1.Future Value: Ordinary Annuity versus Annuity Due
What is the future value of a 3%, 5-year ordinary annuity that
pays $250 each year? Round your answer to the nearest cent.
$
If this were an annuity due, what would its future value be?
Round your answer to the nearest cent.
$
2. Present and Future Value of an Uneven Cash Flow Stream
An investment will pay $100 at the end of each of the next 3
years, $400 at the end of Year 4, $500 at the end of Year 5, and
$700 at the end of Year 6. If other investments of equal risk earn
11% annually, what is its present value? Round your answer to the
nearest cent.
$
What is its future value? Round your answer to the nearest
cent.
$
3. Annuity Payment and EAR
You want to buy a car, and a local bank will lend you $25,000.
The loan would be fully amortized over 6 years (72 months), and the
nominal interest rate would be 10%, with interest paid monthly.
What is the monthly loan payment? Round your answer to the nearest
cent.
$
What is the loan's EFF%? Round your answer to two decimal
places.
%
4. Uneven Cash Flow Stream
Year |
Cash Stream A |
Cash Stream B |
1 |
$100 |
$300 |
2 |
400 |
400 |
3 |
400 |
400 |
4 |
400 |
400 |
5 |
300 |
100 |
5. Future Value of an Annuity for Various Compounding Periods
Find the future values of the following ordinary annuities:
1.Future Value: Ordinary Annuity versus Annuity Due What is the future value of a 3%, 5-year...
13. Problem 5.25 (Future Value of an Annuity) eBook Find the future values of the following ordinary annuities: a. FV of $400 paid each 6 months for 5 years at a nominal rate of 15% compounded semiannually. Do not round intermediate calculations. Round your answer to the nearest cent. b. FV of $200 paid each 3 months for 5 years at a nominal rate of 15% compounded quarterly. Do not round intermediate calculations. Round your answer to the nearest cent....
Find the future values of the following ordinary annuities: a. PV of $200 paid each 6 months for 5 years at a nominal rate of 7% compounded semiannually. Do not round intermediate calculations. Round your answer to the nearest cent. b. FV of $100 paid each 3 months for 5 years at a nominal rate of 7% compounded quarterly. Do not round intermediate calculations. Round your answer to the nearest cent c. These annuities receive the same amount of cash...
Future Value: Ordinary Annuity versus Annuity Due 1.What is the future value of a 10%, 5-year ordinary annuity that pays $800 each year? Round your answer to the nearest cent. 2. If this were an annuity due, what would its future value be? Round your answer to the nearest cent.
Future Value: Ordinary Annuity versus Annuity Due What is the future value of a 4%, 5-year ordinary annuity that pays $600 each year? Round your answer to the nearest cent. $ If this were an annuity due, what would its future value be? Round your answer to the nearest cent. $
1. You have $49,061.69 in a brokerage account, and you plan to deposit an additional $5,000 at the end of every future year until your account totals $200,000. You expect to earn 9.1% annually on the account. How many years will it take to reach your goal? Round your answer to the nearest whole number. 2. Present and Future Value of an Uneven Cash Flow Stream An investment will pay $100 at the end of each of the next 3...
Problem 4-6 Future Value: Ordinary Annuity versus Annuity Due What is the future value of a 4%, 5-year ordinary annuity that pays $600 each year? Round your answer to the nearest cent. $ If this were an annuity due, what would its future value be? Round your answer to the nearest cent. $
Problem 4-6 Future Value: Ordinary Annuity versus Annuity Due What is the future value of a 8%, 5-year ordinary annuity that pays $650 each year? Round your answer to the nearest cent. $ If this were an annuity due, what would its future value be? Round your answer to the nearest cent. $
3. You want to buy a car, and a local bank will lend you $20,000. The loan would be fully amortized over 3 years (36 months), and the nominal interest rate would be 12%, with interest paid monthly. What is the monthly loan payment? Round your answer to the nearest cent. $ What is the loan's EFF%? Round your answer to two decimal places. % 4. Find the present values of the following cash flow streams. The appropriate interest rate...
3. Problem 5.25 (Future Value of an Annuity) eBook 1 Problem Walk-Through Find the future values of the following ordinary annuities: a. FV of $600 paid each 6 months for 5 years at a nominal rate of 12% compounded semiannually. Do not round intermediate calculations. Round your answer to the nearest cent. b. FV of $300 paid each 3 months for 5 years at a nominal rate of 12% compounded quarterly. Do not round intermediate calculations. Round your answer to...
8. Problem 5.15 (Present Value of an Annuity) eBook Find the present values of these ordinary annuities. Discounting occurs once a year. Do not round intermediate calculations. Round your answers to the nearest cent. a. $200 per year for 16 years at 6%. b. $100 per year for 8 years at 3%. C. $200 per year for 8 years at 0%. d. Rework previous parts assuming they are annuities due. Present value of $200 per year for 16 years at...