only. (2) Use four decimal places for your calculations. Show your answers by rounding the calculation results to two decimal places if the answers are in dollars. For example, if your calculation results in $100.1265, show your answer as $100.13. If you need to show your answers as a percent, take four decimal places from your calculation, converting them into a percent. For example, if your calculation results in 0.4567, show 45.67%, not 46 %. To set your Texas Instrument BA II PLUS calculator at 4 decimal places, press [2ND] FORMAT 4 [ENTER]. Please follow the instructions for homework assignments on the syllabus. Questions Part I (TVM of lump-sum amounts): Find the following values. (1) The future value of $300 compounded for 10 years at 10% (2) The present value of $300 due in 10 years at a discount rate of 10% Part II (Annuities): Find the following values. (3) The future value of $500 per year for 20 years at 10%. Assume that payments are made at the end of each year. (4) The future value of $500 per year for 20 years at 10%. Assume that payments are made at the beginning of each year. (5) The present value of $500 per year for 20 years at 10%. Assume that payments are made at the end of each year. (6) The present value of $500 per year for 20 years at 10%. Assume that payments are made at the beginning of each year. (7) The future value of $600 each 6 months for 5 years at nominal rate of 8%, compounded semiannually. Assume that payments are made at the end of each semiannual period. (8) The future value of $300 each 3 months for 5 years at nominal rate of 8%, compounded quarterly. Assume that payments are made at the end of each quarter. (9) The present value of $600 each 6 months for 5 years at nominal rate of 8%, compounded semiannually. Assume that payments are made at the end of each semiannual period. Part III (Loan amortization) (10) You are planning to borrow $500,000 on a 5-year, 10%, annual payment, fully amortized term loan. What fraction (percentage) of the payment made at the end of the second year will represent repayment of principal?
only. (2) Use four decimal places for your calculations. Show your answers by rounding the calculation results to two decimal places if the answers are in dollars. For example, if your calculation results in $100.1265, show your answer as $100.13. If you need to show your answers as a percent, take four decimal places from your calculation, converting them into a percent. For example, if your calculation results in 0.4567, show 45.67%, not 46 %. To set your Texas Instrument BA II PLUS calculator at 4 decimal places, press [2ND] FORMAT 4 [ENTER]. Please follow the instructions for homework assignments on the syllabus. Questions Part I (TVM of lump-sum amounts): Find the following values. (1) The future value of $300 compounded for 10 years at 10% (2) The present value of $300 due in 10 years at a discount rate of 10% Part II (Annuities): Find the following values. (3) The future value of $500 per year for 20 years at 10%. Assume that payments are made at the end of each year. (4) The future value of $500 per year for 20 years at 10%. Assume that payments are made at the beginning of each year. (5) The present value of $500 per year for 20 years at 10%. Assume that payments are made at the end of each year. (6) The present value of $500 per year for 20 years at 10%. Assume that payments are made at the beginning of each year. (7) The future value of $600 each 6 months for 5 years at nominal rate of 8%, compounded semiannually. Assume that payments are made at the end of each semiannual period. (8) The future value of $300 each 3 months for 5 years at nominal rate of 8%, compounded quarterly. Assume that payments are made at the end of each quarter. (9) The present value of $600 each 6 months for 5 years at nominal rate of 8%, compounded semiannually. Assume that payments are made at the end of each semiannual period. Part III (Loan amortization) (10) You are planning to borrow $500,000 on a 5-year, 10%, annual payment, fully amortized term loan. What fraction (percentage) of the payment made at the end of the second year will represent repayment of principal?
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
![only. (2) Use four decimal places for your calculations. Show your answers by
rounding the calculation results to two decimal places if the answers are in
dollars. For example, if your calculation results in $100.1265, show your answer
as $100.13. If you need to show your answers as a percent, take four decimal
places from your calculation, converting them into a percent. For example, if your
calculation results in 0.4567, show 45.67%, not 46 %. To set your Texas
Instrument BA II PLUS calculator at 4 decimal places, press [2ND] FORMAT 4
[ENTER]. Please follow the instructions for homework assignments on the
syllabus.
Questions
Part I (TVM of lump-sum amounts): Find the following values.
(1) The future value of $300 compounded for 10 years at 10%
(2) The present value of $300 due in 10 years at a discount rate of 10%
Part II (Annuities): Find the following values.
(3) The future value of $500 per year for 20 years at 10%. Assume that
payments are made at the end of each year.
(4) The future value of $500 per year for 20 years at 10%. Assume that
payments are made at the beginning of each year.
(5) The present value of $500 per year for 20 years at 10%. Assume that
payments are made at the end of each year.
(6) The present value of $500 per year for 20 years at 10%. Assume that
payments are made at the beginning of each year.
(7) The future value of $600 each 6 months for 5 years at nominal rate of 8%,
compounded semiannually. Assume that payments are made at the end of each
semiannual period.
(8) The future value of $300 each 3 months for 5 years at nominal rate of 8%,
compounded quarterly. Assume that payments are made at the end of each
quarter.
(9) The present value of $600 each 6 months for 5 years at nominal rate of 8%,
compounded semiannually. Assume that payments are made at the end of each
semiannual period.
Part III (Loan amortization)
(10) You are planning to borrow $500,000 on a 5-year, 10%, annual payment,
fully amortized term loan. What fraction (percentage) of the payment made at
the end of the second year will represent repayment of principal?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F051c9196-50a4-40b8-88ff-2b68de20c4c2%2F792ffc32-9011-4794-808f-b1354e1dec0e%2Fgaxr0o_processed.jpeg&w=3840&q=75)
Transcribed Image Text:only. (2) Use four decimal places for your calculations. Show your answers by
rounding the calculation results to two decimal places if the answers are in
dollars. For example, if your calculation results in $100.1265, show your answer
as $100.13. If you need to show your answers as a percent, take four decimal
places from your calculation, converting them into a percent. For example, if your
calculation results in 0.4567, show 45.67%, not 46 %. To set your Texas
Instrument BA II PLUS calculator at 4 decimal places, press [2ND] FORMAT 4
[ENTER]. Please follow the instructions for homework assignments on the
syllabus.
Questions
Part I (TVM of lump-sum amounts): Find the following values.
(1) The future value of $300 compounded for 10 years at 10%
(2) The present value of $300 due in 10 years at a discount rate of 10%
Part II (Annuities): Find the following values.
(3) The future value of $500 per year for 20 years at 10%. Assume that
payments are made at the end of each year.
(4) The future value of $500 per year for 20 years at 10%. Assume that
payments are made at the beginning of each year.
(5) The present value of $500 per year for 20 years at 10%. Assume that
payments are made at the end of each year.
(6) The present value of $500 per year for 20 years at 10%. Assume that
payments are made at the beginning of each year.
(7) The future value of $600 each 6 months for 5 years at nominal rate of 8%,
compounded semiannually. Assume that payments are made at the end of each
semiannual period.
(8) The future value of $300 each 3 months for 5 years at nominal rate of 8%,
compounded quarterly. Assume that payments are made at the end of each
quarter.
(9) The present value of $600 each 6 months for 5 years at nominal rate of 8%,
compounded semiannually. Assume that payments are made at the end of each
semiannual period.
Part III (Loan amortization)
(10) You are planning to borrow $500,000 on a 5-year, 10%, annual payment,
fully amortized term loan. What fraction (percentage) of the payment made at
the end of the second year will represent repayment of principal?
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