homework #2 - 1 FV= PV(1 i)^n=1000(1 0.1)^5= $16,105.1 2...

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1- FV= PV(1+i)^n=1000(1+0.1)^5= $16,105.1 2- PV= FV/(1+i)^n=5000/(1+0.07)^20=$1292.1 3- N=18 years PV=$250,000 FV $1,000,000 Interest? $1,000,000= 250,000(1+I)^18//// 4=(1+I)^18= 1.08=1+I//// I=1.08-1=0.08= 8% I 4- T= Ln(2)/Ln(1+0.065)=0.693/0.062=11.1 years. 9- A) A=P(1+r/n)^nt A=530 B) A= 561.8 C) P= A/(1+r/n)^nt P=471.69 D) P=446.42 10- A= P(1+r/n)^nt P= A/(1+r/n)^nt A) A=895.42
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