1 Which formula property calculates the future value of monthly deposits of $800 left on2 deposit for 10 years at an annual return of 8%? Assume an initial deposit of $20,000.Your formula must return a positive value.4 Number of years5 Payments per year6 Monthly deposit7 Annual return8 Initial deposit1012$8008%$20,000Multiple Choice=FV(B7/B5,B4 B5,B6,B8)=-FV(B7/85,84-85,B6,B8)-FV(B7.85,84-85,B6)=-FVB7.84-85.B6.B8)

Future value shows the value of the investment after a certain period at a specified rate. The…

Which formula property calculates the future value of monthly deposits of $800 lent deposit for 10 years at an annual return of 8%? Assume an initial deposit of $20,000. Your formula must return a positive value. Number of years 5 Payments per year Monthly deposit Annual return Initial deposit 10 12 $800 8% $20,000 Multiple Choice =FV(B7/B5,B4 B5,B6,B8) =-FV(B7/B5,B4 B5, B6,B8) =-FV(B7/B5,B4-B5.B6)

Which formula property calculates the future value of monthly deposits of $800 lent deposit for 10 years at an annual return of 8%? Assume an initial deposit of $20,000. Your formula must return a positive value. Number of years 5 Payments per year Monthly deposit Annual return Initial deposit 10 12 $800 8% $20,000 Multiple Choice =FV(B7/B5,B4 B5,B6,B8) =-FV(B7/B5,B4 B5, B6,B8) =-FV(B7/B5,B4-B5.B6)

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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What is the present value of $3,000 received a. 10 years from today if the interest rate is 4% per year? b. 20 years from today if the interest rate is 8% per year? Question content area bottom Part 1 a. The present value is $enter your response here. (Round to the nearest cent.) b. The present value is $enter your response here. (Round to the nearest cent.)
6. Computing Future Value of Annual Deposits. What amount would you have if you L deposited $2,500 a year for 30 years at 8 percent (compounded annually)? (Use time value of money calculations in Chapter 1 Appendix.) e here to search 17 to 4M to 144 16 40 73 14 I01 12 米 E T 00 86 R 4. 24 3.
Ineed to answerthese questions can you help me out, Questions4,5 4- What is the current value of the following payment sets? A set with a base payment of $ 2000 in the first year, with a 5% annual increase to 10 years and an interest rate of 12% 5- How many years would it take for an investor to increase an initial investment of $3000 to $6939 if i) that investment were compounded annual at 15% per annum? (answer=6 years) ii) an investorto increase an initial investment of $1000 to $7400 if that investmentwere compounded annual at 10% per annum? an investorto increase an initial investment of $5000 to $302100 if i) that investment were compounded annual at 6% per annum? an investorto increase an initial investment of $200 to $2824 if iv) that investment were compounded annual at 12.2% per annum?
You deposit $2500 each year into an investment account that earns 8.5% interest for 20 years.Find the value of sn\i. Group of answer choices 11.76470588 16.87675201 51.10869654 48.37701323
You have the opportunity to purchase a security that will pay you $100,000 when it matures in three years. If you pay $73,119 for this asset, what rate of return will you earn? a. 12% b. 18% c. 11% d. 10%
Assume that you will receive $2500 at the end of 6 years and want to know the present value (PV) of that future sum. Assuming a positive interest rate (required rate of return), which of the following is a possible number for the present value of the $2500? Even without knowing the interest rate, it is possible to answer this question. O A. $2742.53 B. $2632.45 O C. $1967.25 OD. $2572.50 O E. None of the above is a possible number.
Choose the best answer Compute the future value in year 5 of a $2,000 deposit in year 1 and another $2,500 deposit at the end of year 3 using a 6% interest rate. a. $5,333.95 b. $5,653.99 c. $5,850.00 d. $6,022.02
You deposit $8000 in year 1, $7500 in year 2, and amounts decreasing by $500 per year through year 10. At an interest rate of 10% per year, determine the annual worth equivalent through year 1 to 10. Select one: O a. 10282.48 O b. 6137.27 O c. 4540.89 O d. 5717.52 O e. 9862.73
What is the total future value ten years from now of $400 received in 1 year, $350 received in 2 years and $900 received in 8 years if the interest rate is 5% per year? O a $2,047.15 O b. $2,100.11 Oc $2,299.15 Od. $2,129.89 O e. $2.254.44
If you invest $8,000 at the end of every year for nine years at an interest rate of 8%, the balance of your investment in 3 years will be closest to Future Value of $1 Periods 3 4 5 5% 1.150 1216 1276 1.340 Future Value of Annuity of $1 Periods 5% 3 3.153 4 4.310 A. $25,968 OB. $10,080 OC. $24,000 OD. $20,616 6% 1.191 1.262 1.338 1.410 6% 3 184 4.375 8% 1.200 1.360 1.400 1.587 8% 3.246 4.506 10% 1.331 1.464 1611 1.772 10% 3.310 4.641
Topic: Time Value of Money and Annuity 1. If you deposit $10 in an account that pays an interest of 5%, compounded annually, how much will you have at the end of 10 years? 50 years? 100 years? 2. Complete the following table solving for the present value PV: Case FV Interest rate 5% No. of periods PV $10,000 $563,000 $5000 A. 5 7835 4% 20 5.5% 3 3. Suppose you want to have $ 0.5 million saved by the time you reach age 30 and suppose that you are 20 years old now. If you can eam 5% on your funds, how much would you have to invest today to reach your goal? 5 million 4. How much would you have to deposit in an account today that pays 12% interest, compounded quarterly, so that I have a balance of $20,000 in the account at the end of 10 years? = 6131 5. Calculate the present value of an annuity-immediate of amount $200 paid annually for 10 years at the rate of interest of 12% per annum. Also calculate its future value at the end of 10 years. PV= 1130
How much will $30,000 grow to in three years, assuming an interest rate of 11% compounded annually? Note: Use tables, Excel, or a financial calculator. Round your final answer to the nearest whole doller. (EV S3 EVot$3 EVA of 31 and EXA.L.53 Multiple Choice $41029 $51,936 $71,029 $39,900

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