Question: a. FUTURE VALUE i. What will be the future value, FV of $135,000 in five years at interest rate of 4%? ii. Formula: Plug in
a. FUTURE VALUE
i. What will be the future value, FV of $135,000 in five years at interest rate of 4%?
ii. Formula: Plug in the values in forrmula.
iii. Calculator: Write the keys you enter
iv. Excel: Write the formula and arguments in Excel format.
b. PRESENT VALUE
What will be the present value, PV of $35,000 to be received 10 years from today if the discount rate is 6%?
ii. Formula:
iii. Calculator: Write the keys you enter
iv. Excel: Write the formula and arguments in Excel format
Formula:
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