# Accounting please complete in excel

Anonymous

Question description

please complete in Excel1. Future Values

Using the Excel FV function, calculate the future values with annual compounding:

 Present value Years Interest rate Future value \$ 3,150 6 13% 8,453 19 7% 89,305 13 9% 227,382 21 5%

2. Future Values

If you save and invest \$200 a month for the next 10 years for your 8-year old child, how much money would you have in your child's 529 plan in 10 years if the plan's average return is 9% p.a.? What if you can invest \$300 a month?

3. Present Values

Using the Excel PV function, calculate the present value in each of the following:

 Present value Years Interest rate Future value 15 4% \$ 17,328 8 9% 41,517 13 12% 790,382 25 11% 647,816

4. Present Values

Your father wants to give you some money and he lets you to choose one among the three following payments:

A. \$100,000 today

B. \$10,000 at the beginning of each year (starting today) for the next 15 years

C. \$150,000 five years later

Which method would you prefer if your opportunity cost of money is 8% p.a.?

5. Interest Rates

Using the Excel RATE function, calculate the interest rate in each of the following:

 Present value Years Interest rate Future value \$ 715 9 \$ 1,381 905 6 1,718 15,000 21 141,832 70,300 18 312,815

6. Interest Rates

Your friend is kind enough to lend you \$30,000 today so that you can start a small business. She is giving you three payment plan choices. Which payment plan is the most favorable to you?

A. Pay back a lump sum amount of \$50,000 in 5 years.

B. Pay back \$10,000 a year for the next 4 years, with the first payment starting 1 year from today.

C. Pay back \$1,000 a month for the next 4 years, with the first payment starting 1 month from today.

7. Number of Periods

Using the Excel NPER function, find the number of periods in each of the following:

 Present value Years Interest rate Future value \$ 195 9% \$ 1,105 2,105 7% 3,700 47,800 12% 387,120 38,650 19% 198,212

8. Number of Periods

You want to retire when you accumulate \$2,000,000 in your 401(k) account that returns 10% p.a. on average. If your current 401(k) balance is \$250,000 and you want to invest \$500 a month, when can you retire (in number of months)? How about investing \$700 a month?

9. Fixed Periodic Payments

Using the Excel PMT function, calculate the monthly payments for each of the following:

 Present value Months Interest rate Future value PMT - 24 0.5% \$ 10,000 40,000 60 0.5% - 200,000 240 0.375% - 200,000 360 0.40% -

10. Periodic Payments

You are shopping for a car and got quotes for the same kind of car on financing terms from three different South Florida dealers. All quote the same price of \$30,000 with no down payment.

Dealer A. 0.9% financing for 60 months;

Dealer B. 1.9% for 72 months

Dealer C. 0.0% for 36 months

(1) Which deal will have the least amount of monthly payment?

(2) Also, which deal is the best for you, financially speaking?

(3) Why do you think that is the best option for you?

(Top Tutor) Studypool Tutor
School: Cornell University
Studypool has helped 1,244,100 students
flag Report DMCA

Brown University

1271 Tutors

California Institute of Technology

2131 Tutors

Carnegie Mellon University

982 Tutors

Columbia University

1256 Tutors

Dartmouth University

2113 Tutors

Emory University

2279 Tutors

Harvard University

599 Tutors

Massachusetts Institute of Technology

2319 Tutors

New York University

1645 Tutors

Notre Dam University

1911 Tutors

Oklahoma University

2122 Tutors

Pennsylvania State University

932 Tutors

Princeton University

1211 Tutors

Stanford University

983 Tutors

University of California

1282 Tutors

Oxford University

123 Tutors

Yale University

2325 Tutors