Assuming that money is worth 10%, compute the present value of: 1. $15,000 received 15 years from today. $0 2. The right to inherit $4,250,000 14 years from now. $0 3. The right to receive $11,000 at the end of each of the next six years.

Q: A property will provide $24,400 at the end of each year forever. If its value is $245,000, what must…

A: Annual Cash Flow = $24,400Perpetuity Value (Property Value) = $245,000

Q: If Taylor Greene invests a maximum of __________ today at a rate of 8.5%, then he will approve a…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: 0 years at an 6.9% rate of return you'll have accumulated? keep 2 d

A: To know the accumulated amount, future value of the investment amount or principal amount is to be…

Q: How much money should I expect to receive in 10 years if I invest $585 every year for 10 years at…

A: Accumulated value of an annuity needs to be determined. This is time value of money (TVM) concept…

Q: Find the present value that will generate the future value of $8000, compounded annually at 5% for 2…

A: Formulas: Present value = Future value / (1+rate)^years

Q: The future value of $3000 deposited a year of 4 years earning 6 percent would be

A: The question is related to Time Value of money. Future Value  is the value at some future time of a…

Q: Find the lump sum deposited today that will yield the same total amount as this yearly payment made…

A: Present value of annuity is the current value of the future payments that are calculated using the…

Q: Determine the present value if $5,000 is received in the future (that is ,at the end of each…

A: Present Value: It is the present worth of the future annuity cash flow stream. Present value is…

Q: A person is offered a gift of $5,000 now or $8,000 five years from now. If such funds could be…

A: Time value of money :— According to this concept, Value of money in present day is greater than the…

Q: You will receive a ​$80,000 inheritance in 5 years. You could invest that money today at 7​%…

A: Future value = Present value ( 1 + Rate of interest ) TIme

Q: If I invest $500 at the end of each quarter for 10 years which earns 8% interest annually. What…

A: We need to use future value annuity formula to get value after 10 years. Future value =PMT(1+i)n-1i…

Q: Five years from today, you plan to invest $5,050 for 7 additional years at 7.9 percent compounded…

A: The worth of a present asset at a future date based on an estimated rate of growth is known as…

Q: You invest a single amount for 5 years at 10 percent.At the end of 5 years, you take the proceeds…

A: Future value is the value of annuity on a future date when invested for certain growth or return on…

Q: years

A: 7 years starting from the beginning of the month , so the number of times it grows  n = 1+7*12= 85…

Q: Fifteen years from now, you will be inheriting $45,000. What is this inheritance worth to you today…

A: Future value = $45,000Rate = 8.0%Number of years = 15

Q: What lump sum of money – deposited today – will accrue (grow) to a future value of $15,000 at 3 1/2%…

A: Given data; Future value = $15,000 interest rate = 3 1/2% = 3.5% number of years = 5 1/2 = 5.5 years…

Q: What lump sum of money – deposited today – will accrue (grow) to a future value of $9,280 at 9 ¾…

A: Given: Future Value = $9,280 Annual Interest Rate  = 9.75%, compounded monthly Period in years = 2.5…

Q: You have accumulated $1,793,836 for your retirement. How much money can you withdraw for the next 14…

A: Given that:Accumulated amount=$1793836Years=14Rate=9.90 % per year(Compounded annually)

Q: You invest a single amount of AED 30000 for 10 years at 7 percent. At the end of 10 years you take…

A: Computation:

Q: nd the present value that will generate the future value of $1,000 at 7% compounded yearly for 7…

A: Using excel PV function

Q: An inheritance of $400,000 will provide HOW MUCH at the end of each year for the next 20 years, at…

A: Data given:: PV= $400,000 n=20 years i= 7% (compounded annually)     Formula to be used: PV=…

Q: Find the Future Value for $20,000 invested every year and compounded annually for 8 years at 10%

A: Excel Spreadsheet: Excel Workings:

Q: Consider an inheritance that pays the beneficiary an annuity of $750 that begins immediately (an…

A: Annuity = a = $750Number of Payment = n = 20Interest Rate = r = 3%Annuity for year 14 = $0Payment…

Q: If you deposit $2,000 into an account at the end of each of the next 40 years, at 4.5% interest, how…

A: It can be solved using  In excel FV (rate, nper, pmt, [Pv], [type]) Rate The interest rate for the…

Q: Tran Lee plans to set aside $1, 800 a year for the next six years, earning 4 percent. What would be…

A: An annuity refers to a series of cash flow that are usually fixed in nature and that occurs…