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Each of the following situations is independent. (Future Value of $1. Present Value of $1. Future Value Annuity of $1. Presen
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Answer #1

Answer -

Case No. Calculation Amount ($)
A (i) Future Value

= Present Value * FVIF of $1 (i%, n)

= $170000 * $1(4%,7)

= $170000 * 1.31593

= $223708.1

 223708.1
B (ii) Present Value

= Future Value * PVIF of $1 (i%, n)

= $170000 * $1(5%,6)

= $170000 * 0.74621

= $126855.7

 126855.7
C (iii) Present Value

= Annuity amount * PVAF of $1 (i%, n)

= $3400 * $1(3%,10)

= $3400 * 8.53020

= 29002.68

 29002.68
D (iv) Future Value

= Annuity amount * FVAF of $1 (i%, n)

= $4400 * $1(4%,20)

= $4400 * 29.77808

= $131023.55

 131023.55
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