Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question

Transcribed Image Text:Complete the following using present value. (Use the Table 12.3.) (Do not round intermediate calculations. Round the "PV factor" to
4 decimal places and final answer to the nearest cent.)
On PV Table 12.3
Amount
PV of amount
Length
of time
Compounded Periods used
desired at
Rate
Rate used
PV factor used
desired at
end of period
end of period
22,300
12 years
11 %
Semiannually
8 of 18
Next >
< Prev
%24

Transcribed Image Text:Present value interest factor of $1 per period at i% for n periods, PVIF(i,n).
Period
0.5%
1.0%
1.5%
2.0%
3.5%
4.0%
5.5%
0.9479
0.8985
0.8516
2.5%
3.0%
4.5%
5.0%
6.0%
0.9434
6.5%
7.0%
7.5%
8.0%
8.5%
9.0%
9.5%
10.0%
1
0.9950
0.9901
0.9852
0.9804
0.9756
0.9662
0.9569
0.9524
0.9070
0.8638
0.8227
0.9709
0.9615
0.9390
0.9346
0.9302
0.9259
0.9217
0.9174
0.9132
0.9091
0.9901
0.9803
0.9707
0.9612
0.9518
0.9426
0.9335
0.9246
0.9157
0.8900
0.8817
0.8734
0.8653
0.8573
0.8495
0.8417
0.8340
0.8264
0.9851
0.9563
0.9422
3.
0.9706
0.9423
0.9286
0.9151
0.9019
0.8890
0.8763
0.8396
0.8278
0.8163
0.8050
0.7938
0.7829
0.7722
0.7617
0.7513
0.8885
0.8626
0.9802
0.9238
0.8714
0.8548
0.8386
0.8072
0.7773
0.7299
0.6853
4
0.9610
0.9060
0.7921
0.7629
0.7488
0.7350
0.6956
0.6352
0.5801
0.7216
0.7084
0.6830
0.9754
0.9515
0.9283
0.9057
0.8839
0.8420
0.8219
0.8025
0.7835
0.7651
0.7473
0.7130
0.6966
0.6806
0.6650
0.6499
0.6209
0.7252
0.6874
0.6516
0.9705
0.9420
0.9145
0.8880
0.8623
0.8375
0.8135
0.7903
0.7679
0.7462
0.7050
0.6663
0.6480
0.6302
0.6129
0.5963
0.5645
0.7107
0.6651
0.7860
0.7594
0.7348
0.7032
0.9657
0.9327
0.9010
0.8706
0.8413
0.8131
0.7599
0.6435
0.6227
0.6028
0.5835
0.5649
0.5470
0.5298
0.5132
8.
0.9609
0.9235
0.8877
0.8535
0.8207
0.7894
0.7307
0.6768
0.6274
0.6042
0.5820
0.5607
0.5403
0.5207
0.5019
0.4838
0.4665
0.5439
0.6176
0.5854
9.
0.9561
0.9143
0.8746
0.8368
0.8007
0.7664
0.7337
0.7026
0.6729
0.6446
0.5919
0.5674
0.5216
0.5002
0.4799
0.4604
0.4418
0.4241
0.4632
0.5327
0.5002
10
0.9513
0.9053
0.8617
0.8203
0.7812
0.7441
0.7089
0.6756
0.6439
0.6139
0.5584
0.5083
0.4852
0.4423
0.4224
0.4035
0.3855
0.3505
0.4751
0.4440
11
0.9466
0.8963
0.8489
0.8043
0.7621
0.7224
0.6849
0.6496
0.6162
0.5847
0.5549
0.5268
0.4513
0.4289
0.4076
0.3875
0.3685
0.3186
0.4697
0.4410
0.4199
0.3971
0.3757
0,3555
0.3365
0.5260
0.4986
0.7436
0.7014
0.5568
0.4970
0.6618
0.6394
12
0.9419
0.8874
0.8364
0.7885
0.6246
0.5897
0.3677
0.3073
0.2897
0.4150
0.3878
0.3624
0.3387
0.3906
0.3463
0.3262
0.2992
13
0.9372
0.8787
0.8240
0.7730
0.7254
0.6810
0.6006
0.5643
0.5303
0.4688
0.7077
0.6611
0.6178
0.5775
0.5400
0.5051
0.4726
0.4423
0.4141
0.3633
0.3405
0.3191
0.2807
0.2633
0.8700
0.8613
14
0.9326
0.8118
0.7579
0.7999
0.7430
0.6905
0.6419
0.5969
0.5553
0.5167
0.4810
0.4479
0.4173
0.3888
0.3380
0.3152
0.2941
0.2745
0.2563
0.2394
15
0.9279
0.4246
0.3936
0.3651
0.3144
0.2919
0.2711
0.2519
0.2341
0.2176
0.6232
0.6050
16
0.9233
0.8528
0.7880
0.7284
0.6736
0.5767
0.5339
0.4945
0.4581
0.2138
0.1952
0.1783
0.1628
0.6572
0.5572
0.5134
0.4732
0.4363
0.4024
0.3714
0.3428
0.3166
0.2925
0.2703
0.2499
0.2311
0.1978
0.7142
0.7002
0.7764
0.8444
0.8360
17
0.9187
0.2720
0.2502
0.2303
0.2120
0.1799
0.7649
0.6412
0.5874
0.5384
0.4936
0.4528
0.4155
0.3815
0.3503
0.3219
0.2959
18
0.9141
0.1635
0.1486
0.2317
0.2122
0.1945
0.2765
0.2584
0.2415
0.2257
0.8277
0.7536
0.6864
0.6255
0.5703
0.5202
0.4746
0.4333
0.3957
0.3616
0.3305
0.3022
0.2531
0.9096
0.9051
19
0.2354
0.2190
0.1784
0.1637
0.5026
0.4564
0.4146
0.3769
0.3427
0.3118
0.2838
0.2145
0.1956
0.5537
0.5375
20
0.8195
0.7425
0.6730
0.6103
0.1803
0.1662
0.1351
0.1228
0.1987
0.1487
0.2665
0.2502
0.2942
0.3589
0.3418
0.3249
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21
0.9006
0.8114
0.7315
0.6598
0.5954
0.4856
0.4388
0.3968
0.1502
0.1358
0.2775
0.2037
0.1839
22
0.8961
0.8034
0.7207
0.6468
0.5809
0.5219
0.4692
0.4220
0.3797
0.1378
0.1240
0.1117
0.1703
0.1577
0.3634
0.3256
0.2919
0.2618
0.2349
0.2109
0.1895
0.1531
0.6342
0.5667
0.5067
0.4533
0.4057
0.1133
0.1034
23
0.8916
0.7954
0.7100
0.2767
0.2470
0.2206
0.1971
0.1763
0.1412
0.1264
0.1015
0.6995
0.6217
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0.4919
0.4380
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24
0.8872
0.7876
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0.2622
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0.0945
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0.4637
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0.3607
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0.6790
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0.0863
0.7720
0.7644
26
0.8784
0.2678
0.2356
0.2074
0.1826
0.1609
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0.5859
0.5134
0.4502
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27
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0.6591
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28
0.3207
0.2790
0.2429
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0.8653
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29
0.3083
0.2670
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0.1741
0.1512
0.0521
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0.5521
0.4767
0.4120
0.3563
0.1228
0.0920
0.0691
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30
0.3442
0.2965
0.2555
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0.1902
0.1643
0.1420
0.0548
0.0474
0.7346
0.6303
0.5412
0.4651
0.4000
0.1550
0.1333
0.1147
0.0988
0.0852
0.0735
0.0634
31
0.8567
0.3326
0.2851
0.2445
0.2099
0.1803
0.0582
0.0500
0.0431
0.3883
0.0789
0.0677
0.5306
0.5202
32
0.8525
0.7273
0.6210
0.4538
0.1999
0.1709
0.1462
0.1252
0.1072
0,0919
0.4427
0.3770
0.3213
0.2741
0.2340
0.0624
0.0534
0.0457
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33
0.8482
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0.6118
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0.0626
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35
0.8398
0.5939
0.2050
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0.3450
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36
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0.1962
0.1644
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0.5764
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38
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39
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0.0183
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40
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0.1645
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0.2976
0.0583
0.3633
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41
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