# P5 36 relationship between future value and present

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P5-36: Relationship between future value and present value: Mixed stream Using the infor-matistream of cash flows, using a 5% dis-count rate.b. Suppose you had a lump sum equal to your anwould you have after 5 years?c. Determine the future value 5 years from now of the mixed streawilling to pay for this stream, assuming that you can at best earn 5% on your investments?
ion in the accompanying table, answer the questions that follow. a. Determine the present value of the mnswer in part a on hand today. If you invested this sum for 5 years and earned a 5% return each year, hoam, using a 5% interest rate. Compare your answer here to your answers in part b.d. How much would y
mixed ow much you be
P5-43: Deposits to accumulate future sums For each case shown in the following table, determine assuming the stated annual interest rate.
the amount of the equal, end-of-year deposits necessary to accumulate the given sum at the end o
f the specified period,
P5-48: Loan amortization schedule Joan Messineo borrowed \$45,000 at a 4% annual rate ofamortization schedule showing the interest and principal break-down of each of the three loa
f interest that she must repay over 3 years. The loan is amortized into three equal, end-of-year paymean payments.c. Explain why the interest portion of each payment declines with the passage of time.
ents.a. Calculate the end-of-year loan payment.b. Prepare a loan
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