Find the future worth in year 10 of an investment that starts at $1700 in year 1 and increases by 9% each year. The interest rate is 15% per year. Select one: O a. 31210 O b. 11753 O c. 39665 O d. 47601 O e. 7706

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A: Investment schedule:

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A: future value formula: Future value=present value×1+rateyears

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A: Present Value (PV) is a financial concept that pertains to the valuation of future cash flows in…

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A: YearsDollar Return115%212%39%41-(15%+12%+9%) = 64%

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Q: What is the present value of $14,000 to be received in one year if the interest rate is 8% p.a.? a.…

A: Using excel PV function

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Q: You have the opportunity to purchase a security that will pay you $100,000 when it matures in three…

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A: Present value is the current value of certain amount of future money at a required rate of return or…

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A: Present Value  = Future Value /( 1 + r)n Where, r = periodic interest rate = 8% ( assuming 8%…

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A: The present value of all cash flows can be used to calculate the current value of an investment.

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A: Future value is that amount which will be require to paid at some specified period of time. It…

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A: The value of money at present is known as the present worth of the money while the value of money in…

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A: A present asset's future value, abbreviated as FV, is the value that an asset is expected to have at…

Q: what is correct

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Q: Solve for the future worth in year 8 given that the interest rate is at 10% per year.

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

Present Value

Present value (PV) is defined as the current or present value of all future sums of cash flow or money at a specified rate of return. This rate of return is known as the discounted rate, which is essentially the interest rate, discounted over some time. The expected cash flows are discounted at a discount rate to compute the present value. The higher the discount rate, the higher the future value (FV), but the lower the present value.