Fina310 Introduction To TVM.docx - Fina310 Introduction To TVM You are trying to save money and decide to stick \$5 a day under your pillow At the end of

# Fina310 Introduction To TVM.docx - Fina310 Introduction To...

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Fina310 Introduction To TVM You are trying to save money and decide to stick \$5 a day under your pillow. At the end of the year you deposit the lump sum. How much interest will you have earned after 20 years if the assumed rate is 5%? \$96,845.37 Not enough information provided \$23,845.37 \$21,365.42 You are trying to save money and decide to stick \$5 a day under your pillow. At the end of the year you deposit the lump sum. How much will you have after 20 years if the assumed rate is 5%? \$36,500.00 \$60,345.37 \$57,865.42 \$96,845.37 What is the value of \$500 in 3.5 years if received today and the discount rate is 6.25%? \$618.19 \$613.11 \$599.73 \$637.21 You are promised a 3 year annuity at \$275. What is the value of this annuity today if the rate is 2%?\$793.07\$275.00\$259.14\$841.61
rate is 2%? \$291.83 \$793.07 \$825.00 \$841.61 You currently have \$1,200 and need \$1,750 in 4 years. What rate do you need to invest at in order to hit your goal? .0889 .0989 .5739 Not enough information is provided You currently have \$900 and need \$1,500 in 3 years for a down payment on a car. What rate do

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