Nidhi_Patel_Chapter 4 Homework

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Temple University *

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3101

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Finance

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Feb 20, 2024

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xlsx

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13

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PROBLEM (1-4) TVM MULTIPLE UNEVEN YEAR CASH FLOW r 1 $ 500.00 8% 2 $ 1,000.00 3 $ 2,000.00 4 $2,907.97 5 YR OF LAST CASH FLOW 3 FV $3,663.20 PV $2,907.97 TVM ANNUITY PMT 100 YEARS 15 RATE 10.00% FVA $3,177.25 PVA $760.61 (1) You plan the following deposits into your bank account : $500 next year, $1,000 the following year and $2, time deposit would you need to support the indicated withdrawals? Enter the rate, the cash flows and the ans displayed as positive values. (2) If the withdrawals in Question 1 were deposits instead and you could earn 8% per year, what would your b displayed as a positive value. (3) If you were to make annual deposits of $100 over the next 15 years earning 10% per year, what would you appropriate cells in column B and set this up so that your answer is displayed as a positive value. (4) If you wanted to make annual withdrawals of $100 over the next 15 years, earning 10% per year, what one question #3 and set this up so that your answer is displayed as a positive value.
,000 the year after that. If you can earn an annual rate of return of 8%, what one- swer in the indicated cells in column B. Be sure that all dollar figures in column B are balance be immediately after your last deposit? Be sure that your answer is ur balance be immediately after making your final deposit? Enter the inputs into the e-time deposit would you need to make today? Use the inputs from column B from
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PROBLEM (5-6) (6) For the loan in #5, prepare the first two monthly payment rows of the amortization table. LOAN AMOUNT $ 250,000.00 TERM OF LOAN N YEARS 30.00 ANNUAL INTEREST RATE 6.00% TERM OF LOAN IN MONTHS 360.00 MONTHLY INTEREST RATE 0.50% FIXED LOAN PAYMENT (ANNUAL) $18,162.23 FIXED LOAN PAYMENT (MONTHLY) $1,513.52 AMORTIZATION TABLE PAYMENT BEGINNING BALANCE FIXED PAYMENT 1 $ 250,000.00 $1,513.52 2 $ 249,736.48 $1,513.52 (5) Assume a 30-year mortgage loan for $250,000 for 30 years at an annual rate of 6%. What would be your that your answers are displayed as positive values. Round all values to two places after the decimal point.
INTEREST PRINCIPAL ENDING BALANCE $ 1,250.00 $263.52 $ 249,736.48 $ 1,248.68 $264.84 $ 249,471.64 fixed annual and monthly payments? Enter the inputs into the appropriate cells in column B and set this up so
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PROBLEM (7-9) ANNUAL WITHDRAWALS $100,000 RETIREMENT PERIOD (YEARS) 20.00 RATE (%) 7.00% ANSWER #7 $25,841.90 RETIREMENT TARGET GOAL $ 2,000,000.00 RATE 5.00% WORKING YEARS 35.00 ANSWER #8 $22,143.41 RETIREMENT NEST EGG $ 1,500,000.00 YEARS OF RETIREMENT 25.00 RATE (%) 6.00% ANSWER #9 $27,340.08 (7) You want to be able to make annual withdrawals of $100,000 during your 20-year retirement period. If you can column B and set this up so that your answers are displayed as positive values. (8) It's been determined that you need to have $2 million by the time you retire. If you can earn 5% per year, how m and make sure that your answer is displayed as a positive value. (9) Assume that you have accumulated $1.5 million by the time that you retire and you can earn 6% per year. Wha from this question into the relevant cells in column B and make sure that your answer is displayed as a positive valu
n earn 7% per year, what amount do you need at the beginning of your retirement period? Enter the in much must you save or invest each year of your 35-year working life? Enter the values from this questi at size equal annual withdrawals could you make during your retirement just leaving you with a zero ba ue.
nputs into the appropriate cells in tion Iinto the relevant cells in column B alance after 25 years? Enter the values
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Questions Score Data in cell(s): B11, in worksheet: Problem 1-4 1 Data in cell(s): B12, in worksheet: Problem 1-4 1 Data in cell(s): B13, in worksheet: Problem 1-4 1 Data in cell(s): B14, in worksheet: Problem 1-4 0 Data in cell(s): B15, in worksheet: Problem 1-4 0 Data in cell(s): C11, in worksheet: Problem 1-4 1 Data in cell(s): B18, in worksheet: Problem 1-4 0 Data in cell(s): B19, in worksheet: Problem 1-4 0 Data in cell(s): B27, in worksheet: Problem 1-4 1 Data in cell(s): B28, in worksheet: Problem 1-4 1 Data in cell(s): B29, in worksheet: Problem 1-4 1 Data in cell(s): B31, in worksheet: Problem 1-4 1 Data in cell(s): B32, in worksheet: Problem 1-4 1 Data in cell(s): B8, in worksheet: Problem 5-6 1 Data in cell(s): B9, in worksheet: Problem 5-6 1 Data in cell(s): B10, in worksheet: Problem 5-6 1 Data in cell(s): B11, in worksheet: Problem 5-6 1 Data in cell(s): B12, in worksheet: Problem 5-6 1 Data in cell(s): B13, in worksheet: Problem 5-6 1 Data in cell(s): B14, in worksheet: Problem 5-6 0 Data in cell(s): B18, in worksheet: Problem 5-6 1 Data in cell(s): C18, in worksheet: Problem 5-6 0 Data in cell(s): D18, in worksheet: Problem 5-6 1 Data in cell(s): E18, in worksheet: Problem 5-6 0 Data in cell(s): F18, in worksheet: Problem 5-6 1 Data in cell(s): B19, in worksheet: Problem 5-6 1 Data in cell(s): C19, in worksheet: Problem 5-6 0 Data in cell(s): D19, in worksheet: Problem 5-6 1 Data in cell(s): E19, in worksheet: Problem 5-6 0 Data in cell(s): F19, in worksheet: Problem 5-6 0 Data in cell(s): B12, in worksheet: Problem 7-9 1 Data in cell(s): B13, in worksheet: Problem 7-9 1 Data in cell(s): B14, in worksheet: Problem 7-9 1 Data in cell(s): B15, in worksheet: Problem 7-9 0.5 Data in cell(s): B18, in worksheet: Problem 7-9 1 Data in cell(s): B19, in worksheet: Problem 7-9 1 Data in cell(s): B20, in worksheet: Problem 7-9 1 Data in cell(s): B21, in worksheet: Problem 7-9 1 Data in cell(s): B24, in worksheet: Problem 7-9 1 Data in cell(s): B25, in worksheet: Problem 7-9 1 Data in cell(s): B26, in worksheet: Problem 7-9 1 Data in cell(s): B27, in worksheet: Problem 7-9 0.5 Total Score 31
Max Points 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 42
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Feedback Did you enter the correct value from the question? Did you enter the correct value from the question? Did you apply Formula #9 to each cash flow and then sum them up? Did you use the Excel NPV func Did you solve for PMT using B8 as the PV and converting the number of years and the annual interest Did you enter the correc fixed payment? Did you subtract the interest payment from the fixed payment? Does this represent the correct fixed payment? Did you subtract the interest payment from the fixed payment? Did you subtract the principal part of the fixed payment from the beginning balance for this period? Did you solve for the PV of the annual withdrawals during retirement? Did you solve for PMT using B24 as the PV? 73.8095% then use it with either Formula #8 or in the Excel FV function?