Q: Find the present value of a perpetuity paying $50,000 annually if the discount rate is 6%.
A: In the given question we require to calculate the present value of a perpetuity. In case of…
Q: What is the present value of an ordinary annuity of $1,000 per year for 9 years discounted back to…
A: Present value of annuity payment - it means present value of future annual equal payment made to a…
Q: Find the present value of a perpetuity that pays $2,000 per year and the interest rate is 10%.
A: We are given following details : Annual cash flow in perpetuity = $2000 Interest rate = 10% We need…
Q: What is the present value of an annuity due that promises $20,000 per year for 20 years if the…
A: The current value of the cash flow or stream of cash flow after discounting is termed as the present…
Q: What is the present value of a $300 annuity payment over 5 years if interest rates are 8 percent?
A: Details given are : Annual cashflow = $300 time period = 5 years Interest rate = 8% We require to…
Q: What is the future value of a 7%, 5 year ordinary annuity that pays 300 each year? If this was an…
A: When the Cash Flows occurs at the end of each period, the annuity is called a Regular Annuity. In…
Q: What is the future value of a 5-year ordinary annuity with annual payments of P200, evaluated at a…
A: Future value refers to the amount of current investment after a certain time at a certain rate of…
Q: what is the present value of the 3 year annuity of $270 if the discount rate is 7% if you have to…
A: The formula to compute present value of annuity as follows:
Q: What's the present value of a $500 annuity payment over four years if interest rates are 8 percent?
A: Given: Annuity payment (P) : $500 Interest rate (Annual) (r) : 8% Time period (n) : 4 years
Q: What is the present value of perpetuity of $100 per year if the appropriate discount rate is 7…
A: Perpetuity is a stream of identical cash flows with no end. It is a type of payment that is both…
Q: If you put 45,000 today in exchange for a 6.4 percent, 15-year annuity, what will the annual cash…
A: Present Value = 45,000 Rate = 6.4% Time period = 15 ye
Q: What's the present value of a perpetuity that pays $250 per year if the appropriate interest rate is…
A: Perpetuity is a type of annuity which has no maturity. Given data; payment = $ 250 interest rate =…
Q: what is the present value of the perpetuity?
A: Present Value: It represents the present worth of the perpetual/constants cash flows. It is…
Q: Find the future and present value of a 5 year GHC 1,000.00 annuity if the rate of interest is 12%…
A: FV of Ordinary Annuity= PMT[(1+i)n-1/i] = 1000[(1+0.12)5-1/ 0.12] = 1000[1.7623-1/0.12] =…
Q: What is the present value of a $500 payment made in four years when the discount rate is 8 percent?
A: We need to calculate the present value from below given details in this question: Future value =…
Q: What’s the interest rate of a 5-year, annual $4,800 annuity with present value of $20,000?
A: Given; Present value of annual payments : $20,000 Time period (r): 5 years Annuity: $4,800
Q: What is the future value of a 7%, 5-year annuity that pays $300 at the beginning of each year?
A: Given: Rate: 7% Annuity =300 Number of years = 5
Q: What is the future value of an ordinary annuity of $2,000 for 4 years, if interest rates are 6…
A: Ordinary Annuity =$2000 Years(n) = 4 Interest rate(r) = 6% Future Value = Ordinary annuity * […
Q: What is the present value of a 15 year annuity with the first payment of $65,000 (all payments are…
A: present value of a 15 year annuity with the first payment of $65,000 (all payments are the same…
Q: Calculate the future value of an ordinary annuity that pays $2,350 at 6% for 6 years. Also determine…
A: Annuity is the series of periodic payments. If the annuity payment is made at the end of the periods…
Q: What is the present value of $10,000 to be received at the end of 3 years if the discount rate is…
A: present value formula: present value=future value1+discount rateyear
Q: Calculate the present value of a four-period annuity of $200 per year that begins two years from…
A: Present value is calculated by discounting all the future cashflows
Q: A certain annuity pays P10k every 6 months. If the present value of the annuity is P150k and the…
A: Nominal is a financial word with various possible meanings. It can refer to something that is little…
Q: What is the future value of a 3-year, $100 ordinary annuity if the annual interest rate is 10%?
A: The future value is the amount that will be received at the end of a certain period. In simple…
Q: If the present value of an ordinary, 6-year annuity is $9,400 and interest rates are 9.5 percent,…
A: Time value of money is the concept widely used by the management to determine the worth of money…
Q: A 5-year $100 ordinary annuity has an annual interest rate of 10%. What is its present value?
A: Present value of annuity is the equivalent value of all the cash flows which will be incurred at…
Q: What is the future value of a 7%, 5-year ordinary annuity that pays $300 each year? If this were an…
A: Calculation of future value of annuity:
Q: An annuity pays $1000 at the end of each year for 4 years and then $2000 at the end of each year for…
A: Required :The discounted value of these cash flows.
Q: What is the future value of an $800 annuity payment over 15 years if the interest rates are 6…
A: In this question we require to calculate the future value of annuity. Annuity amount (PMT) = $800…
Q: What is the present value of an annuity that pays $58 per year for 13 years and an additional $1,000…
A: PMT = 58 Period = 13 years Nominal rate of interest = 7.23% Additional amount = 1000
Q: What is the future value of a 3-year ordinary annuity of $100 if the appropriate interest rate is 10…
A: There are two types of annuities: Annuity due - Equal payments made at the beginning of an equal…
Q: What is the present value of a $1,000 60-month annuity due, if r is 6% APR compounded monthly?
A: The time value of money is applied in the case of calculation for the present value of the annuity.…
Q: What is the present value of a $400 annuity payment over 5 years if interest rates are 6 percent?
A: given, A = $400 r=6% n=5 years
Q: What is the present value of a $700 annuity payment over six years if interest rates are 10 percent?
A: The present value of annuity refers to the current value of a series of future payments. The present…
Q: If the future value of an ordinary, 7-year annuity is $7,900 and interest rates are 9.0 percent,…
A: Future value of an ordinary annuity = $7,900 Interest rate = 9%
Q: If the present value of an ordinary, 6-year annuity is $6400 and interest rates are 2.5 percent,…
A: Given: Present value (PV)= $ 6400 Interest rate (r)= 2.5% Number of years (n) = 6
Q: What’s the present valu
A: A perpetuity is a series of uniform cash flows over an indefinite period of time.
Q: An annuity pays $1000 at the end of each year for 5 years and then $2000 at the end of each year for…
A: The discounted value is present value of future cash receipts
Q: What is the present value of $100,000 to be received at the end of 25 years given a 5% discount…
A: Present value if the value of a future amount at current time. Present value formula: Present Value…
Q: An annuity pays $15 per year for 60 years. What is the future value of this annuity at the end of…
A: The future value function or concept can be used to determine the future value of a present sum or…
Q: What is the present value of a perpetuity that pays 1,000 per year beginning 1 year from now if the…
A: The perpetuity is the annuity that happens for a perpetual period. In other words, it is the equal…
Q: Find the future value of an annuity due with an annual payment of $13,000 for three years at 5%…
A: Annuity means periodic payments and when periodic payments are at beginning of the period, the…
Q: What is the future value of an $800 annuity payment over 10 years if the interest rates are 6…
A: Future value is the value of an asset in the future. It is based on an assumed rate of growth. It is…
Q: For an ordinary annuity with a five annual payments of $100 and a 10% interest rate, how many years…
A: Ordinary Annuity involves fixed and equal annual payments at the end of consecutive periods over a…
Q: If the future value of an ordinary, 7-year annuity is $9,900 and interest rates are 9.0 percent,…
A: Given, Future Value = $9,900 Interest Rate = 9.0% Term = 7 years Formula: Future value of annuity…
Q: What is the future of a 7%, 5-years ordinary annuity that pays $300 each year? If this were an…
A: Annuity Amount= $300 each year Rate of Interest (r)= 7% Time period= 5 years
Q: A 10%, 4-year annuity pays $500.00 each year. What is the future value of the annuity?
A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: What is the present value of a $200 payment in one year when the discount rate is 7 percent?
A: We require to compute the present value in this question from following details: Future value = $200…
Q: How much will be the future value of a 5-year ordinary annuity which has annual payments of $200,…
A: The question gives the following information:
Q: What is the present value of an annuity due of $10,000 per year, with the first cash flow received 5…
A: Present value of an annuity the present value of future cashflows
What is the present value of a 3-year
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- What's the future value of a 5%, 5 year ordinary annuity that pays $800 each year? If this was an annuity due, what would its future value be?Find the present value of a 5-year annuity due if the annual payments are $600 and the interest rate is 11%. What is the difference between the present value of the annuity and the present value of the ordinary 5-year annuity?What is the present value of a perpetuity that pays $3,800 per year if the appropriate interest rate is 5%?
- What is the present value of a perpetuity that pays 1,000 per year beginning 1 year from now if the appropriate interest rate is 5%?What is the future value of a 7%, 5 year ordinary annuity that pays 300 each year? If this was an annuity due, what would its future value be?What is the future of a 7%, 5-years ordinary annuity that pays $300 each year? If this were an annuity due, what would its future value be?
- What’s the present value of a perpetuity that pays $100 per year if the appropriate interest rate is 6%?What is the present value of a four-period annuity of $200 per year that begins two years from today if the discount rate is 9%?If the future value of an ordinary, 4-year annuity is $1,000 and interest rates are 6 percent, what is the future value of the same annuity due?
- What is the present value of an ordinary annuity of $1,000 per year for 9 years discounted back to the present at 10 percent? What would be the present value if it were an annuity due?1. What is the present value of a 3-year annuity of $200 if the discount rate is 5% 2. What is the present value of the annuity in (1) if you have to wait an additional year for the first payment?What is the present value of a $400 annuity payment over 5 years if interest rates are 6 percent?