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AC300_Unit_8_Time_Value_of_Money_Module _Finley_Joey homework answers

AC300_Unit_8_Time_Value_of_Money_Module _Finley_Joey homework answers

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Future value of an investment Using the future value tables solve the following: 1. What is the future value on December 31, 2014 of a deposit of $35,000 made on December 31, 2010, assuming interest of 10% compound annually? 2. What is the future value on December 31, 2014 of a deposit of $10,000 made on December 31, 2010, assuming interest of 16% compounded quarterly? 3. What is the future value on December 31, 2014 of a deposit of $25,000 made on December 31, 2010, assuming interest of 12% compound semiannually? 1. f = p ( 29 i   n, f f = $35,000 ( 29 10% i   , n f = = 4 f = $35,000 (1.464100) f = $51,243.50 2. f = p ( 29 i   n, f f = $10,000 ( 29 4% i   16, n f = = f = $10,000 (1.872981) f = $18,729.81 3. f = p ( 29 i   n, f f = $25,000 ( 29 6% i   , n f = = 8 f = $25,000 (1.593848) f = $39,846.20 Future Value Issues Using the future values tables , solve the following: 1. What is the future value on December 31, 2019 of 10 cash flows of $20,000 with the first cash payment made on December 31, 2010 and interest at 10% being compounded annually? 2. What is the future value on June 30, 2020 of 20 cash flows of $15,000 with the first cash payment made on December 31, 2010 and the annual interest rate of 10%being compounded semiannually?
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