Week 4 Homework Culley - Pg.278 2 PV=FV(1)^Year a...

Info icon This preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
Pg.278 What is the present value of: 2 PV=FV/(1+%)^Year a 8000 in 10 years at 6%? Future Vale  $8,000  Years 10 Annual Rate 6% Present Value $4,467.16  b $16000 in 5 years at 12%? Future Vale  $16,000  Years 5 Annual Rate 12% Present Value $9,078.83  c $25000 in 15 year at 8%. Future Vale  $25,000  Years 15 Annual Rate 8% Present Value $7,881.04  Pg. 279 5 If you invest $12000 today ho much will you have: 10 FV=PV(1+i)^n or FV(rate,nper,pmt,pv,type) a a In 6 years at7%? Present Value  $(12,000) Annual Rate 7% Years 6 Future Value $18,008.76 b b In 15 Years at12%? Present Value  $(12,000) Annual Rate 12% Years 15 Future Value $65,682.79 c In 25 Years at 10%? c Present Value  $(12,000) Annual Rate 10% Years 25 Future Value $130,016.47 In 25 Years at 10% (compound semiannualy)? d d Present Value  $(12,000)
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Annual Rate 10% Years 50 Semiannualy 2 5.00% Future Value $137,608.80 15 Sherwin Williams Present Value  $18,000  Annual Rate 10% Years 25 Future Value $195,024.71 $19,502.47 $19,502.47 $175,522.24 $160,000.00 $335,522.24 He will lose $335,522.24. No sale!
Image of page 2
How much would you have to invest today to receive: 12000 in 6 years at 12%?
Image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern