You are promised $450 one year from now. Assuming prevailing interest rates are at 4%, what is that promise worth today? a. $430.00 b. $432.69 C. $96.15 d. $450.00

What is the future value of the initial $10,000 deposit after 5 years? We assume current interest rate is = 6%, compounded monthly.     $13,552.6     $13,512.5     $13,277.6     $13,488.5

You will receive $100 from a savings bond in 2 years. The nominal interest rate is 8.40%.   a. If the inflation rate over the next few years is expected to be 3.40%, what will the real value of the $100 payoff be in terms of today’s dollars? (Do not round intermediate calculations. Round your answer to 2 decimal places.) b. What is the real interest rate? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) c. Calculate the real payoff from the bond [from part (a)] discounted at the real interest rate [from part (b)]. (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Use the following 10% present value factors: N 1: 0.9091 N = 2: 0.8264 N= 3: 0.7513 Assume you wish to receive $1,000 at the end of two years. Assuming an interest rate of 10% what amount would you need to deposit todayin order to receive the S1, 000? Round to the nearest penny if necessary.

1. Suppose the term structure of interest rates is shown below: 1 year Term Rate (EAR%) 5.00% 2 years 4.80% 3 years 4.60% 5 years 4.50% 10 years 4.25% 20 years 4.15% What is the present value (PV) of receiving $1100 per year with certainty at the end of the next three years?

What would you prefer to receive if the interest rate is 20%? OA. $64 one year from now B. $95 four years from now OC. $84 three years from now O D. $73 two years from now.

What's the future value of $1,225 after 5 years if the appropriate interest rate is 6%, compounded monthly? a. $1,900.19 b. $1,652.34 c. $1,751.48 d. $1,371.44 e. $1,272.30

4. If you deposit $1000 in one year, $2000 in two years, and $3000 in three years, how much will you have in three years? Assume a 7 percent annum interest rate. NPV FV

Indicate whether the given statements is true (T) or false (F): "$1,791 10 years from now is equivalent to $900 now if the interest rate equals 8% per year".

Assume you make a deposit of $7,500 now into a saving account that pays 12% per year, compounded quarterly. If you want to know the total amount after 2 years, the value of interest rate (i) you should use in the F/P factor is: Select one: а. 3% b. 4 % с. 24% d. 12 %