2 Compute the future worth of the cash flowswith the different interest rates specified. The cashflows occur at the end of each year over fouryears..$500F9%Interest9%Interestcompoundeddailycompoundedcontinuously2Years3$100$100$250$250$400

The value of a venture or income after a timeframe is known as its future value. The most common way…

Answered: 2 Compute the future worth of the cash…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

7. Five equal deposits of $8000 will be made every 3 years starting next year at %12 per year compounded quarterly. What will be the total accrued amount withdrawn 4 years after the last deposit is made?
How long will it take money to double if it earns 4 percent per annum compounded annually?
Question 4 > What present value amounts to $14,950.78 if it is invested for 7 years at 9% compounded every 2 months? The present value is $ (Round to 2 decimal places.) Aloxt Ouostion
Across: 2. payment interval is diffent from compounding period 4. Sequence oof payment made at equal interval of time 5. payment interval is = to compounding period 3 5 7. payments are made at the end of each payment intrval 1 8. Time from start of first payment to the last payment 2 Down: 7 6 1. amount of money required in the beginning. annuity whose 1st payment will sat some future date 6. sum of the accumulated values of the periodic paymen 8
1.12 Choose the equation below that can be used to determine the value of "P" for a known interest rate, i. Hint think in gradient payment series. No need to show work on this one. Year Cash Flow, $ 0 P 1 0 2 -2,000 a) P = 10,000(P/F, i%, 5) - 2,000(P/G, i%, 5) b) P = 10,000- 1,000(P/G, i%, 5) (F/P, 1%, 5) c) P= 10,000(P/F, i%, 5) -2,000(P/G, i%, 5) d) P= -10,000(P/F, i%, 5) + 2,000(P/G, 1%, 4) 3 -4,000 4 -6,000 5 10,000
A student is buying an automobile that costs $12,000 and she will borrow the money from a bank, and pay the loan off in five annual instalments. At 15% interest rate, what is the installment amount ? Prepare a cash flow diagram to represent this situation. $12000 15% 5 years 0 1 2 3 4 A A A A A
2. Find the amount at the end two years znd seven months of P 1M if invested at 9& compounded quarterly and using simple interest for anytime less than a year interest period.
Hemang
Q 6 please
2. A loan earns an interest of 12% compounded- quarterly and should be paid within 6 yrs. How much is the loan if the mode of payment is made this way: *focal point at 6, and draw a cash flow diagram CFD P 0 $ 20,000 2 3 F = P(1+i)n P=F(1+i)¯" $ 30,000 4 $ 15,000 5 i=12% compounded quarterly 6 $40,000 REMEMBER THIS!

Recommended textbooks for you

ENGR.ECONOMIC ANALYSIS

Economics

ISBN:

9780190931919

Author:

NEWNAN

Publisher:

Oxford University Press

Principles of Economics (12th Edition)

Economics

ISBN:

9780134078779

Author:

Karl E. Case, Ray C. Fair, Sharon E. Oster

Publisher:

PEARSON

Engineering Economy (17th Edition)

Economics

ISBN:

9780134870069

Author:

William G. Sullivan, Elin M. Wicks, C. Patrick Koelling

Publisher:

PEARSON

ENGR.ECONOMIC ANALYSIS

Economics

ISBN:

9780190931919

Author:

NEWNAN

Publisher:

Oxford University Press

Principles of Economics (12th Edition)

Economics

ISBN:

9780134078779

Author:

Karl E. Case, Ray C. Fair, Sharon E. Oster

Publisher:

PEARSON

Engineering Economy (17th Edition)

Economics

ISBN:

9780134870069

Author:

William G. Sullivan, Elin M. Wicks, C. Patrick Koelling

Publisher:

PEARSON

Principles of Economics (MindTap Course List)

Economics

ISBN:

9781305585126

Author:

N. Gregory Mankiw

Publisher:

Cengage Learning

Managerial Economics: A Problem Solving Approach

Economics

ISBN:

9781337106665

Author:

Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:

Cengage Learning

Managerial Economics & Business Strategy (Mcgraw-…

Economics

ISBN:

9781259290619

Author:

Michael Baye, Jeff Prince

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS

2 Compute the future worth of the cash flows with the different interest rates specified. The cash flows occur at the end of each year over four years.. $500 F 9% Interest 9% Interest compounded daily compounded Years continuously 2 3 $100 $100 $250 $250 $400