Find the present value of the following future amount. $500,000 at 9% compounded annually for 25 years

Q: Determine the present value of $1,200,000 to be paid after 20 years if the discount rate were 6%.

A: Future value = $ 1,200,000 Discount rate = 6% Period = 20 Years

Q: present value of annuity of $10,000 at 5% for 5 years.

A:

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: What is the present value of a perpetuity with the annual payment of $4,000 at the annual interest…

A: The present value is used to estimate the current value of a future payment or cash flow. It entails…

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 future value of the given amount. Round the result to the nearest cent. $1200 at 5%,…

A: In finance, the effective interest rate shows the actual amount of interest to be paid or received…

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

A: Future value of annuity is computed as follows:-FV= A*whereFV= Future value of annuityA= annuityr=…

Q: What is the present value of a $90,000 annual annuity for 10 years with an additional $1,000,000…

A: The present value of investment is the sum of present value of annuity and the present value of…

Q: What is the present value of a stream of $800 cash payments, each to be made at the end of the next…

A: Given:

Q: Find the monthly payment that will yield the given future value: $250,000 @ 10.5% interest for…

A: Introduction: Annuity can be defined as the set of payments made at equal intervals. Annuity due…

Q: What is the present value of $2,000 received today,  $2,500 received at the end of each of the next…

A: Present value of cashflow for any year = Cashflow for that year/(1+ discount rate)^time Cashflow for…

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

A: Excel Spreadsheet: Excel Workings:

Q: The future value of $500 to be received at the end of each year for seven years at adiscount rate of…

A: Computation of future value:Therefore, the future value is $4,461.40.

Q: Compute the future value o

A: Future Value is defined as the amount that is accumulated at some upcoming period of time. The…

Q: Find the lump sum deposited today that will yield the same total amount as payments of $15,000 at…

A: Answer -   Formula for Lump Sum deposited Today -  P = R ( 1 - (1+i)-n/ i)

Q: The future value of an ordinary annuity of $2,000 each year for 10 years, deposited at 12%, is:

A: The future value of ordinary annuity is calculated when the payments are made at end of the year. In…

Q: Find the amount necessary to fund the given withdrawals  yearly withdrawals of $1150 for 10 years;…

A: Present value of annuity: Annuity payment * Present Annuity Factor of $1 at i% for n years. Where, i…

Q: Find the future value of an annuity due of $100 each quarter for 2 1/2 years at 12% compounded…

A: Formula: FV = { P [ ( 1 + r )N - 1 ] / R } ( 1 + r ) P = Principal value R = Interest.