Related to Checkpoint 5.4) (Present-value comparison) You are offered $90,000 today or $340,000 in 11 years. Assuming that you can earn 13 percent on your money, which should you choose? f you are offered $340,000 in 11 years and you can earn 13 percent on your money, what is the present value of $340,000? 5 (Round to the nearest cent.)
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- How much would you invest today in order to receive $30,000 in each of the following (for further Instructions on present value In Excel, see Appendix C): A. 10 years at 9% B. 8 years at 12% C. 14 years at 15% D. 19 years at 18%(Related to Checkpoint 5.4) (Present-value comparison) You are offered $110,000 today or $400,000 in 14 years. Assuming that you can earn 11 percent on your money, which should you choose? If you are offered $400,000 in 14 years and you can earn 11 percent on your money, what is the present value of $400,000? $92797.9392797.93 (Round to the nearest cent.) Which offer should you choose? (Select the best choice below.) A. Choose $110,000 today because its present value is higher. B. Choose $400,000 in 14 years because its present value is higher.(Related to Checkpoint 5.4) (Present-value comparison) You are offered $110,000 today or $400,000 in 14 years. Assuming that you can earn 11 percent on your money, which should you choose? If you are offered $400,000 in 14 years and you can earn 11 percent on your money, what is the present value of $400,000? $nothing (Round to the nearest cent.)
- You are offered $100,000 today or $300,000 in 13 years. Assuming that you can earn 11 percent on your money, which should you choose? If you are offered $300,000 in 13 years and you can earn 11 percent on your money, what is the present value of $300,000? $ ___________(Round to the nearest cent.)(Present-value comparison) You are offered $100,000 today or $340,000 in 15 years. Assuming that you can earn 14 percent on your money, which should you choose?(Related to Checkpoint 5.6) (Solving for i) If you were offered $3,828.00 15 years from now in return for an investment of $800 currently, what annual rate of interest would you earn if you took the offer? The annual rate of interest you would earn if you took the offer is %. (Round to the nearest whole percent.)
- You are offered $90,000 today or $300,000 in 11 years. Assuming that you can earn 14 percent on your money, which should you choose? If you are offered $300,000 in 11 years and you can earn 14 percent on your money, what is the present value of $300,000 ? Round to the nearest cent(Present-value comparison) You are offered $1,300 today, $6,000 in 10 years, or $26.000 in 23 years. Assuming that you can earn 9 percent on your money, which offer should you choose? a. What is the present value of $26,000 in 23 years discounted at 9 percent interest rate? (Round to the nearest cent) b. What is the present value of $6,000 in 10 years discounted at 9 percent interest rate? $(Round to the nearest cent) c. Which offer should you choose? (Select the best choice below) OA. Choose $6,000 in 10 years because its present value is the highest OB. Choose $1,300 today because its present value is the highest OC. Choose $26.000 in 23 years because its present value is the highest ComYou will deposit $30,000 per year into an account beginning today that pays 13 percent per year. How long (in years) would it take for you want have a total of $1,000,000 at retirement? m Nper (or N) =n*m Rate (or I/Y)=i/m PV PMT FV Must identify variables and use excel
- What would be more valuable, receiving $600 today or receiving $900 in four years if interest rates are 8.50 percent? Would you rather received $600 today or $900 in the future? Select either A) or B) and provide support for your answer (use TVM computation to support your answer). A) $600 today B) $900 in the future Provide support for your answer.Instruction: Please calculate the correct amount and show your computation. 1. The future value of P2,500 received today and deposited at 6 percent for five years is 2. The present value of P50,000 to be received 10 years from now, assuming an opportunity cost of 9 percent is, 3. If you expect to retire in 30 years, are currently comfortable living on P 100,000 per year and expect inflation to average 3 percent over the next 30 years, what amount of annual income will you need to live at the same comfort level in 30 years? 4. The future value of a P20,000 annuity due deposited at 8 percent compounded annually for each of the next 10 years is 5. The future value of an ordinary annuity of P1,750 each year for 10 years, deposited at 5 percent is 6. How much is the present value of your investment if you invest P2,000 semi-annually at the start of every six months for a period of 4 years with interest rate of 21 percent per annum? 7. Calculate the present value of your deposits in a…You can choose to take $105,000 in 11 years or $47,000 today. At an interest rate of 9 percent, what is the value of $105,000 now? (Enter your answer as a positive number rounded to 2 decimal places.) a-2. Which option should be selected? $105,000 in 11 years O $47,000 today b-1. Assume an interest rate of 9 percent for 8 years. If the choice is $105,000 in 8 years or $47,000 today, how much is the $105,000 worth today? (Enter your answer as a positive number rounded to 2 decimal places.) b-2. Which option should be selected now? $105,000 in 8 years O $47,000 today