Find the present values of these ordinary annuities. Discounting occurs once a year. Do not round intermediate calculations. Round your answers to the nearest cent. a. $800 per year for 14 years at 6%. $ b. $400 per year for 7 years at 3%. $ c. $300 per year for 7 years at 0%. $ d. Rework previous parts assuming they are annuities due. Present value of $800 per year for 14 years at 6%: $ Present value of $4 per year for 7 ye at 3%: $ Present value of $300 per year for 7 years at 0%: $

Find the present values of these ordinary annuities. Discounting occurs once a year. Do not round intermediate calculations. Round your answers to the nearest cent. a. $800 per year for 14 years at 6%. $ b. $400 per year for 7 years at 3%. $ c. $300 per year for 7 years at 0%. $ d. Rework previous parts assuming they are annuities due. Present value of $800 per year for 14 years at 6%: $ Present value of $4 per year for 7 ye at 3%: $ Present value of $300 per year for 7 years at 0%: $

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

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Find the present values of these ordinary annuities. Discounting occurs once a year. Do not round intermediate calculations. Round your answers to the nearest cent. a. $400 per year for 14 years at 10%. $ b. $200 per year for 7 years at 5%. $ c. $500 per year for 7 years at 0%, $ d. Rework previous parts assuming they are annuities due. Present value of $400 per year for 14 years at 10%: $ Present value of $200 per year for 7 years at 5%: $ Present value of $500 per year for 7 years at 0%: $
Find the present value and the compound discount of $4000 due in seven years and six months if interest is 8.8% compounded quarterly. The present value is $. (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
Find the present value and the compound discount of $4796.03 due 8.5 years from now if money is worth 4.7% compounded semi-annually. ..... The present value of the money is $. (Round to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
What discount rate would make you indifferent between recieving $3515.00 per year forever and $5920.00 per year for 30.00 years? Assume the first payment of both cash flow streams occurs in one year. (Answer format: percentage, round to two decimal places)
The present sum needed to provide for an annual withdrawal of $2,000 for 20 years beginning 5 years from now at an interest rate of 0.12 per year is closest to: Note: The given interest is already in decimal form. Do not round in between solution. Final answer round to the nearest whole number. No need put comma and UOM (unit of measure).
Find the present value of $800 due in the future under each of the following conditions. Do not round intermediate calculations. Round your answers to the nearest cent. 12% nominal rate, semiannual compounding, discounted back 5 years. $ 12% nominal rate, quarterly compounding, discounted back 5 years. $ 12% nominal rate, monthly compounding, discounted back 1 year. $
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What is the present value of a $1,250 payment made in six years when the discount rate is 8 percent? (Do not round intermediate calculations. Round your answer to 2 decimal places.)
Answer the following questions using Excel's RATE, NPER, PMT, PV and FV functions. 1. If you contribute $1000.00 into an RRSP every six months for fifteen years and interest on the deposits is 8% compounded semi-annually, how much would the balance in the RRSP be after the last contribution?
3 O Find the future values of these ordinary annuities. Compounding occurs once a year. Do not round intermediate calculations. Round your answers to the nearest cent. a. $400 per year for 16 years at 6%. $ 2,790.13 b. $200 per year for 8 years at 3%. $ 1,768.79 c. $900 per year for 8 years at 0%. 7,200 d. Rework parts a, b, and c assuming they are annuities due. Future value of $400 per year for 16 years at 6%: $ Future value of $200 per year for 8 years at 3%: $ Future value of $900 per year for 8 years at 0%: $ $ 2,962.29 1,852.24 7,200
Please show working. please answer a, b, c and d Find the following values using the equations and then a financial calculator. Compounding/discounting occurs annually. Do not round intermediate calculations. Round your answers to the nearest cent. a. An initial $300 compounded for 1 year at 7%. b. An initial $300 compounded for 2 years at 7%. c. The present value of $300 due in 1 year at a discount rate of 7%. d. The present value of $300 due in 2 years at a discount rate of 7%.
Now rework parts a, b, and c assuming that payments are made at the beginning of each year; that is, they are annuities due. Present value of $800 per year for 10 years at 14%: $ Present value of $400 per year for 5 years at 7%: $ Present value of $800 per year for 5 years at 0%: $

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