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Assume that in 2010, a gold dollar minted in 1890 sold for $120,000. For this to

ID: 2631178 • Letter: A

Question

Assume that in 2010, a gold dollar minted in 1890 sold for $120,000. For this to have been true, what rate of return did this coin return for the lucky numismatist? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

  

Assume that in 2010, a gold dollar minted in 1890 sold for $120,000. For this to have been true, what rate of return did this coin return for the lucky numismatist? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

Explanation / Answer

Assume that in 2010, a gold dollar minted in 1890 sold for $120,000. For this to have been true, what rate of return did this coin return for the lucky numismatist? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

Rate of return = rate(nper,pmt,pv,fv)

Rate of return = rate(120,0,-1,120000)

Rate of return = 10.24%