Each of the following situations is independent. You may use any computational approach (table, Excel, or financial calculator app); if you use the tables, choose the appropriate factors from the following link(s): (Future Value of $1. Present Value of $1. Euture Value Annuity of $1. Present Value Annuity of $1. Einancial Calculator) Case A B C Present Value $ 100,000 (2) (3) Annuity $ 2,000 $3,000 Future Value (1) $ 100,000 Annual Interest Rate 4% 5% 3% 4% Number of Years 5 10 20

The term interest rate can be defined as the amount that is charged by the lender as a percentage on the principal amount. Interest rate which is charged annually is known as annual percentage rate.