Question

TOUP SHswer is incorrect. Try again. Click here to view factor tables What is the future value of 15 periodic payments of $7,690 each made at the end of each period and compounded at 10% answer to O decimal places, e.g. 458,581.) (Round factor values to decimal places 4 and final The future value 32123.03842 Your answer is incorrect. Try again. Click here to view factor tables What is the present value of $7,690 to be received at the end of each of answer to decimal places, eg. 458,581.) periods, discounted at 5% compound interest? (Round factor valves to decimal places, e.g. 1.25124 and final The present value 3043 19413 Click if you would like to show Work for this questioni Open Show Work

Answer 1

Requirement 1:

Future value = Periodic payments x Future value annuity factor (10%, 15 years)

= $7,690 x 34.94973

= $268,763

Requirement 2:

Present value = Periodic payments x Present value annuity factor (5%, 19 years)

= $7,690 x 12.08532

= $92,936