Question: 10. A) Using a handheld (5 button) financial calculator, compute the present value of $121 paid to you in 2 years, using an effective annual
10. A) Using a handheld (5 button) financial calculator, compute the present value of $121 paid to you in 2 years, using an effective annual discount rate (EAR) of 10.0%.
Enter your answer, in dollars and cents, in the answer-box below, as a positive value.
B)Using a handheld (5 button) financial calculator, compute the present value of a finite annuity-stream with equally-sized (g=0) payments.
The first payment is due in one year, and the subsequent seven payments (for a total of eight, occurring at times 1 to 8) are all $150 per year. Use an effective annual discount rate (EAR) of 6%.
C)Using a handheld (5 button) financial calculator, compute the present value of a finite annuity stream with equally-sized (g=0) payments.
The first payment is due immediately, and the subsequent five payments (for a total of six cash flows, occurring at t = 0 to 5) are all $200 per year. Use an effective annual discount rate (EAR) of 8%.
D)Now lets rework a simple P/F style problem (like Problem 1) but now with randomly generated values.
Using a handheld (5 button) financial calculator, compute the present value of $309.65 paid to you in 11 years, using an effective annual discount rate (EAR) of 9.6%.
E)Now lets rework a regular finite-annuity problem (like Problem 2) but now with randomly generated values.
Using a handheld (5 button) financial calculator, compute the present value of a finite annuity stream with equally-sized payments (g = 0).
The first payment occurs in one year, and the subsequent 15 payments are all $173 per year. Use an effective annual discount rate (EAR) of 8.6%.
Enter your answer as a positive value.
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