Intermediate Accounting 1Needing help with Exercise E6-3Thnxs! draw assuming the investment earns interest compounded semiannually.E6-3 (L02,3,4) EXCEL (Computation of Future Values and Present Values) Using the appropriate interest table, answereach of the following questions. (Each case is independent of the others.)(a) What is the future value of $7,000 at the end of 5 periods at 8% compounded interest?(b) What is the present value of $7,000 due 8 periods hence, discounted at 6%?(c) What is the future value of 15 periodic payments of $7,000 each made at the end of each period and compounded at 10% ?(d) What is the present value of $7,000 to be received at the end of each of 20 periods, discounted at 5% compound interest?E6-4 (L03,4) (Computation of Future Values and Present Values) Using the appropriate interest-b-questions. (Each case is independent of the th

The general formulas for future value (FV) and present value (PV) are:\[ FV = PV \times (1 +…

Answered: draw assuming the investment earns…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Compute the number of years (t) if future value (FV) = $6,636, present value (FV) = $1,895, and interest rate (r) = 11.6%,. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.):
ou can assume that all payments are made at the beginning of the period and use "1" for the "type" argument in the formula. A. Suppose you invest $ 11,400 today. What is the future value of the investment in 29 years, if interest at 7% is compounded annually? B B. Suppose you invest $ 11,400 today. What is the future value of the investment in 29 years, if interest at 7% is compounded quarterly? 4 5 6 27 28 29 C. Suppose you invest St $ 570 monthly. What is the future value of the investment in 29 years, if interest at 5% is compounded monthly? Question 1 Question 2 + Ready Accessibility: Investigate MAR 17 A W +
Compute the present value if future value (FV) = $7,745, interest rate (r) = 8.1%, and number of years (t) = 11. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.):
For each of the following, compute the present value (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.): Present Value Years Interest Rate Future Value 12 6 % $ 15,951 3 12 56,557 28 13 891,073 30 10 555,164
For each of the following situations involving annulties, solve for the unknown. Assume that interest is compounded annually and that all annulty amounts are received at the end of each period. (/= Interest rate, and n = number of years) Note: Use tables, Excel, or a financial calculator. Round your final answers to nearest whole dollar amount. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) 1. 2. 3. 4. 5. Present Value 248, 196 442,750 650,000 175,000 Annuity Amount $ 5,000 80,000 60,000 155,040 8% 11% 10% n = 5 4 10 4
Compute the interest rate if future value (FV) = $7,198, present value (FV) = $2,694, and number of years (t) = 9. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.):
(1). Complete the table for an investment subject to n compoundings yearly A=P1+rnnt. Amount Invested Number of Compounding Periods Annual Interest Rate Accumulated Amount Time t in Years $40,000 365 10.2% $100,000 ? Amount Invested Number of Compounding Periods Annual Interest Rate Accumulated Amount Time t in Years $40,000 365 10.2% $100,000 enter your response here (Round to one decimal place as needed.) (2). Prehistoric cave paintings were discovered in a cave in France. The paint contained 39% of the original carbon-14. Use the exponential decay model for carbon-14, A=A0e−0.000121t,to estimate the age of the paintings. Question content area bottom Part 1 The paintings are approximately enter your response here years old. (Round to the nearest integer.) (3). Use the exponential decay model, A=A0ekt, to solve the following. The half-life of a certain substance is…
For each of the following, compute the present value (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.): years Interest Rate Future Value 14 8 16,151 5 14 58,557 30 15 893,073 35 8 557,164
Using Table 11-1, calculate the compound amount and compound interest (in $) for the investment. (Round your answers to the nearest cent.) Principal TimePeriod (years) NominalRate (%) InterestCompounded CompoundAmount CompoundInterest $8,000 4 12 annually $ ?? $ ??
For the following exercise, use the compound interest formula, A(t) = P 1 + r n nt , where money is measured in dollars.After a certain number of years, the value of an investment account is represented by the expression 10,950 1 + 0.03 2 24 . How many years had the account been accumulating interest? yr
Q3): Fill in the entire chart for the below annuities by filling in all the blanks. Solve only (d),(e),(f) part # Payment and frequency (PMT) Time in years (n) Interest rate and compound frequency (I/Y) Present Value (PV) Future Value (FV) a. $5,682.04 per quarter (end) 5 years 5% compounded quarterly ______________ Not Applicable b. $241.63 per month (end) 69 payments 6 ¼ % compounded monthly Not Applicable _______________ c. $____________ per quarter 7 years and 3 months 3 % compounded semi-annually $7,795.89 Not Applicable d. $445.30 per month __________years 7.45 % compounded quarterly Not Applicable $24,788.40 e. $2,000 beginning of every six months 12 ½ years _______compounded quarterly $37,708.30 Not Applicable f. $2,789.58 beginning of every 3 months 60 months 2.75% compounded quarterly Not Applicable…
answer if its true or false 1) Based on the following information calculate the value at time 2 of the investment made at time zero. This future value is equal to 113. discount time investment (years) rate 6% 100 1

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