a. The future value of a $560 savings deposit after eight years at an annual interest rate of 3 percent. b. The future value of saving $2,600 a year for five years at an annual interest rate of 4 percent. c. The present value of a $6,800 savings account that will earn 3 percent interest for four years.

a. The future value of a $560 savings deposit after eight years at an annual interest rate of 3 percent. b. The future value of saving $2,600 a year for five years at an annual interest rate of 4 percent. c. The present value of a $6,800 savings account that will earn 3 percent interest for four years.

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter5: The Time Value Of Money

Section: Chapter Questions

Problem 1P

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Question

a. The future value of a $560 savings deposit after eight years at an annual interest rate of 3 percent.
b. The future value of saving $2,600 a year for five years at an annual interest rate of 4 percent.
c. The present value of a $6,800 savings account that will earn 3 percent interest for four years.

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