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The task: With what interest rate given 2000 Euros after 2 years and 3000 Euros after 4 years, the actual value will be equal 4000 Euros. This task sounds confusing for me, I tried to calculate, but get nothing valid, so maybe I don't understand the task formulation. Here is given answer: 7.3%. Should I use discount interest or which method? I'm really new in this field.

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    $\begingroup$ You have to find the discount rate $r$, so that 2000 Euros received in 2 years and 3000 Euros received in 4 years equal 4000 Euro today, i.e. solve the equation $4000 = \frac{2000}{(1+r)^2} + \frac{3000}{(1+r)^4}$, which results in $r$ = 7.3%. $\endgroup$ – skoestlmeier Jan 8 at 14:15
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try this : 4000= 2000/(1+r)^2 + 3000/(1+r)^4 solving this equation for r you'll find equals 7.30274083178438%.

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  • $\begingroup$ Thank you very much. I had thought about this, but hadn't tried. $\endgroup$ – Adolf Miszka Jan 8 at 15:16
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Already answered, but...

from scipy.optimize import root

def pv(r): return 2000 / (1+r)**2 + 3000 / (1+r)**4
rate = root(lambda x: pv(x) - 4000, 0.)['x'][0]

print(f"Rate is {rate*100:.5f}%")
print(f"Present Value is {pv(rate):,.2f}")

Rate is 7.30274%

Present Value is 4,000.00

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