Homework Answers
Present value is calculated using the excel function PV:
(a) =PV(10%/365,5*365,0,500,) = $303.2861
(b) =PV(10%,10,0,500,) = $192.7716
(c) =PV(10%/4,20.25*4,0,500,) = $67.6608
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3. Present Value. Compute the present value of $500 for the following combinations of annual percentage...
Please show step by step answer. NOT in the excel format. 3. Present Value. Compute the...
Please show step by step answer. NOT in the excel format.
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Please show step by step answer. NOT in the excel format.
3. Present Value. Compute the present value of $500 for the following combinations of annual percentage rates, years, and compounding periods (a) APR-10%, n-5 years, m-365 (daily) (b) APR-10%, n-10 years, m-1 (annually) (c) APR-10%, n-20.25 years, m-4 (quarterly)
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