Q: If the future value of an ordinary, 4-year annuity is $1,000 and interest rates are 6 percent, what…
A: Formula to compute future value of annuity due:
Q: What is the present value of a $300 annuity payment over 5 years if interest rates are 8 percent?
A: Details given are : Annual cashflow = $300 time period = 5 years Interest rate = 8% We require to…
Q: What is the present value of an annuity that pays $58 per year for 13 years and an additional $1,000…
A: We can make use of the financial calculator to obtain the present value, PV. Inputs: I/Y = rate =…
Q: What is the future value of a 5-year ordinary annuity with annual payments of P200, evaluated at a…
A: Future value refers to the amount of current investment after a certain time at a certain rate of…
Q: What's the present value of a $500 annuity payment over four years if interest rates are 8 percent?
A: Given: Annuity payment (P) : $500 Interest rate (Annual) (r) : 8% Time period (n) : 4 years
Q: what is the future value of an ordinary annuity of 2,200 per year for 15 years compounded at 16…
A: To open the "FV function" window - MS-Excel --> Formulas --> Financials --> FV.
Q: A monthly perpetuity of $100 will start 6 months from today. If the discount rate is 6% APR…
A: Interest rate = 6% p.a. compounding monthly I.e. 6/12 = 0.5% for one month Monthly payment amount =…
Q: If you want to be paid from a 14 year ordinary annuity with a guaranteed rate of 2.208% compounded…
A: In finance, the term annuity represents a sequence of cash flows that contain a fixed payment at…
Q: What is the present value of a $900 annuity payment over five years if interest rates are 8 percent?
A: The present value of annuity refers to the current value of a series of future payments. The present…
Q: What is the future value of an ordinary annuity of $2,000 for 4 years, if interest rates are 6…
A: Ordinary Annuity =$2000 Years(n) = 4 Interest rate(r) = 6% Future Value = Ordinary annuity * […
Q: What is the present value of a $775 annuity payment over six years if interest rates are 11 percent?
A: In this question we need to compute the present value of annuity payment from below details: Annuity…
Q: If the present value of an ordinary, six-year annuity is $8,500 and the interest rates are 9.5…
A: Given: Resent value of Ordinary Annuity = $8500 Interest Rate = 9.5% Time =6 years So, the value of…
Q: If you want to be paid from a 15 year ordinary annuity with a guaranteed rate of 4.277% compounded…
A: Annual payment (C) = $10,000 Period (n) = 15 Years rate (r) = 0.04277 (i.e. 4.277%) Present value or…
Q: What is the present value of a $90 annual annuity for 10 years with an additional $1000 received at…
A: Solution:- When an equal amount is paid each period, it is called annuity. The terminal value…
Q: What is the present value of an annuity of $6,000 to be received at the end of each of the next…
A: Present value: This is the amount of future value reduced or discounted at a rate of interest till…
Q: Calculate the present value of a four-period annuity of $200 per year that begins two years from…
A: Present value is calculated by discounting all the future cashflows
Q: A one-year annuity that pays $100 semi-annually will starts its payment in 6 months from now. APR is…
A: Present Value of Ordinary Annuity refers to the concept which dictates the discounted value of a…
Q: What is the future value of a 3-year, $100 ordinary annuity if the annual interest rate is 10%?
A: The future value is the amount that will be received at the end of a certain period. In simple…
Q: If the present value of an ordinary, 6-year annuity is $9,400 and interest rates are 9.5 percent,…
A: Time value of money is the concept widely used by the management to determine the worth of money…
Q: A 5-year $100 ordinary annuity has an annual interest rate of 10%. What is its present value?
A: Present value of annuity is the equivalent value of all the cash flows which will be incurred at…
Q: what's the future value of the same annuity due?
A: An Annuity is a series of payments of fixed amounts and at fixed intervals. These can be of two…
Q: If a 48-month annuity has a present value of $6,700 and an annual discount rate of 5.8%, then how…
A: A theory that helps to compute the present or future value of the cash flows is term as the TVM…
Q: What is the future value of an $800 annuity payment over 15 years if the interest rates are 6…
A: In this question we require to calculate the future value of annuity. Annuity amount (PMT) = $800…
Q: What is the present value of an ordinary annuity of 2,200 per year for 15 years discounted back to…
A: The present value function or concept can be used to determine the present value of a future sum or…
Q: You are considering an annuity which costs $120,000 today. The annuity pays $13,255 a year at an…
A: Given: Present value of Annuity=$120000Annuity =$13255Interest rate (r)=9.75%
Q: What is the future value of a $570 annuity payment over five years if interest rates are 9 percent?
A: The question is based on the concept of Financial Management.
Q: What is the present value of a $400 annuity payment over 5 years if interest rates are 6 percent?
A: given, A = $400 r=6% n=5 years
Q: What is the present value of a $700 annuity payment over six years if interest rates are 10 percent?
A: The present value of annuity refers to the current value of a series of future payments. The present…
Q: Find the future value at the end of Year 12 of an annuity that pays $7,500 per year for 12 years…
A: Using excel FV function
Q: What is the future value of an annuity with annual cashflows of $4,000 for 38 years? The interest…
A: Future value of an annuity is the future value of stream of same annual cash flows which takes place…
Q: You are considering an annuity that costs $91,288 today. The annuity pays $6,500 a year at an annual…
A: The length of the annuity will depend upon the costs of the annuity, the periodic payment, and the…
Q: What is the present value of an annuity of $6,000 to be received at the beginning of each of the…
A: Present Value: Present value refers to the current value of future sum of money in lump sum or in…
Q: A 10-year annuity pays P900 four times in year. The first P900 will be paid five years from now. If…
A: The present value of the annuity is the current worth of a cash flow series at a certain rate of…
Q: What is the present value of an ordinary annuity with annual payments of $660 at 9% annual interest…
A: In ordinary annuity, payment is due at the end of month. Present value of ordinary annuity can be…
Q: An annuity pays $15 per year for 60 years. What is the future value of this annuity at the end of…
A: The future value function or concept can be used to determine the future value of a present sum or…
Q: What is the future value of general annuity of P48,000 per annum, for 5 years, at 15% interest…
A: Annual payment (P) = P48,000 Number of annual payments (n) = 5 Years Interest rate (r) = 15% Number…
Q: What is the future value of an annuity due that pays $550 per year for 18 years? Use an annual…
A: A theory that helps to compute the present or future value of the cash flows is term as the TVM…
Q: Prepare a time diagram for the present value of a four-year ordinary annuity of $200. Assume an…
A:
Q: What is the future value of a $1,000 annuity payment over 4 years if the interest rates are 8…
A: Given details are: Annuity payment (PMT) = $1000 Time period (n) = 4 years Interest rate (I/Y) = 8%…
Q: What is the present value of a perpetuity that pays 1,000 per year beginning 1 year from now if the…
A: The perpetuity is the annuity that happens for a perpetual period. In other words, it is the equal…
Q: For an ordinary annuity with a five annual payments of $100 and a 10% interest rate, how many years…
A: Ordinary Annuity involves fixed and equal annual payments at the end of consecutive periods over a…
Q: What is the present value of an ordinary annuity of $400 each month for eight years, assuming an…
A: Present Value Present value is the present worth of any sum of a money to be received in the future…
Q: What is the future value of a $500 annuity payment over eight years if interest rates are 14…
A: In this question we need to compute the future value of annuity payment. We can solve this question…
Q: What is the present value of an ordinary annuity with annual payments of $670 at 7% annual interest…
A: Annuity is the periodic payments received or paid at regular intervals. Present value of annuity is…
Q: A 10%, 4-year annuity pays $500.00 each year. What is the future value of the annuity?
A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: What is the present value of an annuity due of $10,000 per year, with the first cash flow received 5…
A: Present value of an annuity the present value of future cashflows
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- You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years. Which table will help you determine the value of your account at the end of 12 years? A. future value of one dollar ($1) B. present value of one dollar ($1) C. future value of an ordinary annuity D. present value of an ordinary annuityWhat is the value of a 30-year annuity that pays $2500 a year? The annuity’s first payment will be received on year 11. Also, assume that the annual interest rate is 4 percent for years 1 through 10 and 5 percent hereafter.What is the present value of an ordinary annuity of $400 each month for eight years, assuming an opportunity cost of 0.05?
- What is the present value of an ordinary annuity of $1,000 per year for 9 years discounted back to the present at 10 percent? What would be the present value if it were an annuity due?What is the future value of a $590 annuity payment over four years if interest rates are 8 percent?Calculate the present value of a four-period annuity of $200 per year that begins twoyears from today if the discount rate is 9%?
- What is the present value of a perpetuity that pays 1,000 per year beginning 1 year from now if the appropriate interest rate is 5%?What is the present value of an ordinary annuity of 2,200 per year for 15 years discounted back to the present at 16 percent?What amount will be paid at the beginning of every month for 10 years if the present value is 200, 000 and the interest is paid at 6% monthly? Question: What type of Annuity is indicated in the problem above? Annuity due
- For an ordinary annuity with a five annual payments of $100 and a 10% interest rate, how many years will the first payment earn interest?What is the future value of an $800 annuity payment over 10 years if the interest rates are 6 percent?What is the present value of an annuity of $4000 received at the beginning of each year for the next eight years? The first payment will be received today and the discount rate is 9% ?