time value of money calculation, business & finance homework help

User Generated

xhlxraqnyy2332

Business Finance

Description

  1. If we place $8,592.00 in a savings account paying 7.5 percent interest compounded annually, how much will our account accrue to in 9.5 years?
  2. What is the present value of $992 to be received in 13.5 years from today if our discount rate is 3.5 percent?
  3. If you bought a stock for $45 dollars and could sell it fifteen years later for three times what you originally paid. What was your return on owning this stock?
  4. Suppose you bought a house for $3,250,000 to make it a nursing home in the future. But you have not committed to the project and will decide in nine years whether to go forward with it or sell off the house. If real estate values increase annually at 1.5%, how much can you expect to sell the house for in nine years if you choose not to proceed with the nursing home project?
  5. If your daughter wants to earn $215,000 within the next twenty-three years and the salaries grow at 4.45% per year. What salary should she start to reach her goal?

User generated content is uploaded by users for the purposes of learning and should be used following Studypool's honor code & terms of service.

Explanation & Answer

Please find answer in excel sheet sheet as required.Thank you.

Present value(PV)
Time(n)
Interest rate(i)
Future Value(FV)
...


Anonymous
Nice! Really impressed with the quality.

Studypool
4.7
Trustpilot
4.5
Sitejabber
4.4

Similar Content

Related Tags