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- Using Excel Formula to find interest rate "i" based on the following problem statement: n=PMT= Pv= Fv=|i=??? 0 -500 1 50 2 100 3 150 4 250 5 500 250Determine the future value of the following single amounts: Invested Amount Interest Rate No. of Periods1. $ 15,000 6% 122. 20,000 8 103. 30,000 12 204. 50,000 4 124. Find the interest rate implied by the following combinations of present and future values: (Round your answer to the nearest whole value.) Present Value Years Future Value Intrest rate A. $400 11 $684 B. $183 4 $249 C. $300 7 $300
- Use factors (from the tables) or a spreadsheet to determine the interest rate per period from the following equation: 0 = −40,000 + 8000(P/A,i*,8) + 8000(P/F,i*,10)II. Complete the table by finding the maturity value. Time (t) Maturity Value (A) Principal (P) Interest Rate (r) 6% 9 mo. P35,600 10% 15 mo. P140,250 P75,800 8 %% 2 yr. P340,200 11% 6 yr. P1,400,500 9% 10 yr.Cullumber Corporation is about to issue $1.120,000 of 9-year bonds that pay a 5% annual interest rate, with interest payable semi- annually. The market interest rate is 6%. Assuming all bonds are issued, how much can Cullumber expect to receive for the sale of these bonds? (a) Your answer is correct. Of the variables listed in the dropdown, choose the variable being calculated? Present value eTextbook and Media Attempts: 1 of 3 used
- Determine the present value of the following single amounts: Future Amount Interest Rate No. of Periods1. $ 20,000 7% 102. 14,000 8 123. 25,000 12 204. 40,000 10 8Interest rates or discount rates. Fill in the interest rates for the following table using one of the three methods below: a. Use the interest rate formula, r=FVPV1n−1. b. Use the TVM keys from a calculator. c. Use the TVM function in a spreadsheet. Present Value Future Value Number of Periods Interest Rate $ 493.61 $ 1,902.61 20 ? $17,077.77 $228,416.84 32 ? $34,251.51 $ 63,755.61 24 ? $26,813.61 $212,279.67 10 ? Present Value Future Value Number of Periods Interest Rate $ 493.61 $ 1,902.61 20 nothing% (Round to two decimal places.) $17,077.77 $228,416.84 32 nothing% (Round to two decimal places.) $34,251.51 $ 63,755.61 24 nothing% (Round to two decimal places.) $26,813.61 $212,279.67 10 nothing% (Round to two decimal places.)Consider the following money market information being quoted: Which of the following statements is true? Particulars GBP Interest Rate THB Interest Rate Spot Rate 1-year Expected Spot Rate Bid Rate 6.100% 10.550% THB5.6601/GBP THB5.9037/GBP C. Ask Rate 6.125% 10.625% THB5.6622/GBP THB5.9961/GBP a. There is an arbitrage which can only be made by initially borrowing GBP and then investing in THB. b. More than one of the options in this question are correct. The THB is selling at a premium to the GBP in the future. O d. There is an arbitrage which can only be made by initially borrowing THB and then investing in GBP.
- Given the following, construct a choice table for interest rates from 0% to 100%. Year X Y 0 −$10 −$20 1 15 28Use factors and a spreadsheet to determine the interest rate per period from the following equation: 0 = -32,000 + 8, 000 (P/A,i*,5) + 8, 000 (P/F,ï* ,8) The interest rate per period is %.Prepare interest tables similar to shown below. Tables should be prepared for different interest rates and periods. Keep 4 digits for the factors. (i=1,2,3,4,5,6,7,8,9,10,12,15,18,20,25,30,40,50 and n=1,2,...50) P/F PIA F/P FIA A/P A/F 1 0,9901 1,0100 0,9803 1,0201 i=1 0,9706 1,0303 .... ... ... 49 0,6141 1,6283 50 0,6080 1,6446
