Question: 1. What present value amounts to $10,000 if it is invested for 10 years at 6% compounded annually? 2. What present value amounts to $300,000

1. What present value amounts to $10,000 if it is invested for 10 years at 6% compounded annually?
2. What present value amounts to $300,000 if it is invested at 7%, compounded semiannually, for 15 years?

Step by Step Solution

★★★★★

3.45 Rating (152 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

1 S 10000 r m 006 1 006 mt ... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

1386-M-C-L-A-D(3151).docx

120 KBs Word File

Students Have Also Explored These Related Calculus Questions!

The following table gives the value of an investment, after intervals ranging from 0 to 7 years, of $20,000 invested at 10%, compounded annually. (a) Develop an exponential model for these data,...

After graduating from business school, George Clark went to work for a Big Six accounting firm in San Francisco. Because his hobby has always been wine making, when he had the opportunity a few years...

$10,000 is invested for 6 years at an annual simple interest rate of 16%. (a) How much interest will be earned? (b) What is the future value of the investment at the end of the 6 years?

$ 300,000 Sales Accounts receivable Allowance for doubtful accounts $ 164,000 3,000 The estimate of uncollectible accounts is made by taking 5% of gross accounts receivable. Requirements: 1. Based on...

1. a) Find the present value of $100 000 in 10 years' time if the discount rate is 6% compounded Annually b) c) Semi - Annually How would you interpret this? | 2. Determine the present value of $7000...

I need help with thises question, please use excel and formula. 42 43 YOU MUST EITHER USE AN EXCEL FORMULA OR DESCRIBE THE CALCULATIONS USED TO EARN CREDIT (insert rows where needed): 7. What is the...

YOU MUST USE EXCEL'S FUNCTIONALITY TO PERFORM ALL CALCULATIONS TO EARN CREDIT (insert rows as needed) DO NOT MERELY TYPE IN NUMBERS OR IMPORT TEXT FROM OTHER SOURCES: 7. What is the future value of a...

"Solve the following, show the steps for the final answer. 1. You have an opportunity to buy a $1,000 bond which matures in 10 years. The bond pays $30 every six months. The current market interest...

Why do you think Wesable opted not to use Yodlee and build its own account aggregation services? Similarly, why do you think Mint.com jumped at the chance to partner with Yodlee?

2. Using the chart below, create a program that askes the user for conduit size and wire size and the output will be allowable number of wires in the conduit. Size and Type of Conduit 14 AWG Wire 12...

Ella can afford a monthly car payment of $ 4 6 0 for 6 0 months at an annual interest rate of 7 percent. Which of the following is closest to the amount she will be able to borrow for a new car

Evaluate the changes in the external environment that affected Al- Hamra Hotel. Al-Hamra is a budgeted hotel established in 1980 in the middle of Dammam business centers. It is managed by an...

Check that implicit differentiation gives the same formula for dy/dx as does solving for y in terms of x and then finding the derivative in the ordinary way. xy = 1.

Check that implicit differentiation gives the same formula for dy/dx as does solving for y in terms of x and then finding the derivative in the ordinary way. ey = x.

Take the derivative and then rewrite as a power function. We can use laws of exponents and the chain rule to check the power rule.

You are a manager at North Fare, which is considering expanding its operations in synthetic fibre manufacturing Your boss comes into your office drops a constant report on your desk and complains "We...

I need Correct Answer Don't copy Paste (a) Let F:RR be a function defined as F(x)=2x.F is 11. (b) Let G:NN be a function defined as G(n)=2n2+1. G is not 11

5.1 Q2 A. You need a simple interest bridge loan to cover the costs of buying a new home while waiting to close on your old one. You need to finance $61,000 and bank will charge 3.5%. How much...