate and a positive cash flow, an ordinary annuity always has a greater present value than an annuity due of the same size and number of cash flows.
 
  Indicate whether the statement is true or false.

[akpaschal]

Answer to Question 1

Thanks for your help Worked like a charm.

Answer to Question 2

Answer: FALSE
Explanation: The annuity due is always greater.

[jace]

Gracias!

[mohan]

TYSM